33 intel.com/responsibility 2021-22 Corporate Responsibility Report Supplier Diversity and Inclusion We are making solid progress on our accelerated commitment to a diverse and inclusive supply chain and our 2030 RISE goal to double annual spending with diverse suppliers 2 to $2 billion. For more details, see “ Supplier Diversity and Inclusion ” in the Inclusive  section of this report. Advancing Supplier Leadership and Accountability We have established several programs to advance our supplier leadership and accountability, as well as ensure the latest information is made available through education and collaboration. Supplier Program to Accelerate Responsibility and Commitment (SPARC). This initiative is designed to help our SPARC suppliers build internal capacity around corporate responsibility through rigorous annual commitments to compliance, transparency, and capability-building. We have increased the number of suppliers required to participate in SPARC over the past eight years as we have broadened our scope to include additional programs and requirements. This increase represents suppliers selected using our risk- based approach and those providing critical materials and services to Intel. Participating suppliers represented over 78% of Intel’s managed supply chain spends in 2021. We continue to raise expectations for our suppliers and expand requirements to encompass a broader set of focus areas. In 2022 we will set the stage for growing environmental concerns and regulations, addressing current global initiatives. Total Audits Conducted Type of Audit 2017 2018 2019 2020 2021 RBA VAP Audits 66 108 112 88 140 Intel RBA-Based Target Audits 52 54 42 38 17 Intel Quality Audits with Sustainability Element 52 59 53 – – Total Audits Conducted 3 170 221 207 126 157 Applying our risk-based approach, we continue to use the RBA program as the industry standard for our validated audits for manufacturing suppliers. In addition, we apply the risk-based criteria to complete targeted assessments of our non-manufacturing suppliers. Our sustainability criteria have also been embedded into our supplier quality assessment process to further extend our reach into the supply chain. For priority and major findings by category and sub-category, visit the Report Builder . In certain circumstances, the same facility may be audited multiple times in a calendar year. We treat each individual audit of a single facility as a unique audit in the above table. Despite continued challenges due to COVID-19, in 2021, over 157 audits were conducted across 89 suppliers. Audits that were planned in 2021 but not executed due to COVID-19 restrictions and still deemed necessary are included in our 2022 plan. Cumulatively, 627 supplier sites had received audits by the end of 2021. 3 Previous years’ figures are updated to reflect the most current information as new audit data becomes available. Supplier Report Card (SRC). We have a regular review and scoring process for our SRC to grade suppliers for product availability, cost, quality, sustainability (ethics, supplier diversity, and environmental and human rights performance), security, safety, technology, and customer satisfaction. These processes allow for executive-level dialogue on past and future performance, and remind suppliers of our expectations. Assessments and Audits. Supplier assessments and audits cover more than 300 environmental, safety, and human rights factors, and help us determine a supplier’s risk profile. The audits, conducted by a mix of third parties and Intel personnel, follow the RBA VAP and help us identify where immediate action is needed and where longer term, corrective “targeted action plans” should be put in place. In 2021, 35% of the combined RBA audits were follow-up or closure audits to verify whether the findings from a previous audit had been addressed. We strive to audit 100% of high-risk supplier sites within a two-year cycle. We have instituted a process of unannounced audits to follow up on credible reports of non-compliance, but we did not need to conduct any such audits in 2021. Targeted Action Plans. When a supplier does not make sufficient progress in addressing audit findings or has particularly egregious issues, we work with the supplier to quickly develop and implement a strong corrective action plan. Supplier progress is reviewed quarterly until we have verified that all key issues have been closed, and that processes have been put in place to prevent recur - rence. If satisfactory progress is not made, we may take additional action, such as not awarding new business (“conditional use” status) until issues are resolved or— when necessary—ending the supplier relationship. While complete closure of some issues can take several years, we work to close egregious issues within 30 days. We help suppliers with targeted action plans make progress in multiple ways. Our actions may include conducting additional reviews, such as unannounced audits, and increasing the frequency of contact between Intel executives and supplier senior management. 2 We recognize diverse suppliers as businesses that are 51% owned and operated by at least one of the following: women; minorities as defined by the country or region where the business was established; veterans/service-disabled veterans; persons who are lesbian, gay, bisexual, or transgender; or persons who are disabled. While Intel recognizes these categories, they may vary in accordance with local law. Introduction Responsible Inclusive Sustainable Enabling Appendix Our Business