Exhibit 99.1

Contact:    Dave Farmer

                  508-293-7206

                  Farmer_dave@emc.com

EMC REPORTS FOURTH-QUARTER AND FULL-YEAR

2008 FINANCIAL RESULTS

Highlights

• First-ever $4 billion-plus quarter – Revenue up 8% sequentially; 5% year over year

• Fourth-quarter operating cash flow of $1.1 billion – Up 9% year over year

• Record full-year revenue of $14.88 billion – Up 12% year over year

• Sixth consecutive year of double-digit annual revenue growth

HOPKINTON, Mass. – Jan. 27, 2009 – EMC Corporation (NYSE:EMC), the world leader in information infrastructure solutions, today reported fourth-quarter 2008 revenue of $4.02 billion, an increase of 8% sequentially and 5% year over year, representing an all-time EMC record for quarterly revenue.

Fourth-quarter GAAP net income was $288.0 million or $0.14 per diluted share, which includes a $0.10 restructuring charge. Fourth-quarter non-GAAP net income¹ was $646.8 million or $0.32 per diluted share, 7% higher compared with the year-ago period.

For 2008, EMC posted total consolidated revenue of a record $14.88 billion, an increase of 12% year over year and representing EMC’s sixth consecutive year of double-digit annual revenue growth. GAAP net income for 2008 was $1.35 billion or $0.64 per diluted share. Non-GAAP net income¹ for the full year was $2.16 billion or $1.04 per diluted share, an increase of 14% year over year.

During the fourth quarter, EMC generated operating cash flow of $1.1 billion and free cash flow of $775 million, each increasing 9% year over year. For the year, EMC’s operating cash flow was $3.6 billion, an increase of 14% compared with 2007, and free cash flow was $2.6 billion, an increase of 17% year over year.

Joe Tucci, EMC Chairman, President and Chief Executive Officer, said, “EMC’s ability to achieve record financial results despite the macro-economy was driven by tight alignment with key customer priorities; the strongest and most integrated product, services and partner portfolio in company history; and solid execution throughout the year. We’ve entered 2009 with a robust and diversified business model, which we intend to leverage to extend our technology lead and gain market share.”

Tucci added, “EMC has a firm grasp on what’s required to thrive in tough times and emerge even stronger in the next growth cycle. We remain intensely focused on customers’ top priorities – saving money, attaining a faster ROI, reducing risk and preparing for the delivery of next-generation data centers. Finally, we remain committed to investing heavily in research and development to extend our technology lead and maintain rapid product rollout cycles.”

David Goulden, EMC Executive Vice President and Chief Financial Officer, said, “Financial strength and flexibility are high on the list of EMC’s most strategic advantages. Throughout 2008 we managed our spending carefully, while reinvesting in future growth opportunities, strengthening the competitiveness of our solutions and extending our market leadership. Through 2009 we will continue to streamline operations, reduce costs and strengthen the efficiencies of our global operations.”

EMC’s best estimate is that 2009 global IT spending will decline as a percentage in the mid to high single digits compared with 2008. The company expects the markets that it addresses will perform slightly better than the overall IT market. The company also expects that a higher than usual percentage of the full-year IT spending will take place in the second half of the year.

Fourth-Quarter Highlights

EMC’s Information Infrastructure business revenue for the fourth quarter – comprising Information Storage, RSA Security, and Content Management & Archiving – was $3.5 billion, an increase of 8% sequentially and up 2% compared with the year-ago period. This growth reflects the completeness of EMC’s broad portfolio of products and services uniquely suited to help customers address the growth and management of information and drive cost savings across their IT environments.

Fourth-quarter Information Infrastructure business highlights included strong customer demand for EMC’s:

• Industry-leading networked storage solutions, with particularly strong revenue growth from EMC’s unified storage systems that connect to a variety of networks.

• Broad portfolio of industry-leading backup, recovery and archive solutions that leverage data de-duplication to meet their data protection requirements, reduce cost and mitigate risk.

