Intel Involved volunteers work to improve communities worldwide. $80,314,425 2004 total corporate gifts U.S. $17,492,360 2004 total corporate gifts outside U.S.† $9,184,462 2004 employee gifts to community and education† $106,991,247 2004 grand total donations †Gifts for Asian tsunami relief are not included in 2004 donations.

On-Site Public Affairs Strategic Philanthropy Intel Connected to Schools The Intel Foundation A Concerted Tsunami Relief Effort Giving Support Every Day

Volunteering for Impact Corporate Giving Employees Worldwide Celebrate Global Earth Day Sponsoring a "Better Bannerghatta" Corporate Giving Summary

On-site Public Affairs
We know that we need direct, meaningful relationships with our local stakeholders to make a positive impact in our site communities. From enabling the Intel Computer Clubhouse Network to sponsoring an initiative such as the Big Brothers, Big Sisters Mentoring program, Intel strives to reinforce our commitment to our local stakeholders by tailoring approaches to the local landscape and community needs. Public Affairs professionals at all major sites reinforce this commitment by managing ongoing dialogues and strategic collaborations with key community leaders.

Strategic philanthropy
We know that we cannot be all things to all people. We apply the concept of strategic philanthropy in our approach to community investments to maximize the value of our monetary contributions and human resources. Our focus areas for investment—which include education, environmental stewardship and safety, diversity and community capacity building—provide the best opportunities to align Intel business with the needs of our communities and the expertise of our employees.

Intel Connected to Schools
In 2002, a staggering 20% of K-12 schools in Arizona were underperforming academically. Intel Arizona looked for a way to apply the energy and resources of the Intel Involved program to remedy the situation. The Intel Connected to Schools (ICS) program packaged education, diversity and volunteer programs together to achieve significant results. In less than a year, Intel selected two Phoenix, Arizona area urban schools, trained 89% of the faculty in the Intel Teach to the Future program and helped both schools receive computer labs valued at $50,000 each. The schools have now moved off the state's underperforming list, and students show an average of 25% to 29% improvement on the state's proficiency exams. The program won the National Business and Schools Partnership award from the U.S. Department of Education in 2004. Based on the program's success, we are exploring ways to expand ICS to other schools in Arizona and other states.

The Intel Foundation
Formed in 1988, the Intel Foundation is funded solely through donations from Intel Corporation. Its four-member board of directors is made up of corporate senior managers and is chaired by Intel CEO Craig Barrett. The Intel Foundation's mission is

	To strengthen engineering and computer science education and increase participation in these fields by women and under-represented minorities
	To improve mathematics and science education for elementary and secondary students
	To foster the effective use of computer technology in education

In addition, the Foundation supports the communities in which Intel has a major presence with donations for the United Way and disaster relief. In 2004, the Intel Foundation provided disaster-relief funding for victims of earthquakes in Bam, Iran, and came to the aid of communities in Turkey, Korea, Pakistan and other areas stricken by natural disasters. The Foundation's largest effort involved support for victims of the Asian tsunami.

A Concerted Tsunami Relief Effort

The last week of the year is traditionally a quiet time inside Intel offices. The last week of 2004 was tragically different, however. The Indian Ocean tsunami that triggered disaster on an almost unimaginable scale had the effect of transforming what is normally a skeleton crew of Intel employees into a small army of emergency response workers. Almost immediately, an impromptu worldwide taskforce came together to help affected employees and assist with relief efforts. Intel Foundation President Wendy Hawkins, on holiday break when the disaster hit, began organizing the Foundation's efforts to contribute money for emergency assistance. At Intel sites all over the world, thousands of employees collected money to help the millions of survivors in desperate and sudden need of clean water, medicine, food, clothing and shelter. In hard-hit Pulau Betong, Malaysia, hundreds of Intel Involved volunteers helped with cleanup efforts and personally contributed food, such as rice and sugar. The Foundation agreed to send $1 million to help with relief efforts and pledged to match employee contributions dollar-for-dollar. By the end of the giving period, more than 12,600 employees and retirees from around the world had donated over $1.77 million, resulting in a total Intel financial contribution of more than $4.5 million to tsunami relief. Intel support was not limited to money and food. The company also worked with the Red Cross and Mercy Corps to provide laptop computers and servers to help manage the surge of online communications and donations.

Giving support every day
At Intel, charitable giving is a year-round effort. For example, the Intel Community Giving Campaign is a standing initiative that allows U.S. employees to maximize their contributions to nonprofit organizations with an Intel Foundation match to the United Way in their community.

In 2004, the Intel Community Giving Campaign team set a goal to raise $5 million in employee donations. When the last pledge was counted, donations totaled $6,274,378. Matched with Intel Foundation funds, more than $12.2 million went to local Intel site communities, an increase of 25% over 2003.

Volunteering for impact
We measure our commitment to our communities not only in dollars but also in hard work. We role-model Intel Values as we support local organizations through service on nonprofit boards, oversight of strategic partnerships and participation in volunteer initiatives. In 2004, for the first time, an average of 30% of Intel employees from our major sites engaged in volunteer service through the Intel Involved program.

The Intel Volunteer Matching Grant Program matches employee volunteer time to local schools with monetary donations. In the 2003-2004 school year, 8,382 employees volunteered 188,514 hours (or 23,564 days), raising about $1.84 million for local schools in communities across the U.S. Based on this success, we will expand the program outside the U.S. in 2005.

Corporate giving
In 2004, our corporate, Foundation and employee giving provided $97,806,785 to communities around the globe. Employee donations for the Intel Community Giving Campaign totaled $6,274,378, and employee donations with Matching Gifts to Education totaled $2,910,084, for a grand contributions total of almost $107,000,000.

Employees worldwide celebrate Global Earth Day
To honor Global Earth Day 2004, Intel Involved organized our first Intel worldwide celebration. Employees from 27 Intel sites participated in a total of 41 Earth-enhancing projects, including community cleanups and education initiatives, park renovations, community gardens, recycling programs and more.

In New Mexico, for example, employees and their families provided maintenance for a trail leading to a Native American archaeological dig. In Costa Rica, employees taught students about waste management and sponsored an "ecological creativity" contest. In DuPont, Washington, volunteers returned to a watershed where they had planted more than 1,600 trees the previous fall to tend to vegetation that will prevent storm water run-off and help prevent flooding.