1. 3/25/2013

2.  Today in the Market  Dell takeover discussion  Stock pitch by Stephen

3.  Cyprus leading to down markets ◦ Apple acquires new start up company (20M) ◦ Blackberry down recently  Less unemployment, not yet growth ◦ http://www.nbcnews.com/video/nbc- news/51262405#51262405 http://www.nbcnews.com/video/nbc- news/51262405#51262405

4.  http://www.reuters.com/video/2013/03/25/i nvestors-fears-over-cyprus- bailout?videoId=241827253&videoChannel= 5 http://www.reuters.com/video/2013/03/25/i nvestors-fears-over-cyprus- bailout?videoId=241827253&videoChannel= 5  Cyprus banks taking money from savers  Leads to uncertainty about future bank actions  How does this change your view on international investment?

5.  Dell going through an LBO Dell going through an LBO  http://www.investopedia.com/video/play/lev eraged-buyouts/ http://www.investopedia.com/video/play/lev eraged-buyouts/

6.  Michael Dell decides he wants to go private  3 bids for the company ◦ Silver Lake (Dell supports) ◦ Blackstone ◦ Carl Icahn  Special board votes on which option  Some stakeholders upset at value of company

7.  Escape scrutiny of shareholders  Dell needs a radical change for revenue  Short term loss for long term profit  More control over company  Dell revenue down 11% in past year  Is Michael Dell the right choice?

8.  Microsoft loaning 2 bill to help buyout  Not getting any ownership  Why do this? ◦ Microsoft holds over 60B in cash ◦ Needs Dell to succeed for its software  Good investment?

10.  Founded in 1968 by Gordon Moore (chemist and physicist) and Robert Noyce (physicist)  Headquartered in Santa Clara, California  Technology Sector and Semiconductor Industry  CEO: Paul Otellini (since 2005)  #6 World’s Most Powerful Brand (According to Forbes)

11.  Designs and manufactures advanced integrated digital technology platforms. ◦ A platform consists of a microprocessor and chipset  Sells these platforms primarily to: ◦ Original equipment manufacturers (OEMs) ◦ Original design manufacturers (ODMs) ◦ Examples: Sony, Motorola, HP, Samsung, Dell etc.  Platforms are used in a range of applications, such as PCs, tablets, smart phones, automobiles and medical devices

12.  The high: $29.27  The low: $19.23  Current: $21.20

13. IntelIndustry Price-to-Earnings10.0424.9 Return on Equity22.60%8.80% Div. Yield4.20%3.67% Debt-to-Equity26.50%22.70% Profit Margin18.31%6.30% EPS2.13 Beta1

14.  CEO is retiring in May of this year  Next Earnings Date: April 13, 2013  New manufacturing plant in Arizona scheduled for completion this year ◦ $5 billion investment

15.  Offers high dividend yield (good for Jake)!  Biggest cause of concern: where will revenue come from with decline in PC market  For a value investor ◦ Buy… but consider doing more research on the PC market, Intel’s future products, and potential CEO candidates