• RSA security information & event management (SIEM) solutions and the RSA data loss & prevention (DLP) suite.

• Services portfolio that spans across EMC’s Information Storage, RSA Security and Content Management & Archiving business units.

VMware (NYSE: VMW), which is majority-owned by EMC, contributed fourth-quarter revenue of $514 million.

EMC consolidated fourth-quarter revenue from the United States increased 6% compared with the same period a year ago. Fourth-quarter revenue from EMC’s operations outside of the United States grew 4% year over year and represented 46% of total fourth-quarter revenue.

2008 Highlights

Full-year 2008 consolidated revenue was $14.88 billion, 12% higher than the year-ago period. EMC’s Information Infrastructure business grew revenue 9% to $13.0 billion, driven by the introduction of new, industry-leading products, the quality and breadth of EMC’s global services portfolio, technology integrations and product enhancements from across all business units, strengthening the company’s market leadership and competitiveness.

In addition, VMware contributed revenue of $1.88 billion.

Full-year 2008 consolidated revenue from EMC’s operations outside of the United States grew 17% year over year and represented 46% of total annual revenue, with the Europe, Middle East & Africa (EMEA), Asia-Pacific & Japan (APJ) and Latin America regions posting double-digit year-over-year revenue growth. Revenue from EMC’s United States operations increased 9% compared with 2007 and represented 54% of total annual revenue.

Certain Items Impacting 2009

The following statements are based on current expectations. These statements are forward-looking, and actual results may differ materially. These statements do not give effect to the potential impact of mergers, acquisitions, divestitures or business combinations that may be announced or closed after the date hereof. These statements supersede all prior statements regarding 2009 financial results set forth in prior EMC news releases.

All dollar amounts and percentages set forth below should be considered to be approximations.

The following items are expected to impact EMC’s 2009 results:

• Savings from EMC’s restructuring program are expected to reduce the company’s 2008 cost base by $350 million, with about a third benefiting cost of sales and the remaining representing lower operating expenses. The savings are expected to be weighted toward the latter half of 2009.

• Transition costs in 2009 are expected to be $60 million, primarily impacting operating expenses.

• The net impact of lower software capitalization and increased amortization under Statement of Financial Accounting Standard No. 86, “Accounting for the Costs of Computer Software to be Sold, Leased, or Otherwise Marketed,” is expected to increase total costs and expenses by $100 million in 2009.

• The adoption of FASB Staff Position No. APB 14-1, “Accounting for Convertible Debt Instruments that May be Settled in Cash upon Conversion (Including Partial Cash Settlement)” (“FSP No. APB 14-1”) is expected to cause a non-cash increase to interest expense of $108 million in 2009.

• Interest income in 2009 is expected to be $70 million lower than 2008 due to lower interest rates.

• EMC expects transition costs, net impact of software capitalization and amortization, adoption of FSP No. APB 14-1 and reduced interest income to reduce both GAAP and non-GAAP diluted earnings per share by $0.12 in 2009 compared to 2008.

• Restructuring expenses in 2009 are expected to be $75 million.

• The GAAP tax rate is expected to be 18%. The non-GAAP tax rate excluding stock-based compensation, intangible amortization and restructuring is expected to be 21%.

Due to the current macro-economic conditions and limited visibility, EMC is not offering revenue, EPS or other financial outlook at this time.

Supporting Resources

• EMC will host its 2008 fourth-quarter and full-year earnings conference call today at 8:30 a.m. ET, which will be available on EMC’s web site at http://www.emc.com/about/investor-relations/index.htm

• Additional information regarding EMC’s financials, as well as a webcast of the conference call, will be available at 8:30 a.m. ET at http://www.emc.com/about/investor-relations/index.htm

• Visit http://ir.vmware.com for more information about VMware’s fourth-quarter and full-year financial results

About EMC

EMC Corporation (NYSE: EMC) is the world’s leading developer and provider of information infrastructure technology and solutions that enable organizations of all sizes to transform the way they compete and create value from their information. Information about EMC’s products and services can be found at www.EMC.com.

