EMC CORPORATION Consolidated Income Statements (in millions, except per share amounts) (unaudited)

Transcription

1 EMC CORPORATION Consolidated Income Statements (in millions, except per share amounts) Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, Revenues: Product sales $ 4,155 $ 3,728 $ 13,690 $ 13,061 Services 2,527 2,302 9,532 8,653 6,682 6,030 23,222 21,714 Cost and expenses: Cost of product sales 1,630 1,410 5,650 5,259 Cost of services ,099 2,817 Research and development ,761 2,560 Selling, general and administrative 2,029 1,928 7,338 7,004 Restructuring and acquisition-related charges Operating income 1,461 1,269 4,150 3,964 Non-operating income (expense): Investment income Interest expense (47) (21) (156) (79) Other income (expense), net (61) (39) (257) (196) Total non-operating income (expense) (73) (30) (285) (160) Income before provision for income taxes 1,388 1,239 3,865 3,804 Income tax provision Net income 1, ,093 2,886 Less: Net income attributable to the non-controlling interest in VMware, Inc. (68) (42) (204) (153) Net income attributable to EMC Corporation $ 1,022 $ 870 $ 2,889 $ 2,733 Net income per weighted average share, basic attributable to EMC Corporation common shareholders $ 0.50 $ 0.41 $ 1.39 $ 1.31 Net income per weighted average share, diluted attributable to EMC Corporation common shareholders $ 0.48 $ 0.39 $ 1.33 $ 1.23 Weighted average shares, basic 2,034 2,105 2,074 2,093 Weighted average shares, diluted 2,114 2,201 2,160 2,206 Cash dividends declared per common share $ 0.10 $ - $ 0.30 $ -

2 EMC CORPORATION Consolidated Balance Sheets (in millions, except per share amounts) December 31, December 31, ASSETS Current assets: Cash and cash equivalents $ 7,891 $ 4,714 Short-term investments 2,773 1,422 Accounts and notes receivable, less allowance for doubtful accounts of $62 and $68 3,861 3,433 Inventories 1,334 1,201 Deferred income taxes Other current assets Total current assets 17,278 12,019 Long-term investments 6,924 5,260 Property, plant and equipment, net 3,478 3,145 Intangible assets, net 1,780 2,035 Goodwill 14,424 13,840 Other assets, net 1,965 1,663 Total assets $ 45,849 $ 37,962 LIABILITIES & SHAREHOLDERS' EQUITY Current liabilities: Accounts payable $ 1,434 $ 1,041 Accrued expenses 2,783 2,492 Notes converted and payable 1,665 - Income taxes payable Convertible debt - 1,652 Deferred revenue 5,278 4,575 Total current liabilities 11,799 10,274 Income taxes payable Deferred revenue 3,701 2,976 Deferred income taxes Long-term debt 5,494 - Other liabilities Total liabilities 22,063 14,380 Convertible debt - 58 Commitments and contingencies Shareholders' equity: Preferred stock, par value $0.01; authorized 25 shares; none outstanding - - Common stock, par value $0.01; authorized 6,000 shares; issued and outstanding 2,020 and 2,107 shares Additional paid-in capital 1,406 3,691 Retained earnings 21,114 18,853 Accumulated other comprehensive loss, net (239) (208) Total EMC Corporation's shareholders' equity 22,301 22,357 Non-controlling interests 1,485 1,167 Total shareholders' equity 23,786 23,524 Total liabilities and shareholders' equity $ 45,849 $ 37,962

