8-KEarnings & ResultsFinancial EventsExhibits & Filings

INTEL CORP 8-K Report, Financial Results (Jan 7, 2009)

Filed January 7, 2009For Securities:INTC

Summary

Intel Corporation (INTC) filed an 8-K on January 7, 2009, to report preliminary fourth quarter 2008 financial information and a material impairment charge. The company announced that it will record an approximate $950 million non-cash impairment charge related to its equity holdings in Clearwire. This charge reflects the impact of current economic conditions on the fair value of these investments. While the full financial results for Q4 2008 were not detailed in this 8-K, the impairment charge signals a significant write-down due to market conditions. Investors should note that this is a non-cash charge, meaning it does not involve an outflow of cash, but it will reduce Intel's reported earnings for the fourth quarter and full year 2008. The accompanying press release, incorporated by reference, likely contains more granular financial details.

Key Highlights

  • 1Intel will record a non-cash impairment charge of approximately $950 million for its Clearwire equity holdings.
  • 2The impairment is a result of economic conditions affecting the fair value of the Clearwire investment.
  • 3The charge will be recognized in the fourth quarter of 2008.
  • 4This 8-K also references preliminary Q4 2008 financial information, which is detailed in an attached press release (Exhibit 99.1).
  • 5The impairment charge does not involve any cash outflow.
  • 6The filing date for this report was January 7, 2009, with the earliest event reported being January 6, 2009.

Frequently Asked Questions

The $950 million charge is an impairment charge recognized due to the decline in fair value of Intel's equity holdings in Clearwire, driven by prevailing economic conditions affecting the investment's market value.

No, the impairment charge is a non-cash charge. This means it reduces Intel's reported net income but does not involve an actual outflow of cash from the company.

The impairment charge will be recorded in Intel's financial statements for the fourth quarter of 2008.

This 8-K filing incorporates by reference a press release (Exhibit 99.1) issued on January 7, 2009, which contains preliminary financial information for the fourth quarter of 2008. Investors should refer to that document for more detailed results.