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TEXAS INSTRUMENTS

OTHER INFORMATION (continued)
Non-GAAP reconciliations
Free cash flow is a non-GAAP financial measure. For a definition of and the reason for using this measure, see page 20 of this Annual
Report.
For Twelve Months Ended
December 31,
2014 2013 Change
Cash flows from operations (GAAP) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,892 $ 3,384 15%
Capital expenditures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (385) (412)
Free cash flow (non-GAAP) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,507 $ 2,972 18%
Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 13,045 $ 12,205
Cash flows from operations as a percent of revenue (GAAP) . . . . . . . . . . . . . . . . . . 30% 28%
Free cash flow as a percent of revenue (non-GAAP) . . . . . . . . . . . . . . . . . . . . . . 27% 24%
For Twelve Months Ended December 31,
Cash Flows From
Operations
(GAAP)
Capital
Expenditures
Free Cash Flow
(non-GAAP)
2004 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,973 $ (1,260) $ 1,713
2005 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,614 (1,288) 2,326
2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,456 (1,272) 1,184
2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,407 (686) 3,721
2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,330 (763) 2,567
2009 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,643 (753) 1,890
2010 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,820 (1,199) 2,621
2011 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,256 (816) 2,440
2012 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,414 (495) 2,919
2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,384 (412) 2,972
2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,892 (385) 3,507
2014 ten-year CAGR * . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3% 7%
* CAGR (compound annual growth rate) is calculated using the formula: (Ending Value/Beginning Value)
1/number of years
-1.
Notice regarding forward-looking statements
This Annual Report includes forward-looking statements intended to qualify for the safe harbor from liability established by the Private
Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by phrases such as TI or its
management “believes,” “expects,” “anticipates,” “foresees,” “forecasts,” “estimates” or other words or phrases of similar import.
Similarly, statements herein that describe TI’s business strategy, ability to generate free cash flow in the future, outlook, objectives,
plans, intentions or goals also are forward-looking statements. All such forward-looking statements are subject to certain risks
and uncertainties that could cause actual results to differ materially from those in forward-looking statements. For a more detailed
discussion of these factors see the risk factors discussion on page 8 of this report. Forward-looking statements in this report are made
only as of the date of this report and we undertake no obligation to update them to reflect subsequent events or circumstances.