3 EMC CORPORATION Consolidated Statements of Cash Flows Twelve Months Ended December 31, 2013 December 31, 2012 Cash flows from operating activities: Cash received from customers $ 24,319 $ 22,585 Cash paid to suppliers and employees (16,708) (16,019) Dividends and interest received Interest paid (96) (33) Income taxes paid (761) (374) Net cash provided by operating activities 6,923 6,262 Cash flows from investing activities: Additions to property, plant and equipment (943) (819) Capitalized software development costs (465) (419) Purchases of short- and long-term available-for-sale securities (11,250) (6,347) Sales of short- and long-term available-for-sale securities 5,292 4,983 Maturities of short- and long-term available-for-sale securities 2,845 1,049 Business acquisitions, net of cash acquired (770) (2,136) Purchases of strategic and other related investments (131) (117) Sales of strategic and other related investments Joint venture funding (411) (228) Proceeds from divestiture of businesses Net cash used in investing activities (5,760) (3,906) Cash flows from financing activities: Proceeds from the issuance of EMC's common stock Proceeds from the issuance of VMware's common stock EMC repurchase of EMC's common stock (3,015) (685) EMC purchase of VMware's common stock (160) (290) VMware repurchase of VMware's common stock (508) (468) Excess tax benefits from stock-based compensation Payment of long-term and short-term obligations (46) (1,715) Proceeds from long-term and short-term obligations 5,460 5 Interest rate contract settlement - (70) Dividend payment (415) - Third party contribution to Pivotal Net cash provided by (used in) financing activities 2,076 (2,149) Effect of exchange rate changes on cash and cash equivalents (62) 15 Net increase in cash and cash equivalents 3, Cash and cash equivalents at beginning of period 4,714 4,492 Cash and cash equivalents at end of period $ 7,891 $ 4,714 Reconciliation of net income to net cash provided by operating activities: Net income $ 3,093 $ 2,886 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 1,665 1,528 Non-cash interest expense on debt Non-cash restructuring and other special charges 8 13 Stock-based compensation expense Provision for (recovery of) doubtful accounts (1) 39 Deferred income taxes, net (202) (118) Excess tax benefits from stock-based compensation (116) (261) Gain on XtremIO stock - (32) Other, net Changes in assets and liabilities, net of acquisitions: Accounts and notes receivable (377) (535) Inventories (408) (459) Other assets Accounts payable Accrued expenses (162) (94) Income taxes payable Deferred revenue 1,475 1,367 Other liabilities Net cash provided by operating activities $ 6,923 $ 6,262

4 Reconciliation of GAAP to Non-GAAP* (in millions, except per share amounts) Three Months Ended Diluted Diluted December 31, Earnings December 31, Earnings 2013 Per Share 2012 Per Share Net Income Attributable to EMC GAAP $ 1,022 $ $ 870 $ Stock-based compensation expense Intangible asset amortization Restructuring and acquisition-related charges Amortization of VMware's capitalized software from prior periods Special tax items (4) (0.002) R&D tax credit Net Income Attributable to EMC Non-GAAP $ 1,276 $ $ 1,194 $ Weighted average shares, diluted 2,114 2,201 Incremental VMware dilution $ 2 $ 2 Twelve Months Ended Diluted Diluted December 31, Earnings December 31, Earnings 2013 Per Share 2012 Per Share Net Income Attributable to EMC GAAP $ 2,889 $ $ 2,733 $ Stock-based compensation expense Intangible asset amortization Restructuring and acquisition-related charges Amortization of VMware's capitalized software from prior periods Net gain on disposition of certain lines of business and other (21) (0.010) - - RSA special charge (release) - - (18) (0.008) Loss on interest rate swaps Gain on strategic investment - - (32) (0.014) Special tax items R&D tax credit (60) (0.028) Net Income Attributable to EMC Non-GAAP $ 3,893 $ $ 3,759 $ Weighted average shares, diluted 2,160 2,206 Incremental VMware dilution $ 8 $ 10 * Net of tax and non-controlling interest in VMware, Inc., except weighted average shares, diluted. See Income Tax Provision and Net Income Attributable to VMware lines in Supplemental Information schedules. Note: Schedules may not add or recalculate due to rounding.

