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Financial reporting structure

Beginning with our year-end 2008 financial results, TI expects to transition to a new financial reporting structure. The new structure – including Analog, Embedded Processing, Wireless and Other – was previewed at the company’s financial analyst meeting in May.

During the transition period, these will be described as product categories with estimated and unaudited revenue provided for each. When the transition is complete in January 2009, they will become segments with year-end audited revenue and operating profit provided for each. We will use these new segments to report our financial results moving forward.

This new financial reporting structure will provide more meaningful information in assessing the opportunities and performance of each product line and will be aligned at a deeper level with our organizational structure and how we manage the company.

These new descriptions will not overlap perfectly with our traditional “DSP” and “Analog” technology categories previously used to discuss our revenue. The prior approach accumulated revenue across all TI product organizations according to commonly accepted market analyst descriptions of analog and DSP product technologies. The new method draws lines that more closely match organizational boundaries within the company.

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Financial Information

Financial reporting structure