AMD is really getting in the money saving mechanism. The company lost a lot of money and it won't get better until Barcelona and Agena starts selling in some decent quantities.
The company desperately needs cash, as Intel took away the margins and a lot of market share from AMD and ATI is not generating a lot of revenue itself.
The company fired a lot of people in 2006 and 2007 and at this point DAAMIT blocked all non necessary airplane trips, especially the over sea ones, as it wants to save as much money as it can.
AMD is probably living through its rainiest days in its history, but it will start recovering from late Q3 and onwards.