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Overview At Intel, we challenge the status quo in everything we do. Over the past year, we have worked to be more clear about what corporate responsibility means to us—by being clear about our priorities and the way we communicate them. This year, you will see a new focus in our reporting, a better forum for presenting our efforts, and hopefully a new level of clarity. Read Executive Perspective, page 3. Environment 5 Education 20 Community 28 Our Business 43 Building environmental performance into every facet of our work. Increasing our impact and reaching more students. Reinforcing community commitment every day. Intel Values help guide our actions in all areas. Global Climate Change 7 Addressing the threat of global warming. Water 9 Making water management a part of everyday operations. Resource Conservation 11 Reducing our global footprint through reduction, reuse and recycling. Performance Indicators 14 Charting the key indicators that we use to manage EHS performance. Teaching and Learning 22 with Technology Helping elementary and secondary students develop critical skills. Advancing Mathematics, 24 Science and Engineering Intel programs supporting the essential building blocks of technology and innovation. Advocating and 26 Celebrating 21st Century Educational Excellence Advancing the future of education around the world with global collaboration. Intel Involved 29 Volunteer efforts in support of our local communities. Intel Technology 33 and Expertise in Our Communities Addressing community challenges with core Intel capabilities. Middle East Initiative 37 A multi-year program to enhance technology use and understanding. Disaster Relief 39 Responding to the needs of those touched by disaster. Community Giving 41 The financial commitments made by Intel and our employees. Corporate Performance 44 Organizational Profile Economic Performance Stakeholder Engagement Performance Scorecard Challenges and Opportunities Goal Summary Awards and Other Recognition Supply-Chain Management 64 Commitment and Scope Assessment and Training The Intel Workplace 68 Intel Values Employees by Region and Turnover Compensation and Benefits Workforce Diversity Employee Development Health and Safety Work/Life Balance Corporate Governance 83 Governance and Ethics Litigation Resources 87 The content in this printable version of Intel’s 2005 Corporate Responsibility Report is as of May 10, 2006. Changes made to the web site after that date are not reflected here. Intel Corporate Responsibility Report 2005 • Overview www.intel.com/go/responsibility 2
The Case for Clarity A new approach to corporate responsibility at Intel. Executive Perspective 2005 was a year of significant change for Intel. In addition to evolving our business strategy and reinvigorating our brand, we have taken a more focused approach to corporate responsibility. We have worked to more clearly define what corporate responsibility means to Intel, and we met with stakeholders in formal and informal feedback sessions to clarify the key corporate responsibility issues for the company. Defining Corporate Responsibility After taking a hard look at what we believe in, we confirmed that at Intel, corporate responsibility means achieving business success in ways that honor our ethical values and demonstrate respect for people and the planet. Our actions follow certain guiding principles: A New Focus For us, corporate responsibility means a further opportunity to challenge, inspire, enrich and enable. We are driven to make a difference in the areas of environment, education and community. We look for concrete ways to lead others to new and better ways to live and work. • Operate with integrity and transparency Paul S. Otellini President and CEO • Strengthen our communities • Improve people’s lives through technology Craig R. Barrett Chairman of the Board We also clarified the way we communicate both our commitment and our performance. In transitioning from the previous title of Global Citizenship Report to Corporate Responsibility Report, we better reflect both our approach to business and the way we interact with our many stakeholders around the world. Our dialogues with stakeholders also offered important feedback on the way we approach the report’s format. As a result of their input, we dove deeper in many content areas by expanding our report information online. This year, our report focuses on three areas most material to Intel’s corporate responsibility efforts: the environment, education and community. Environment. Environmental excellence has long been a hallmark in Intel’s leading-edge manufacturing and assembly facilities worldwide. We have made progress in reducing our environmental footprint in both our operations and our products. In our operations, we reduced our emissions of perfluorocompounds (climate change gases) by 13% in 2005 and reduced our energy consumption per production unit by 15%. We design products with the environment in mind throughout the product life cycle. Intel Corporate Responsibility Report 2005 • Executive Perspective www.intel.com/go/responsibility 3
Page 1: Let’s Be Clear Intel Corporate Re
Page 5 and 6: Clear About the Environment Buildin
Page 7 and 8: Global Climate Change At Intel, we
Page 9 and 10: Water A sustainable water resource
Page 11 and 12: Resource Conservation We all have a
Page 13 and 14: Internal Environmental Excellence A
Page 15 and 16: Waste Generated Waste Recycled Soli
Page 17 and 18: SARA Title III Reportable Chemicals
Page 19 and 20: Inspections and Compliance 2005 Col
Page 21 and 22: Stakeholder Editorial As part of ou
Page 23 and 24: Community Education Intel Learn. In
Page 25 and 26: the U.S. Additionally, to promote p
Page 27 and 28: Fitted with 10 to 15 WiFi-capable l
Page 29 and 30: Intel Involved One of our key corpo
Page 31 and 32: Approximately 500 Intel Washington
Page 33 and 34: Intel Technology and Expertise in O
Page 35 and 36: Bringing Internet Access to the Und
Page 37 and 38: Middle East Initiative One large-sc
Page 39 and 40: Disaster Relief With cash contribut
Page 41 and 42: Community Giving We are committed t
Page 43 and 44: Clear About Our Business Intel Valu
Page 45 and 46: As of year-end 2005, the majority o
Page 47 and 48: Intel Sites with More Than 50 Emplo
Page 49 and 50: Assets & Capitalization—Year End
Page 51 and 52: Government and Regulatory Stakehold
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In response to government initiativ
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Stakeholders Tools and Processes Be
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2005 Goals 2005 Performance Busines
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Goal Summary—2006 and Beyond Envi
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Awards and Other Recognition Enviro
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Financial Times. Intel was ranked n
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productivity. This process involves
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The EHS section of the site include
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Employees by Region and Turnover At
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Compensation and Benefits Rewarding
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Workforce Diversity Since our incep
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Employee Development Providing our
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otations, “stretch” assignments
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ties of SIA member companies in the
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Work/Life Balance We know that achi
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Governance and Ethics For many year
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• Recommending program changes to
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Resources As part of our effort to
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