Advanced Micro Devices Lays Out Silver Lining

Updated from April 19

It's rare when a company losing more than a half-billion dollars in a quarter can offer shareholders a ray of hope, but Advanced Micro Devices(AMD) may have come closer than most.

Following the release of first-quarter results on Thursday that the company itself called "unacceptable," AMD's senior management said it was aggressively addressing the issues that led to the company's deteriorating performance.

Executives said the company was evaluating various "asset-light" options, which involve outsourcing portions of chip fabrication to third parties instead of building multibillion-dollar facilities, and noted that the company was not averse to seeking shelter from the rigors of the public markets through a private-equity deal.

Asked about the possibility of such a transaction, Ruiz said the company was keeping an open mind.

"We have absolutely no prejudice or bias towards the source of capital as long as it makes sense to us," said CEO Hector Ruiz. "As for the difference between being a public company vs. being a private company, it's like everything else: If its something we think makes sense for our shareholders we will consider and look at it."

That openness, combined with hints of a turnaround plan -- on which AMD promised to provide further details during its analyst meeting in July -- reversed an after-hours selloff that started immediately after the stock resumed trading in the extended session.