What bad year? AMD's Hector Ruiz gets a raise

The "Teflon Don of CEOs gets a nice pay raise. FREAKING UNBELIEVABLE!!!

http://www.news.com/8301-13579_3-9 [...] g=nefd.top

I don't understand how a raise, and all of these enthusiast ideas are even possible to R&D when the company is in a boat-load of debt.

Since this is a public company, I wonder if stock holders can demand an explanation to WTF he did to deserve this raise. This is turning into quite a soap opera.

perhaps Hector set everything just like the investors wanted, to get a huge takeover & stuff..
buy cheap, let it be bought, then it will inflate.
who knows.

It was probably cheaper to give him a raise than to fire him...and as they say in the corporate world, "You f**k up, you move up".

I hope for his (and AMD's) sake he does.

dont you know in business.. the less you do the more you make. He just happened to do so much less he gets a fat raise even when the company cant even afford to be in business without outside help to start with. if i were the outside investors funding the outrageous quarterly losses i would yank the funding immediately after seeing that kind of crap. I hate the thought of no intel competition because of high prices, but theres a limit to what can be allowed to happen in situations like this. heck maybe the US gov will step in like they did for Chrysler look where they are now....

+1 vote for Dirk Meyer.

Why doesnt AMD pay Hector with stocks? Then hed see what hes done

They should take Hectors pay and put it on something useful, like R&D.

What's weird is that Hector typically makes more money than Paul Otellini from Intel (I think one year it was on the order of double). I don't know if that makes Paul a nice guy or a Hector an overpaid, lying, cheating embezzeler, but it's interesting.

I don't know why AMD boards gave out that pay raise or why Mr Ruiz accepted it.

The good thing about it is it costs taxpayers nothing and more important, no pink slips were handed out to rank and file employees. So far...

They do. Pretty much every officer in any company is paid a fair-sized portion of their income in stock and they are expected to keep some multiple of their annual income in stock holdings so that they do have a personal incentive for the company's stock price to appreciate. Trust me, Ruiz would feel the stock price drop in his own personal bottom line if he decided to sell (but he'd have to plan and announce a stock sale 6 months or so in advance due to SEC insider trading regulations.) And also remember, you haven't lost any money if your stocks drop in price until you sell. That is why investing is really a long-term endeavor- ride out the bad times and you haven't lost a thing. Of course, the IRS still taxes you for money you haven't actually made when your stocks do well but you haven't sold (capital gains) but that's another discussion altogether...

As with everything else about AMD this year, the timing of the announcement couldn't have been worse. Same week, AMD files with SEC Hector's 7.4% pay raise and says its going to write off some of the 3.2B in assets it has on the books for ATI. Add to that the negative press coverage from Analyst Day and the stock closing Friday at a new 12 mo. low, and it's not surprising that the pay raise is raising some eyebrows.

Earlier this year, Cramer had Ruiz on his Wall of Shame, but Cramer was pretty much the only one who was vocally calling for Ruiz's head. Now, there's practically a chorus of folks begging for Ruiz's head, heart, and nards on a platter. The market is afraid that Ruiz doesn't really have a plan (at least not a viable one) to get AMD back to profitability. The lack of real concrete news about asset light on Thursday just reinforced that belief.