5 Reconciliation of GAAP to Non-GAAP Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, Gross Margin GAAP $ 4,224 $ 3,890 $ 14,473 $ 13,638 Stock-based compensation expense Intangible asset amortization Amortization of VMware's capitalized software from prior periods RSA special charge (release) (24) Gross Margin Non-GAAP $ 4,317 $ 3,991 $ 14,864 $ 14,001 Revenues $ 6,682 $ 6,030 $ 23,222 $ 21,714 Gross Margin Percentages: GAAP 63.2% 64.5% 62.3% 62.8% Non-GAAP 64.6% 66.2% 64.0% 64.5% Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, Operating Margin GAAP $ 1,461 $ 1,269 $ 4,150 $ 3,964 Stock-based compensation expense Intangible asset amortization Restructuring and acquisition-related charges Amortization of VMware's capitalized software from prior periods RSA special charge (release) (24) Operating Margin Non-GAAP $ 1,828 $ 1,656 $ 5,732 $ 5,397 Revenues $ 6,682 $ 6,030 $ 23,222 $ 21,714 Operating Margin Percentages: GAAP 21.9% 21.0% 17.9% 18.3% Non-GAAP 27.4% 27.5% 24.7% 24.9% Note: Schedules may not add or recalculate due to rounding.

6 Reconciliation of GAAP to Non-GAAP Twelve Months Ended December 31, 2013 Income Before Tax Tax Tax Provision Rate EMC Consolidated GAAP $ 3,865 $ % Stock-based compensation expense % Intangible asset amortization % Restructuring and acquisition-related charges % Amortization of VMware's capitalized software from prior periods % Net gain on disposition of certain lines of business and other (30) (3) (7.6%) Special tax items - (18) 0.0% R&D tax credit % EMC Consolidated Non-GAAP $ 5,417 $ 1, % Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, Cash Flow from Operations $ 2,190 $ 1,899 $ 6,923 $ 6,262 Capital expenditures (270) (296) (943) (819) Capitalized software development costs (123) (103) (465) (419) Free Cash Flow $ 1,797 $ 1,500 $ 5,515 $ 5,024 Note: Schedules may not add or recalculate due to rounding.

7 Reconciliation of GAAP to Non-GAAP (in millions, except per share amounts) Twelve Months Ended December 31, 2014 Operating Income as a % of Revenue - GAAP 18.0% Stock-based compensation expense 4.6% Intangible asset amortization 1.5% Restructuring and acquisition-related charges 0.9% Operating Income as a % of Revenue - Non-GAAP 25.0% Twelve Three Months Ended Months Ended December 31, March 31, Diluted Earnings Per Share - GAAP $ 1.38 $ 0.19 Stock-based compensation expense Intangible asset amortization Restructuring and acquisition-related charges Diluted Earnings Per Share - Non-GAAP* $ 1.95 $ 0.35 * 2014 outlook does not include the potential impact of VMware s pending acquisition of AirWatch, which we expect would increase revenue by approximately $75 million for the full year 2014 and decrease non- GAAP EPS by approximately $0.05 and $0.01 for the full year and first quarter of 2014, respectively. Items excluded from such non-gaap measures would include stock-based compensation expense, intangible asset amortization and restructuring and acquisition-related charges. We have not included a quantitative reconciliation of these prospective non-gaap measures to our most directly comparable financial measures prepared in accordance with GAAP as such GAAP financial measures are not available without unreasonable efforts. Twelve Months Ended December 31, 2014 Tax Rate - GAAP 23.0% Impact of stock-based compensation expense, intangible asset amortization and restructuring and acquisition-related charges 0.5% Tax Rate - Non-GAAP 23.5%

8 Supplemental Information For the Three Months Ended December 31, 2013 Stock-Based Compensation Expense Intangible Asset Amortization Restructuring and Acquisition-Related Charges Amortization of VMware's Capitalized Software from Prior Periods Special Tax Items EMC Consolidated Cost of revenue $ (32) $ (59) $ - $ (1) $ - Research and development (94) (2) Selling, general and administrative (113) (37) Restructuring and acquisition-related charges - - (29) - - Non-operating (income) expense Income tax provision Net income attributable to VMware (22) (4) EMC Information Infrastructure plus Pivotal Cost of revenue $ (24) $ (36) $ - $ - $ - Research and development (32) (1) Selling, general and administrative (61) (36) Restructuring and acquisition-related charges - - (23) - - Non-operating (income) expense Income tax provision Net income attributable to VMware VMware within EMC Cost of revenue $ (8) $ (23) $ - $ (1) $ - Research and development (62) (1) Selling, general and administrative (52) (1) Restructuring and acquisition-related charges - - (6) - - Non-operating (income) expense Income tax provision Net income attributable to VMware (22) (4) - - 1

