Intel 1997 Annual Report Download - page 53

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Concentrations of credit risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of investments and trade
receivables. Intel places its investments with high-credit-quality counterparties and, by policy, limits the amount of credit exposure to any one
counterparty based on Intel's analysis of that counterparty's relative credit standing. A majority of the Company's trade receivables are derived
from sales to manufacturers of computer systems, with the remainder spread across various other industries. The Company's five largest
customers accounted for approximately 39% of net revenues for 1997. At December 27, 1997, these customers accounted for approximately
34% of net accounts receivable.
The Company endeavors to keep pace with the evolving computer industry and has adopted credit policies and standards intended to
accommodate industry growth and inherent risk. Management believes that credit risks are moderated by the diversity of its end customers and
geographic sales areas. Intel performs ongoing credit evaluations of its customers' financial condition and requires collateral as deemed
necessary.
Cash and cash equivalents $ 4,102 $ 4,102 $ 4,165 $ 4,165
Short-term investments $ 5,561 $ 5,561 $ 3,736 $ 3,736
Trading assets $ 195 $ 195 $ 87 $ 87
Long-term investments $ 1,821 $ 1,821 $ 1,418 $ 1,418
Non-marketable instruments $ 387 $ 497 $ 119 $ 194
Swaps hedging investments
in debt securities $ 64 $ 64 $ (12) $ (12)
Swaps hedging investments
in equity securities $ 8 $ 8 $ (27) $ (27)
Options hedging investments in
marketable equity securities $ -- $ -- $ (25) $ (25)
Short-term debt $ (212) $ (212) $ (389) $ (389)
Long-term debt redeemable
within one year $ (110) $ (109) $ -- $ --
Long-term debt $ (448) $ (448) $ (728) $ (731)
Swaps hedging debt $ -- $ (1) $ -- $ 13
Currency forward contracts $ 26 $ 28 $ 5 $ 18
Currency options $ 1 $ 1 $ -- $ --