Advanced Micro Devices (AMD), the world’s No 2 maker of PC microprocessors behind Intel, Shares declined 4.35 percent to $8.79 in post market trading on the news that the company’s President and CEO Dirk Meyer had resigned and that Thomas Seifert has been named Interim CEO. A letter from the Board suggests they forced him out. The statement says, “We believe a change in leadership at this time will accelerate the company’s ability to accomplish these objectives.”
AMD also said it expects to report Q4 revenue of $1.65 billion and gross margin of 45%. The Street has been expecting revenue of $1.62 billion. The company also said there is no change in the full year guidance it provided at its analyst day in November.
Meyer’s resignation came as a surprise as he just gave a presentation in AMD’s launch of a new line of chips at International Consumer Electronics Show in Las Vegas last week. He became AMD CEO in 2008 when the company was saddled with debt and lost orders because of product delay.
“Dirk became CEO during difficult times. He successfully stabilized AMD while simultaneously concluding strategic initiatives.” the statement said.
“However, the Board believes we have the opportunity to create increased shareholder value over time. This will require the company to have significant growth, establish market leadership and generate superior financial returns,” said Bruce Claflin, chairman of AMD’s Board of Directors and leader of the CEO search committee.
“We believe a change in leadership at this time will accelerate the company’s ability to accomplish these objectives.”
Who is Thomas Seifert?
Thomas Seifert is interim chief executive officer, senior vice president and chief financial officer of AMD, and is responsible for the company’s financial operations.
Seifert joined AMD in 2009, bringing a wealth of global operations and financial management expertise. Immediately prior to joining AMD, Seifert served as chief operating officer and chief financial officer of Qimonda AG, where he led the formation and subsequent IPO of the company.
Prior to Qimonda, Seifert served as senior vice president and general manager in the Wireless Business Group at Infineon AG. He has also held executive positions at Siemens AG, White Oak Semiconductor, and Altis Semiconductor, a joint venture launched in 1992 between IBM and Siemens Semiconductor.
He currently serves on the board of Virginia Commonwealth University’s School of Engineering.
Seifert received a bachelor’s degree from Friedrich Alexander University, a master’s degree in mathematics and economics from Wayne State University, and a master’s degree in business administration from Friedrich Alexander University.
Seifert and his wife, Gesine, live in Austin, Texas, and are the parents of three children, Philipp, Oliver and Elena.