9 Supplemental Information For the Three Months Ended December 31, 2012 Stock-Based Compensation Expense Intangible Asset Amortization Restructuring and Acquisition-Related Charges Amortization of VMware's Capitalized Software from Prior Periods Special Tax Items R&D Tax Credit EMC Consolidated Cost of revenue $ (31) $ (57) $ - $ (13) $ - $ - Research and development (90) (3) Selling, general and administrative (125) (38) Restructuring and acquisition-related charges - - (30) Non-operating (income) expense Income tax provision (12) (66) Net income attributable to VMware (19) (5) - (2) (1) (6) EMC Information Infrastructure plus Pivotal Cost of revenue $ (21) $ (33) $ - $ - $ - $ - Research and development (32) (2) Selling, general and administrative (74) (36) Restructuring and acquisition-related charges - - (30) Non-operating (income) expense Income tax provision (8) (34) Net income attributable to VMware VMware within EMC Cost of revenue $ (10) $ (24) $ - $ (13) $ - $ - Research and development (58) (1) Selling, general and administrative (51) (2) Restructuring and acquisition-related charges Non-operating (income) expense Income tax provision (4) (32) Net income attributable to VMware (19) (5) - (2) (1) (6)

10 Supplemental Information For the Twelve Months Ended December 31, 2013 Stock-Based Compensation Expense Intangible Asset Amortization Restructuring and Acquisition-Related Charges Amortization of VMware's Capitalized Software from Prior Periods Net Gain on Disposition of Certain Lines of Business and Other Special Tax Items R&D Tax Credit EMC Consolidated Cost of revenue $ (124) $ (232) $ - $ (34) $ - $ - $ - Research and development (357) (8) Selling, general and administrative (454) (149) Restructuring and acquisition-related charges - - (224) Non-operating (income) expense (30) - - Income tax provision (3) (18) 66 Net income attributable to VMware (74) (16) (11) (5) EMC Information Infrastructure plus Pivotal Cost of revenue $ (88) $ (141) $ - $ - $ - $ - $ - Research and development (134) (5) Selling, general and administrative (256) (142) Restructuring and acquisition-related charges - - (150) Non-operating (income) expense Income tax provision (23) 34 Net income attributable to VMware VMware within EMC Cost of revenue $ (36) $ (91) $ - $ (34) $ - $ - $ - Research and development (223) (3) Selling, general and administrative (198) (7) Restructuring and acquisition-related charges - - (74) Non-operating (income) expense (30) - - Income tax provision (3) 5 32 Net income attributable to VMware (74) (16) (11) (5) 6 1 6

11 Supplemental Information For the Twelve Months Ended December 31, 2012 Stock-Based Compensation Expense Intangible Asset Amortization Restructuring and Acquisition-Related Charges Amortization of VMware's Capitalized Software from Prior Periods RSA Special (Charge) Release Loss on Interest Rate Swaps Gain on Strategic Investment Special Tax Items R&D Tax Credit EMC Consolidated Cost of revenue $ (126) $ (199) $ - $ (62) $ 24 $ - $ - $ - $ - Research and development (324) (10) Selling, general and administrative (470) (156) Restructuring and acquisition-related charges - - (110) Non-operating (income) expense (32) - - Income tax provision (6) 15 - (12) (66) Net income attributable to VMware (70) (15) (1) (9) (1) (6) EMC Information Infrastructure plus Pivotal Cost of revenue $ (86) $ (132) $ - $ - $ 24 $ - $ - $ - $ - Research and development (129) (7) Selling, general and administrative (279) (146) Restructuring and acquisition-related charges - - (108) Non-operating (income) expense (32) - - Income tax provision (6) 15 - (8) (34) Net income attributable to VMware VMware within EMC Cost of revenue $ (40) $ (67) $ - $ (62) $ - $ - $ - $ - $ - Research and development (195) (3) Selling, general and administrative (191) (10) Restructuring and acquisition-related charges - - (2) Non-operating (income) expense Income tax provision (4) (32) Net income attributable to VMware (70) (15) (1) (9) (1) (6)

