0001604255-14-000002.txt : 20140424
0001604255-14-000002.hdr.sgml : 20140424
20140424152354
ACCESSION NUMBER: 0001604255-14-000002
CONFORMED SUBMISSION TYPE: SC TO-C
PUBLIC DOCUMENT COUNT: 1
FILED AS OF DATE: 20140424
DATE AS OF CHANGE: 20140424
SUBJECT COMPANY:
COMPANY DATA:
COMPANY CONFORMED NAME: INTEL CORP
CENTRAL INDEX KEY: 0000050863
STANDARD INDUSTRIAL CLASSIFICATION: SEMICONDUCTORS & RELATED DEVICES [3674]
IRS NUMBER: 941672743
STATE OF INCORPORATION: DE
FISCAL YEAR END: 1231
FILING VALUES:
FORM TYPE: SC TO-C
SEC ACT: 1934 Act
SEC FILE NUMBER: 005-19567
FILM NUMBER: 14781585
BUSINESS ADDRESS:
STREET 1: 2200 MISSION COLLEGE BLVD
STREET 2: RNB-4-151
CITY: SANTA CLARA
STATE: CA
ZIP: 95054
BUSINESS PHONE: 4087658080
MAIL ADDRESS:
STREET 1: 2200 MISSION COLLEGE BLVD
STREET 2: RNB-4-151
CITY: SANTA CLARA
STATE: CA
ZIP: 95054
FILED BY:
COMPANY DATA:
COMPANY CONFORMED NAME: EXASCALE POWER Co
CENTRAL INDEX KEY: 0001604255
IRS NUMBER: 464266719
STATE OF INCORPORATION: OR
FISCAL YEAR END: 1214
FILING VALUES:
FORM TYPE: SC TO-C
BUSINESS ADDRESS:
STREET 1: 1819 SW FIFTH AVE
STREET 2: #211
CITY: PORTLAND
STATE: OR
ZIP: 97201
BUSINESS PHONE: 2022774478
MAIL ADDRESS:
STREET 1: 1819 SW FIFTH AVE
STREET 2: #211
CITY: PORTLAND
STATE: OR
ZIP: 97201
SC TO-C
1
sctoc.txt
TENDER OFFER PRELIMINARY COMMUNICATION
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON DC 20549
SCHEDULE TO
TENDER OFFER STATEMENT
INTEL CORPORATION
NAME OF SUBJECT COMPANY
EXASCALE POWER CO
NAME OF FILING PERSON/OFFEROR
COMMON STOCK
TITLE OF CLASS OF SECURITIES
458140100
CUSIP NUMBER OF SECURITIES
JOHN FITZPATRICK
CEO, Exascale Power Co.
1819 SW Fifth Ave #211
Portland, Oregon 97201
202-277-4478
info@exascalepower.com
http://exascalepower.com
NAME ADDRESS TELEPHONE OF PERSON AUTHORIZED TO RECEIVE NOTICE
ON BEHALF OF FILING PERSONS
X RELATES SOLELY TO PRELIMINARY COMMUNICATIONS MADE BEFORE THE
COMMENCEMENT OF AN OFFER
24 April 2014
Andy D. Bryant, Chairman, Intel Corporation
Brian Krzanich, CEO, Intel Corporation
Sirs,
This letter is a preliminary communication before a formal tender offer to
exchange some shares of Exascale Power Co. IRS# 46-4266719 in Portland,
Oregon for all of Intel Corporation IRS# 94-1672743 shares of common stock,
CUSIP 458140100.
In my past several months of communication with staff at Intel Corporation,
forming a relationship as a potential Intel customer to build the Worlds
first ExaFlop Supercomputer( see exascalepower.com )in Oklahoma, I see more
of an opportunity to grow my business in large scale data center development
with ownership and controlling interest in Intel Corporation.
The cost detail of nearly $18 Billion in 2014, presented to me as a potential
customer for the ExaFlop System mentioned, with a similar amount needed for
upgrade in 2016, and budget of an extra 20 percent for unforeseen cost overuns
building a new system, the resulting $50 Billion budget represents over one
third of the present $134 Billion market capitalization of Intel Corporation.
With a published Intel profit margin of 50 percent that would represent
$25 Billion increased earnings. Trading at the current P/E of 14 means the
Intel Market cap would increase by $350 billion to nearly $500 Billion.
In addition, I proposed entering into an IBM-type service contract with Intel
to staff and maintain the Data Center as a turn key operation for my company
as end user.
The Exascale Power Co. Data Center in Oklahoma will generate projected EBITDA
of $13 Billion per year, with economies of scale allowing pricing of the
commodity cloud computing service well below Google and Amazon, to capture
significant market share. Immediate Future Plans include a ZettaFlop Data
Center (1000x larger) in New Mexico in 2016.
My interest would be to continue Intel as a public company, and preserve the
published Intel profit margin exceeding 50 percent, while gaining the
efficiencies of merging an aggressive data center developer/operator with
Intel, a demonstrated industry leader in hardware, and adding IBM-type service
contracts.
Greater emphasis on big data center development by Intel will also better
support Corporate and Industry growth in Mobile and Internet Of Things markets
by substantially reducing cloud computing costs.
John Fitzpatrick
CEO, Exascale Power Co.
1819 SW Fifth Ave #211
Portland, Oregon 97201
202-277-4478
info@exascalepower.com
http://exascalepower.com
cc: U.S. Department of Justice Anti-Trust
Federal Trade Commission