# # #

¹ Items excluded for the fourth quarters of 2008 and 2007 from the non-GAAP results are stock-based compensation, intangible amortization, restructuring and IPR&D charges. Items excluded for full-year 2008 and 2007 from the non-GAAP results are stock-based compensation, intangible amortization, restructuring and IPR&D charges and special income tax benefits. Additionally, net gains on investments, including the gain on the sale of VMware stock was excluded in the full-year 2007 non-GAAP results. See attached schedules for reconciliation of GAAP to non-GAAP.

EMC is a registered trademark of EMC Corporation. RSA is a registered trademark of RSA Security Inc. VMware is a registered trademark of VMware, Inc. All other trademarks used are the property of their respective owners.

Forward-Looking Statements

This release contains “forward-looking statements” as defined under the Federal Securities Laws. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to: (i) adverse changes in general economic or market conditions; (ii) delays or reductions in information technology spending; (iii) our ability to protect our proprietary technology; (iv) risks associated with managing the growth of our business, including risks

associated with acquisitions and investments and the challenges and costs of integration, restructuring and achieving anticipated synergies; (v) fluctuations in VMware, Inc.’s operating results and risks associated with trading of VMware stock; (vi) competitive factors, including but not limited to pricing pressures and new product introductions; (vii) the relative and varying rates of product price and component cost declines and the volume and mixture of product and services revenues; (viii) component and product quality and availability; (ix) the transition to new products, the uncertainty of customer acceptance of new product offerings and rapid technological and market change; (x) insufficient, excess or obsolete inventory; (xi) war or acts of terrorism; (xii) the ability to attract and retain highly qualified employees; (xiii) fluctuating currency exchange rates; (xiv) the impact of any expense reduction initiatives; and (xv) other one-time events and other important factors disclosed previously and from time to time in EMC’s filings with the U.S. Securities and Exchange Commission. Statements in this release regarding market conditions are based on current expectations. These statements are forward-looking, and actual results may differ materially. EMC disclaims any obligation to update any forward-looking statements in this release after the date of this release.

Use of Non-GAAP Financial Measures

This release contains non-GAAP financial measures. These non-GAAP financial measures, which are used as measures of EMC’s performance or liquidity, should be considered in addition to, not as a substitute for, measures of EMC’s financial performance or liquidity prepared in accordance with GAAP. EMC’s non-GAAP financial measures may be defined differently from time to time and may be defined differently than similar terms used by other companies, and accordingly, care should be exercised in understanding how EMC defines its non-GAAP financial measures in this release.

Where specified in the accompanying schedules for various periods entitled “Reconciliation of GAAP to Non-GAAP,” certain items noted on each such specific schedule (including, where noted, amounts relating to stock-based compensation expense, intangible amortization, special income tax benefits, restructuring charges, IPR&D charges and net gains on investments) are excluded from the non-GAAP financial measures.

EMC’s management uses the non-GAAP financial measures in the accompanying schedules to gain an understanding of EMC’s comparative operating performance (when comparing such results with previous periods or forecasts) and future prospects and excludes the above-listed items from its internal financial statements for purposes of its internal budgets and each reporting segment’s financial goals. These non-GAAP financial measures are used by EMC’s management in their financial and operating decision-making because management believes they reflect EMC’s ongoing business in a manner that allows meaningful period-to-period comparisons. EMC’s management believes that these non-GAAP financial measures provide useful information to investors and others (a) in understanding and evaluating EMC’s current operating performance and future prospects in the same manner as management does, if they so choose, and (b) in comparing in a consistent manner the Company’s current financial results with the Company’s past financial results.