12 Supplemental Information For the Three Months Ended December 31, 2013 VMware Standalone GAAP GAAP Adjustments and Eliminations VMware within EMC GAAP Revenue $ 1,483 $ (25) $ 1,458 Cost of revenue Gross margin 1,291 (25) 1,266 Research and development 284 (1) 283 Selling, general and administrative 629 (4) 625 Restructuring and acquisition-related charges Operating income 374 (22) 352 Non-operating income (expense) 7-7 Income before taxes 381 (22) 359 Income tax provision 46 (3) 43 Net income $ 335 (19) 316 Net income attributable to VMware (68) (68) Net income attributable to EMC $ (87) $ 248 Supplemental Information For the Three Months Ended December 31, 2012 VMware Standalone GAAP GAAP Adjustments and Eliminations VMware within EMC GAAP Revenue $ 1,293 $ (42) $ 1,251 Cost of revenue 191 (13) 178 Gross margin 1,102 (29) 1,073 Research and development 268 (26) 242 Selling, general and administrative 581 (17) 564 Restructuring and acquisition-related charges Operating income Non-operating income (expense) 7-7 Income before taxes Income tax provision Net income $ Net income attributable to VMware (42) (42) Net income attributable to EMC $ (34) $ 172 Note: Schedules may not add due to rounding.

13 Supplemental Information For the Twelve Months Ended December 31, 2013 VMware Standalone GAAP GAAP Adjustments and Eliminations VMware within EMC GAAP Revenue $ 5,207 $ (60) $ 5,147 Cost of revenue 730 (12) 718 Gross margin 4,477 (48) 4,429 Research and development 1,082 (30) 1,052 Selling, general and administrative 2,234 (25) 2,209 Restructuring and acquisition-related charges Operating income 1, ,095 Non-operating income (expense) 54 (2) 52 Income before taxes 1,147-1,147 Income tax provision 133 (4) 129 Net income $ 1, ,018 Net income attributable to VMware (204) (204) Net income attributable to EMC $ (200) $ 814 Supplemental Information For the Twelve Months Ended December 31, 2012 VMware Standalone GAAP GAAP Adjustments and Eliminations VMware within EMC GAAP Revenue $ 4,605 $ (130) $ 4,475 Cost of revenue 721 (54) 667 Gross margin 3,884 (76) 3,808 Research and development 999 (100) 899 Selling, general and administrative 2,013 (73) 1,940 Restructuring and acquisition-related charges Operating income Non-operating income (expense) Income before taxes Income tax provision Net income $ Net income attributable to VMware (153) (153) Net income attributable to EMC $ (67) $ 679 Note: Schedules may not add due to rounding.

14 Segment Information For the Three Months Ended December 31, 2013 EMC Information Infrastructure EMC Information VMware Information RSA EMC Infrastructure Virtual Corp Information Intelligence Information Information plus Infrastructure Reconciling Storage Group Security Infrastructure Pivotal Pivotal within EMC Items Consolidated Revenues Product revenues $ 3,250 $ 65 $ 136 $ 3,451 $ 28 $ 3,479 $ 676 $ - $ 4,155 Services revenues 1, , , ,527 Total consolidated revenues 4, , ,224 1,458-6,682 Gross profit $ 2,674 $ 129 $ 185 2, ,019 1,297 (92) 4,224 Gross profit percentage 57.3% 68.2% 67.2% 58.2% 34.2% 57.8% 89.1% % Research and development Selling, general and administrative 1, , ,029 Restructuring and acquisition-related charges Total cost and expenses 1, , ,763 Operating income $ 1,367 $ (45) 1, (367) 1,461 Operating margin percentage 26.6% (49.7)% 25.3% 34.7% % Non-operating income (expense) (80) 7 - (73) Income tax provision (88) 298 Net income (279) 1,090 Net income attributable to the non-controlling interest in VMware, Inc. - (93) 25 (68) Net income attributable to EMC Corporation $ 926 $ 350 $ (254) $ 1,022 Note: This segment information is presented on a consistent basis with the presentation in our quarterly and annual filings with the SEC. This schedule may not recalculate due to rounding.

