Apple (AAPL)

Capital Expenditures

The Company’s total capital expenditures were $530 million during the first nine months of 2007, consisting of $164 million for retail store facilities and $366 million for real estate acquisitions and corporate infrastructure including information systems enhancements.  The Company currently anticipates it will utilize approximately $850 million for capital expenditures during 2007, including approximately $315 million for expansion of the Company’s Retail segment, and approximately $535 million is projected to support normal replacement of existing capital assets, enhancements to general information technology infrastructure, and to be used for real estate acquisitions including purchases related to the Company’s second corporate campus.

Capital Expenditures

The Company’s total capital expenditures were $247 million during the first six months of 2007, consisting of $76 million for retail store facilities and $171 million for real estate acquisitions and corporate infrastructure including information systems enhancements. The Company currently anticipates it will utilize approximately $775 million for capital expenditures during 2007, including approximately $360 million for expansion of the Company’s Retail segment, and approximately $415 million is projected to support normal replacement of existing capital assets, enhancements to general information technology infrastructure, and to be used for real estate acquisitions including purchases related to the Company’s second corporate campus.

Capital Expenditures

The Company’s total capital expenditures were $142 million during the first quarter of fiscal 2007, consisting of  $36 million for retail store facilities and $106 million for real estate acquisitions and corporate infrastructure including information systems enhancements.  The Company currently anticipates it will utilize approximately $675 million for capital expenditures during 2007, including approximately $360 million for expansion of the Company’s Retail segment.  The remainder of approximately $315 million is projected to be used for real estate acquisitions including the Company’s second corporate campus and to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital Expenditures

The Company’s total capital expenditures were $512 million during the first nine months of 2006, consisting of $136 million for retail store facilities and equipment related to the Company’s Retail segment, $247 million for real estate acquisitions for the Company’s second corporate campus and for a new data center, and $129 million for corporate infrastructure, including information systems enhancements.  The Company currently anticipates it will utilize approximately $700 million for capital expenditures during 2006, including approximately $210 million for expansion of the Company’s Retail segment, approximately $265 million for real estate acquisitions including the Company’s second corporate campus and its new data center, and approximately $225 million to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital Expenditures

The Company’s total capital expenditures were $657 million during 2006, consisting of $200 million for retail store facilities and equipment related to the Company’s Retail segment, $263 million for real estate acquisitions for the Company’s second corporate campus and for a new data center, and $194 million for corporate infrastructure, including information systems enhancements. The Company currently anticipates it will utilize approximately $675 million for capital expenditures during 2007, including approximately $360 million for expansion of the Company’s Retail segment, approximately $50 million for real estate acquisitions including the Company’s second corporate campus and its new data center, and approximately $265 million to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital
Expenditures

The Company’s total
capital expenditures were $657 million during 2006, consisting of $200 million
for retail store facilities and equipment related to the Company’s Retail
segment, $263 million for real estate acquisitions for the Company’s second corporate campus and for a new data center,
and $194 million for corporate infrastructure, including information systems
enhancements. The Company currently
anticipates it will utilize approximately $675 million for capital expenditures
during 2007, including approximately $360 million for expansion of the Company’s
Retail segment, approximately $50 million for real estate acquisitions
including the Company’s second corporate campus and its new data center, and
approximately $265 million to support normal replacement of existing capital
assets and enhancements to general information technology infrastructure.

Capital Expenditures

The Company’s total capital expenditures were $275 million during the first six months of 2006, $82 million of which were for retail store facilities and equipment related to the Company’s Retail segment and $193 million of which were for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $700 million for capital expenditures during 2006, approximately $210 million of which is expected to be utilized for expansion of the Company’s Retail segment, approximately $265 million of which is expected to be utilized for real estate acquisitions including the Company’s second corporate campus and a new data center, and approximately $225 million of which is expected to be utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

32

Capital Expenditures

The Company’s total capital expenditures were $82 million during the first quarter of fiscal 2006, $40 million of which were for retail store facilities and equipment related to the Company’s Retail segment and $42 million of which were for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $420 million for capital expenditures during 2006, approximately $210 million of which is expected to be utilized for expansion of the Company’s Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital Expenditures

