Intel 1997 Annual Report Download - page 50

Download and view the complete annual report

Please find page 50 of the 1997 Intel annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 76

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76

Notes to consolidated
financial statements
Investments with maturities of greater than six months consist primarily of A and A2 or better rated financial instruments and counterparties.
Investments with maturities of up to six months consist primarily of A-1 and P-1 or better rated financial instruments and counterparties.
Foreign government regulations imposed upon investment alternatives of foreign subsidiaries, or the absence of A and A2 rated counterparties
in certain countries, result in some minor exceptions. Intel's practice is to obtain and secure available collateral from counterparties against
obligations whenever Intel deems appropriate. At December 27, 1997, investments were placed with approximately 250 different
counterparties.
Investments at December 27, 1997 were as follows:
Gross Gross Estimated
unrealized unrealized fair
(In millions) Cost gains losses value
--------------------------------------------------------------------------------
Commercial paper $ 3,572 $ 1 $ (9) $ 3,564
Bank deposits 2,369 -- (2) 2,367
Corporate bonds 1,788 12 (73) 1,727
Floating rate notes 843 1 (2) 842
Loan participations 743 -- -- 743
Repurchase agreements 515 -- -- 515
Securities of foreign
governments 75 -- (6) 69
Fixed rate notes 32 -- -- 32
Other debt securities 294 -- (1) 293
-------- -------- -------- --------
Total debt
securities 10,231 14 (93) 10,152
-------- -------- -------- --------
Hedged equity 504 9 (17) 496
Preferred stock and
other equity 620 131 (41) 710
-------- -------- -------- --------
Total equity
securities 1,124 140 (58) 1,206
-------- -------- -------- --------
Swaps hedging
investments
in debt securities -- 76 (12) 64
Swaps hedging
investments
in equity securities -- 17 (9) 8
Currency forward
contracts
hedging investments in
debt securities -- 16 (1) 15
-------- -------- -------- --------
Total
available-for-sale
securities 11,355 263 (173) 11,445
Less amounts
classified as
cash equivalents (3,976) -- -- (3,976)
-------- -------- -------- --------
Total investments $ 7,379 $ 263 $ (173) $ 7,469
======== ======== ======== ========
Investments at December 28, 1996 were as follows:
Gross Gross Estimated
unrealized unrealized fair
(In millions) Cost gains losses value
--------------------------------------------------------------------------------
Commercial paper $ 2,386 $ -- $ (1) $ 2,385
Bank deposits 1,846 -- (2) 1,844
Repurchase agreements 931 -- (1) 930
Loan participations 691 -- -- 691
Corporate bonds 657 10 (6) 661
Floating rate notes 366 -- -- 366
Securities of foreign
governments 265 14 (2) 277
Fixed rate notes 262 -- -- 262
Other debt securities 284 -- (2) 282
-------- -------- -------- --------
Total debt
securities 7,688 24 (14) 7,698
-------- -------- -------- --------
Hedged equity 891 71 (15) 947