15 Segment Information For the Three Months Ended December 31, 2012 EMC Information Infrastructure EMC Information VMware Information RSA EMC Infrastructure Virtual Corp Information Intelligence Information Information plus Infrastructure Reconciling Storage Group Security Infrastructure Pivotal Pivotal within EMC Items Consolidated Revenues Product revenues $ 2,925 $ 69 $ 106 $ 3,100 $ 39 $ 3,139 $ 589 $ - $ 3,728 Services revenues 1, , , ,302 Total consolidated revenues 4, , ,778 1,252-6,030 Gross profit $ 2,530 $ 132 $ 146 2, ,872 1,119 (101) 3,890 Gross profit percentage 59.3% 72.1% 62.3% 60.0% 65.5% 60.1% 89.5% % Research and development Selling, general and administrative 1, , ,928 Restructuring and acquisition-related charges Total cost and expenses 1, , ,621 Operating income $ 1,241 $ (11) 1, (387) 1,269 Operating margin percentage 26.5% (11.3)% 25.7% 34.1% % Non-operating income (expense) (35) 7 (2) (30) Income tax provision (32) 327 Net income (357) 912 Net income attributable to the non-controlling interest in VMware, Inc. - (75) 33 (42) Net income attributable to EMC Corporation $ 902 $ 292 $ (324) $ 870 Note: This segment information is presented on a consistent basis with the presentation in our quarterly and annual filings with the SEC. The segment disclosures have been recast to separately present the operations of the Pivotal segment. None of the segment reclassifications impact EMC s previously reported consolidated financial statements. This schedule may not recalculate due to rounding.

16 Segment Information For the Twelve Months Ended December 31, 2013 EMC Information Infrastructure EMC Information VMware Information RSA EMC Infrastructure Virtual Corp Information Intelligence Information Information plus Infrastructure Reconciling Storage Group Security Infrastructure Pivotal Pivotal within EMC Items Consolidated Revenues Product revenues $ 10,694 $ 180 $ 453 $ 11,327 $ 110 $ 11,437 $ 2,253 $ - $ 13,690 Services revenues 5, , ,638 2,894-9,532 Total consolidated revenues 16, , ,075 5,147-23,222 Gross profit $ 9,082 $ 419 $ , ,274 4,589 (390) 14,473 Gross profit percentage 56.3% 64.8% 66.4% 57.2% 38.0% 56.8% 89.2% % Research and development 1, , ,761 Selling, general and administrative 4, ,732 2, ,338 Restructuring and acquisition-related charges Total cost and expenses 6, ,302 2,829 1,192 10,323 Operating income $ 4,136 $ (164) 3,972 1,760 (1,582) 4,150 Operating margin percentage 23.3% (53.3)% 22.0% 34.2% % Non-operating income (expense) (336) (285) Income tax provision (456) 772 Net income 2,725 1,465 (1,097) 3,093 Net income attributable to the non-controlling interest in VMware, Inc. - (297) 93 (204) Net income attributable to EMC Corporation $ 2,725 $ 1,168 $ (1,004) $ 2,889 Note: This segment information is presented on a consistent basis with the presentation in our quarterly and annual filings with the SEC. This schedule may not recalculate due to rounding.

17 Segment Information For the Twelve Months Ended December 31, 2012 EMC Information Infrastructure EMC Information VMware Information RSA EMC Infrastructure Virtual Corp Information Intelligence Information Information plus Infrastructure Reconciling Storage Group Security Infrastructure Pivotal Pivotal within EMC Items Consolidated Revenues Product revenues $ 10,283 $ 200 $ 414 $ 10,897 $ 106 $ 11,003 $ 2,058 $ - $ 13,061 Services revenues 5, , ,236 2,417-8,653 Total consolidated revenues 15, , ,239 4,475-21,714 Gross profit $ 8,860 $ 432 $ 604 9, ,049 3,976 (387) 13,638 Gross profit percentage 57.4% 67.5% 68.0% 58.3% 56.7% 58.3% 88.9% % Research and development 1, , ,560 Selling, general and administrative 4, ,639 1, ,004 Restructuring and acquisition-related charges Total cost and expenses 5, ,165 2,439 1,070 9,674 Operating income $ 4,010 $ (126) 3,884 1,537 (1,457) 3,964 Operating margin percentage 23.6% (46.6)% 22.5% 34.3% % Non-operating income (expense) (177) 27 (10) (160) Income tax provision (321) 918 Net income 2,739 1,293 (1,146) 2,886 Net income attributable to the non-controlling interest in VMware, Inc. - (255) 102 (153) Net income attributable to EMC Corporation $ 2,739 $ 1,038 $ (1,044) $ 2,733 Note: This segment information is presented on a consistent basis with the presentation in our quarterly and annual filings with the SEC. The segment disclosures have been recast to separately present the operations of the Pivotal segment. None of the segment reclassifications impact EMC s previously reported consolidated financial statements. This schedule may not recalculate due to rounding.