This release also includes disclosures regarding free cash flow which is a non-GAAP financial measure. Free cash flow is defined as net cash provided by operating activities less additions to property, plant and equipment and capitalized software development costs. EMC uses free cash flow, among other measures, to evaluate the ability of its operations to generate cash that is available for purposes other than capital expenditures and capitalized software development costs. Management believes that information regarding free cash flow provides investors with an important perspective on the cash available to make strategic acquisitions and investments, repurchase shares, service debt and fund ongoing operations. As free cash flow is not a measure of liquidity calculated in accordance with GAAP, free cash flow should be considered in addition to, but not as a substitute for, the analysis provided in the statement of cash flows.

All of the foregoing non-GAAP financial measures have limitations. Specifically, the non-GAAP financial measures that exclude the items noted above do not include all items of income and expense that affect EMC’s operations. Further, these non-GAAP financial measures are not prepared in accordance with GAAP, may not be comparable to non-GAAP financial measures used by other companies and do not reflect any benefit that such items may confer on EMC. Management compensates for these limitations by also considering EMC’s financial results as determined in accordance with GAAP.

EMC CORPORATION

Consolidated Income Statements

(in thousands, except per share amounts)

Unaudited

	Three Months Ended						Twelve Months Ended
	December 31, 2008			December 31, 2007			December 31, 2008			December 31, 2007
Revenues:
Product sales	$	2,776,794		$	2,744,311		$	10,071,816		$	9,411,976
Services		1,239,844			1,086,463			4,804,347			3,818,229
		4,016,638			3,830,774			14,876,163			13,230,205
Cost and expenses:
Cost of product sales		1,313,468			1,227,607			4,663,667			4,359,041
Cost of services		477,486			484,236			1,990,127			1,659,836
Research and development		434,521			402,970			1,721,330			1,526,928
Selling, general and administrative		1,211,120			1,128,875			4,601,588			3,912,688
In-process research and development		6,576			350			85,780			1,150
Restructuring charges		240,694			34,551			244,735			31,310
Operating income		332,773			552,185			1,568,936			1,739,252
Net gain on investments, including gain on sale of VMware stock		—			—			—			148,585
Investment income		54,462			79,083			247,049			249,264
Interest expense		(18,446	)		(18,489	)		(73,774	)		(72,855	)
Other (expense) income, net		(18,518	)		5,627			(39,405	)		(4,677	)
Income before taxes and minority interest		350,271			618,406			1,702,806			2,059,569
Income tax provision		44,569			81,676			312,514			378,446
Income before minority interest		305,702			536,730			1,390,292			1,681,123
Minority interest in VMware, net of taxes		(17,718	)		(10,996	)		(44,725	)		(15,455	)
Net income	$	287,984		$	525,734		$	1,345,567		$	1,665,668
Net income per weighted average share, basic:	$	0.14		$	0.25		$	0.66		$	0.80
Net income per weighted average share, diluted:	$	0.14		$	0.24		$	0.64		$	0.77
Weighted average shares, basic		2,012,389			2,086,259			2,048,506			2,079,542
Weighted average shares, diluted		2,028,635			2,210,008			2,079,853			2,157,873
As a % of total revenue:
Gross margin		55.4	%		55.3	%		55.3	%		54.5	%
Selling, general and administrative		30.2	%		29.5	%		30.9	%		29.6	%
Research and development		10.8	%		10.5	%		11.6	%		11.5	%
Operating income		8.3	%		14.4	%		10.5	%		13.1	%
Net income		7.2	%		13.7	%		9.0	%		12.6	%

Reconciliation of GAAP to Non-GAAP

For the Three Months Ended December 31, 2008

(in thousands, except per share amounts)

