INTC · 10-Q · 2026Q2 · Full report
Escrowed Shares Valuation Loss
INTEL CORP · 2026-07-24 · Importance 71 · Surprise 60 · Matches filing data
Intel recognized $12.5 billion of second-quarter 2026 losses and $13.6 billion of first-half losses from changes in the fair value of Escrowed Shares released and remaining in escrow. The loss was recorded in interest and other, net, which totaled $12.576 billion in the second quarter and $13.314 billion in the first half. The Escrowed Shares derivative liability reached $15.6 billion at June 27, 2026, up from $2.7 billion at December 27, 2025. The liability was presented within other accrued liabilities and other long-term liabilities and materially drove Intel's $10.848 billion second-quarter net loss and $15.129 billion first-half net loss.
Key facts
- In Q2 2026 we recognized a $12.5 billion loss related to the net change in the fair value of shares of our common stock released from escrow during the quarter and remaining in escrow at the end of Q2 2026. source
- Interest and other, net included a $12.5 billion net loss in Q2 2026 from the change in fair value of the derivative liability for the Escrowed Shares and a $13.6 billion net loss in YTD 2026 from the change in fair value of that derivative liability. source
- INTEL CORP fair value of the Escrowed Shares derivative liability at Jun 27, 2026: $15.6 billion and at Dec 27, 2025: $2.7 billion. source
- The fair value of the derivative liability related to Escrowed Shares was $15.6 billion at the end of Q2 2026. source
- INTEL CORP other accrued liabilities as of Jun 27, 2026 include $8.8 billion related to the fair value of the Escrowed Shares derivative liability. source
- INTEL CORP gain (loss) on mark-to-market of Escrowed Shares for the three months ended Jun 27, 2026: ($12,529) million. source
- INTEL CORP recognized $12.5 billion and $13.6 billion of losses related to the net change in fair value of Escrowed Shares released and still held in escrow during the three and six months ended Jun 27, 2026, respectively. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| net_income | negative | realized | -84.3% | INTEL CORP recognized $12.5 billion and $13.6 billion of losses related to the net change in fair value of Escrowed Shares released and… |
| net_income | negative | realized | -77.5% | In Q2 2026 we recognized a $12.5 billion loss related to the net change in the fair value of shares of our common stock released from… |
| liability | negative | realized | -6.4% | INTEL CORP fair value of the Escrowed Shares derivative liability at Jun 27, 2026: $15.6 billion and at Dec 27, 2025: $2.7 billion. |