PC chipmaker AMD posts wider 4th-qtr loss

* AMD posts wider-than-expected Q4 loss

* Net loss of $2.34 cents per share

* Revenue $1.16 billion

* Sees Q1 revenue lower than Q4

* Shares fall after hours

SAN FRANCISCO, Jan 22 (Reuters) - PC chipmaker Advanced Micro Devices (AMD.N) posted a wider-than-expected loss in the fourth quarter as worldwide demand for PCs continued to shrink.

AMD reported on Thursday a net loss of $1.42 billion, or $2.34 a share for the quarter ending Dec. 27, compared with a loss of $1.77 billion, or $3.06 a share, a year ago.

Excluding certain items, the company posted a loss of 69 cents a share. Analysts, on average, had expected a loss of 56 cents a share, according to Reuters Estimates.

Revenue for the second-largest maker of central processing units for personal computers fell 33 percent to $1.16 billion, compared to analysts' estimates of $1.19 billion, according to Reuters Estimates.

AMD said it expected revenue in the first quarter to decrease from the fourth quarter.

Shares of AMD, based in Sunnyvale, California, fell to $1.95 after closing regular trading down 10.2 percent at $2.02.

(Reporting by David Lawsky and Gabriel Madway)