18 Supplemental Information Q Q Q Q FY 2012 Q Q Q Q FY 2013 Information Storage: Product Revenue $ 2,437 $ 2,500 $ 2,420 $ 2,925 $ 10,283 $ 2,461 $ 2,568 $ 2,415 $ 3,250 $ 10,694 Services Revenue 1,226 1,287 1,306 1,338 5,157 1,303 1,358 1,358 1,419 5,438 Total Information Storage Revenue $ 3,663 $ 3,787 $ 3,726 $ 4,263 $ 15,440 $ 3,764 $ 3,926 $ 3,773 $ 4,669 $ 16,132 Information Intelligence Group: Product Revenue $ 37 $ 45 $ 50 $ 69 $ 200 $ 43 $ 39 $ 32 $ 65 $ 180 Services Revenue Total Information Intelligence Group Revenue $ 146 $ 153 $ 158 $ 184 $ 640 $ 155 $ 152 $ 149 $ 189 $ 647 RSA Information Security: Product Revenue $ 96 $ 103 $ 106 $ 106 $ 414 $ 100 $ 98 $ 120 $ 136 $ 453 Services Revenue Total RSA Information Security Revenue $ 206 $ 220 $ 227 $ 234 $ 889 $ 233 $ 228 $ 252 $ 275 $ 987 EMC Information Infrastructure: Product Revenue $ 2,570 $ 2,648 $ 2,576 $ 3,100 $ 10,897 $ 2,604 $ 2,705 $ 2,567 $ 3,451 $ 11,327 Services Revenue 1,445 1,512 1,535 1,581 6,072 1,548 1,601 1,607 1,682 6,439 Total EMC Information Infrastructure Revenue $ 4,015 $ 4,160 $ 4,111 $ 4,681 $ 16,969 $ 4,152 $ 4,306 $ 4,174 $ 5,133 $ 17,766 Pivotal: Product Revenue $ 21 $ 23 $ 23 $ 39 $ 106 $ 24 $ 24 $ 35 $ 28 $ 110 Services Revenue Total Pivotal Revenue $ 44 $ 63 $ 66 $ 97 $ 270 $ 69 $ 70 $ 80 $ 91 $ 309 VMware: Product Revenue $ 478 $ 508 $ 485 $ 589 $ 2,058 $ 484 $ 529 $ 563 $ 676 $ 2,253 Services Revenue , ,894 Total VMware Revenue $ 1,035 $ 1,088 $ 1,101 $ 1,252 $ 4,475 $ 1,166 $ 1,238 $ 1,285 $ 1,458 $ 5,147 Consolidated Revenues: Product Revenue $ 3,069 $ 3,179 $ 3,084 $ 3,728 $ 13,061 $ 3,112 $ 3,258 $ 3,165 $ 4,155 $ 13,690 Services Revenue 2,025 2,132 2,194 2,302 8,653 2,275 2,356 2,374 2,527 9,532 Total Consolidated Revenues $ 5,094 $ 5,311 $ 5,278 $ 6,030 $ 21,714 $ 5,387 $ 5,614 $ 5,539 $ 6,682 $ 23,222 Percentage impact to EMC revenue growth rate due to changes in exchange rates from the prior year (0.5)% (2.1)% (1.5)% (0.5)% (1.1)% (0.5)% (0.7)% (0.8)% (0.5)% (0.6)% Note: Schedule may not add or recalculate due to rounding.