Robert Rivet: It was negative $240 million.

Srini Pajjuri: On gross margin, did you see any unusual price pressures on the client side or was it anything else there?

Robert Rivet: We are the most unusual price pressure was in graphics. Our competitor took aggressive actions to maintain their position as we came with new products and slow things down. Processors have pricing pressure.

Srini Pajjuri: For the break even of $1 billion what are the different elements looking for your opEx you expect by the fourth quarter of this year?

Robert Rivet: We will try to stay at those levels for quite a long time.

Srini Pajjuri: What impact and how should we think about your gross margins longer term?

Robert Rivet: There is cost reduction in that area, and there is going to be cost increases in the gross margin as you pay for the cost of that technology on a per wafer basis and the cost of capital on a per wafer basis.

Uche Orji: In terms of your design win in graphics for the new platforms you announced a number about the level of design wins you have had. Is there an update to that?

Dirk Meyer: Those were design wins locked down last year so they start to pay off.

Uche Orji: What share are you getting in those platforms?

Dirk Meyer: Our design win momentum with 60+% design win share.

Uche Orji: Is there any way you are able to protect yourselves from a cost push pressure coming from private business?

Robert Rivet: Most of those cost increases are for the smaller players, so we are working our way through that.

Doug Freedman: Elaborate about newcomer acquisitions?

Dirk Meyer: In the PC market there is only left with whom we do not do business on a CPU basis although we do business in other product lines. So looking forward there are opportunities left relative to customer acquisition on the CPU side.

Doug Freedman: Any projections on when it will launch?

Dirk Meyer: We are in production and we will ship for revenue early in the fourth quarter.

Chris Danely: In terms of the Barcelona speeds are you shipping 2.4 ghz?

Dirk Meyer: No, not yet in volume.

Chris Danely: Your competitor has talked about success with its stripped down, notebook processor. Are there any plans for AMD to launch a similar product and why?

Dirk Meyer: We are a smaller company, and when you talk about smaller form factor notebooks and inexpensive notebooks that is a market segment we are interested in.

Chris Danely: About the fab light asset, light asset smart and last quarter you promised details in the near term. So, what is taking so long?

Hector de J. Ruiz: It is getting closer. It is something we believe is uniquely tailored to AMD and uniquely tailored to our customers and our company and therefore much more complex to do than a general outsourcing scenario.

Chris Danely: Do you expect a major improvement to margins with this or something minor?

Dirk Meyer: It will be a major reformation of the company from that standpoint