The Company’s total capital expenditures were $260 million during 2005, $132 million of which were for retail store facilities and equipment related to the Company’s Retail segment and $128 million of which were primarily for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $390 million for capital expenditures during 2006, approximately $210 million of which is expected to be utilized for further expansion of the Company’s Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital
Expenditures

The Company’s total
capital expenditures were $260 million during 2005, $132 million of which were
for retail store facilities and equipment related to the Company’s Retail
segment and $128 million of which were primarily for corporate infrastructure,
including information systems enhancements and operating facilities enhancements
and expansions. The Company currently
anticipates it will utilize approximately $390 million for capital
expenditures during 2006, approximately $210 million of which is expected to be
utilized for further expansion of the Company’s Retail segment and the
remainder utilized to support normal replacement of existing capital assets and
enhancements to general information technology infrastructure.

Capital Expenditures

The Company’s total capital expenditures were $164 million during the first nine months of fiscal 2005, $83 million of which were for retail store facilities and equipment related to the Company’s Retail segment and $81 million of which were for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $280 million for capital expenditures during 2005, approximately $140 million of which is expected to be utilized for expansion of the Company’s Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general corporate infrastructure.

Capital Expenditures

The Company’s total capital expenditures were $101 million during the first six months of fiscal 2005, $49 million of which were for retail store facilities and equipment related to the Company’s Retail segment and $52 million of which were for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $280 million for capital expenditures during 2005, approximately $140 million of which is expected to be utilized for expansion of the Company’s Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general corporate infrastructure.

Capital Expenditures

The Company’s total capital expenditures were $58 million during the first quarter of fiscal 2005, $33 million of which were for retail store facilities and equipment related to the Company’s Retail segment and $25 million of which were for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $240 million for capital expenditures during 2005, approximately $125 million of which is expected to be utilized for expansion of the Company’s Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital Expenditures

The Company's total capital expenditures were $176 million during fiscal 2004, $104 million of which were for retail store facilities and equipment related to the Company's Retail segment and $72 million of which were primarily for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $240 million for capital expenditures during 2005, approximately $125 million of which is expected to be utilized for further expansion of the Company's Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

43

Capital Expenditures

The Company's total capital expenditures were $176 million during fiscal 2004, $104 million of which were for retail store facilities and equipment related to the
Company's Retail segment and $72 million of which were primarily for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions.
The Company currently anticipates it will utilize approximately $240 million for capital expenditures during 2005, approximately $125 million of which is
expected to be utilized for further expansion of the Company's Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general
information technology infrastructure.

43

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Capital Expenditures

The Company's total capital expenditures were $164 million during fiscal 2003, $92 million of which were for retail store facilities and equipment related to the Company's Retail segment and $72 million of which were primarily for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $160 million for capital expenditures during 2004, approximately $85 million of which is expected to be utilized for further expansion of the Company's Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital Expenditures

The Company's total capital expenditures were $164 million during fiscal 2003, $92 million of which were for retail store facilities and equipment related to the
Company's Retail segment and $72 million of which were primarily for corporate infrastructure, including information systems enhancements and operating facilities enhancements and expansions.
The Company currently anticipates it will utilize approximately $160 million for capital expenditures during 2004, approximately $85 million of which is expected to be utilized for
further expansion of the Company's Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital Expenditures

Of total capital expenditures in 2002 of $174 million, $106 million was for retail store facilities and equipment related to the Company's Retail segment and $68 million was for corporate infrastructure including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize approximately $160 million for capital expenditures during 2003, approximately $77 million of which is expected to be utilized for further expansion of the Company's Retail segment and the remainder utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.

Capital Expenditures

Of total capital expenditures in 2002 of $174 million, $106 million was for retail store facilities and equipment related to the Company's Retail segment and
$68 million was for corporate infrastructure including information systems enhancements and operating facilities enhancements and expansions. The Company currently anticipates it will utilize
approximately $160 million for capital expenditures during 2003, approximately $77 million of which is expected to be utilized for further expansion of the Company's Retail segment and
the remainder utilized to support normal replacement of existing capital assets and enhancements to general information technology infrastructure.