Intel 2008 Annual Report Download - page 104

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Table of Contents
INTEL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
Estimated Future Benefit Payments
We expect the benefits to be paid through 2018 from the U.S. and non-U.S. pension plans and other postretirement benefit
plans to be approximately $75 million annually.
Note 18: Commitments
A portion of our capital equipment and certain facilities is under operating leases that expire at various dates through 2028.
Additionally, portions of our land are under leases that expire at various dates through 2062. Rental expense was $141 million
in 2008 ($154 million in 2007 and $160 million in 2006).
Minimum rental commitments under all non-cancelable leases with an initial term in excess of one year were as follows as of
December 27, 2008 (in millions):
Commitments for construction or purchase of property, plant and equipment totaled $2.9 billion as of December 27, 2008
($2.3 billion as of December 29, 2007). Other purchase obligations and commitments totaled $1.2 billion as of December 27,
2008 ($1.7 billion as of December 29, 2007). Other purchase obligations and commitments include payments due under
various types of licenses, agreements to purchase raw material or other goods, as well as payments due under non-contingent
funding obligations. Funding obligations include, for example, agreements to fund various projects with other companies. In
addition, we have various contractual commitments with Micron, IMFT, and IMFS (see “Note 6: Equity Method and Cost
Method Investments”).
Note 19: Employee Equity Incentive Plans
Our equity incentive plans are broad-based, long-
term retention programs intended to attract and retain talented employees and
align stockholder and employee interests.
In May 2007, stockholders approved an extension of the 2006 Equity Incentive Plan (the 2006 Plan). Stockholders approved
119 million additional shares for issuance, increasing the total shares of common stock available for issuance as equity awards
to employees and non-employee directors to 294 million shares. Of this amount, we increased the maximum number of shares
to be awarded as non-vested shares (restricted stock) or non-vested share units (restricted stock units) to 168 million shares.
The approval also extended the expiration date of the 2006 Plan to June 2010. The 2006 Plan allows for time-based,
performance-based, and market-based vesting for equity incentive awards. As of December 27, 2008, we had not issued any
performance-based or market-
based equity incentive awards. As of December 27, 2008, 174 million shares remained available
for future grant under the 2006 Plan. We may assume the equity incentive plans and the outstanding equity awards of certain
acquired companies. Once they are assumed, we do not grant additional shares under these plans.
We began issuing restricted stock units in 2006. We issue shares on the date that the restricted stock units vest. The majority of
shares issued are net of the statutory withholding requirements that we pay on behalf of our employees. As a result, the actual
number of shares issued will be less than the number of restricted stock units granted. Prior to vesting, restricted stock units do
not have dividend equivalent rights, do not have voting rights, and the shares underlying the restricted stock units are not
considered issued and outstanding.
95
Year Payable
2009
$
106
2010
75
2011
55
2012
44
2013
24
2014 and thereafter
46
Total
$
350