INTEL.COM/RESPONSIBILITY Embracing Diversity andInclusion Intel is evolving, and diversity and inclusion are among the most important forces driving that evolution and reinvention. We believe that reaching a critical mass of women and underrepresented minorities (URMs) in our workforce brings benefits that extend from our business to the tech industry and the wider communities in which we operate. Inclusion means that employees can bring their full experiences to work, offer their true and unguarded perspectives, and find a welcoming and inviting place. In our experience, true change comes from both diversity and inclusion. Progress Toward Our 2020 Workforce Goal In early 2015, we set an ambitious goal to be the first high- tech company to reach full representation1 of women and URMs in our U.S. workforce by 2020. We committed $300 million to support this goal and accelerate diversity and inclusion both at Intel and across the technology industry. In 2016, 45.1% of our new hires were diverse, exceeding our hiring goal for the year. Women represent 25.8% of our overall workforce, up 2.3 points since 2014. Representation of URMs in Intel’s U.S. workforce has increased slightly from 12.3% in 2014 to 12.5% in 2016, leaving room for improvement in 2017 and informing our focus over the next three years. In 2016, we launched two initiatives aimed at better supporting retention of our diverse talent: WarmLine, a service that enables U.S. employees to explore options with a personal adviser before they consider leaving Intel; and an in-depth study on retention and progression for our multicultural employees aimed at shedding light on challenges that they face to inform actions for improvement. $ 555M $ 25M INVESTMENT INCAREER PATHWAYS SPENDING WITHDIVERSE SUPPLIERSIN2016 The Intel Capital Diversity Fund—the world’s largest venture capital fund focused on diverse entrepreneurs— launched in 2015, with plans to invest $125 million over five years in a broad spectrum of women- and minority-led companies. The fund expanded in 2016 to include start-ups led by people with disabilities, U.S. military veterans, and members of the LGBTQ community. We have invested $25 million in nine programs aimed at building pathways to technology careers. Our Scholars Internship program, for example, enables URM students to contribute to valuable work assignments at Intel during the summer to help prepare them for full-time employment in the tech industry. In 2015, we greatly strength- ened our long-standing commitment to supplier diversity with a new goal to increase our spending with diverse suppliers to $1 billion by 2020. We set a goal to spend $400 million with diverse suppliers in 2016, and surpassed that goal by $155 million. Retention Investing in Diverse Entrepreneurs Pathways to Tech Careers Supplier Diversity $ 125M INTELCAPITAL DIVERSITY FUND Of our recently appointed vice presidents in the U.S., 41% were women or URMs. In January 2017, Intel also named five women—one-third of this year’s inductees—to the rank of Intel Fellow, the highest level of technical leadership at Intel. Advancing Women OFNEWVPS AREDIVERSE 41% INTEL 2016 CORPORATE RESPONSIBILITY REPORT EXECUTIVE SUMMARY 1  Full representation (or full workforce representation) is the point at which Intel’s workforce in the U.S. matches the supply of skilled talent available (market availability) for current roles at Intel. 10 11