Unaudited

	Revenue			Cost of Revenue			Research and Development			Selling, General and Administrative			IPR&D Charge			Restructuring Charge			Operating Income		Other Income, net			Income Before Taxes and Minority Interest		Income Tax Provision			Income Before Minority Interest			Minority Interest			Net Income			Net Income per Weighted Average Share, Basic			Net Income per Weighted Average Share, Diluted
EMC Consolidated GAAP	$	4,016,638		$	1,790,954		$	434,521		$	1,211,120		$	6,576		$	240,694		$	332,773	$	17,498		$	350,271	$	44,569		$	305,702		$	(17,718	)	$	287,984		$	0.143		$	0.142
Restructuring charge		—			—			—			—			—			(240,694	)		240,694		6,877			247,571		48,037			199,534			—			199,534		$	0.099		$	0.098
IPR&D charge		—			—			—			—			(6,576	)		—			6,576		—			6,576		2,229			4,347			(691	)		3,656		$	0.002		$	0.002
EMC Consolidated Adjusted (1)		4,016,638			1,790,954			434,521			1,211,120			—			—			580,043		24,375			604,418		94,835			509,583			(18,409	)		491,174		$	0.244		$	0.242
Stock-based compensation expense		—			(21,704	)		(47,385	)		(74,682	)		—			—			143,771		—			143,771		26,895			116,876			(6,837	)		110,039		$	0.055		$	0.054
Intangible amortization		—			(40,397	)		(4,305	)		(28,260	)		—			—			72,962		—			72,962		26,930			46,032			(480	)		45,552		$	0.023		$	0.022
EMC Consolidated Non-GAAP (2)	$	4,016,638		$	1,728,853		$	382,831		$	1,108,178		$	—		$	—		$	796,776	$	24,375		$	821,151	$	148,660		$	672,491		$	(25,726	)	$	646,765		$	0.321		$	0.319
EMC Information Infrastructure GAAP	$	3,502,307		$	1,719,162		$	331,166		$	982,832		$	—		$	240,694		$	228,453	$	20,592		$	249,045	$	49,872		$	199,173		$	—		$	199,173		$	0.099		$	0.098
Restructuring charge		—			—			—			—			—			(240,694	)		240,694		6,877			247,571		48,037			199,534			—			199,534		$	0.099		$	0.098
EMC Information Infrastructure Adjusted (3)		3,502,307			1,719,162			331,166			982,832			—			—			469,147		27,469			496,616		97,909			398,707			—			398,707		$	0.198		$	0.197
Stock-based compensation expense		—			(16,665	)		(25,274	)		(52,885	)		—			—			94,824		—			94,824		20,958			73,866			—			73,866		$	0.037		$	0.036
Intangible amortization		—			(37,253	)		(4,305	)		(26,705	)		—			—			68,263		—			68,263		25,248			43,015			—			43,015		$	0.021		$	0.021
EMC Information Infrastructure Non-GAAP (4)	$	3,502,307		$	1,665,244		$	301,587		$	903,242		$	—		$	—		$	632,234	$	27,469		$	659,703	$	144,115		$	515,588		$	—		$	515,588		$	0.256		$	0.254
VMware standalone GAAP	$	514,603		$	71,950		$	110,506		$	230,033		$	—		$	—		$	102,114	$	(1,490	)	$	100,624	$	(10,830	)	$	111,454		$	—		$	111,454		$	0.055		$	0.055
GAAP adjustments and eliminations		(272	)		(158	)		(7,151	)		(1,745	)		6,576			—			2,206		(1,604	)		602		5,527			(4,925	)		(17,718	)		(22,643	)	$	(0.011	)	$	(0.011	)
VMware within EMC GAAP		514,331			71,792			103,355			228,288			6,576			—			104,320		(3,094	)		101,226		(5,303	)		106,529			(17,718	)		88,811		$	0.044		$	0.044
IPR&D charge		—			—			—			—			(6,576	)		—			6,576		—			6,576		2,229			4,347			(691	)		3,656		$	0.002		$	0.002
VMware within EMC Adjusted (5)		514,331			71,792			103,355			228,288			—			—			110,896		(3,094	)		107,802		(3,074	)		110,876			(18,409	)		92,467		$	0.046		$	0.045
Stock-based compensation expense		—			(5,039	)		(22,111	)		(21,797	)		—			—			48,947		—			48,947		5,937			43,010			(6,837	)		36,173		$	0.018		$	0.018
Intangible amortization		—			(3,144	)		—			(1,555	)		—			—			4,699		—			4,699		1,682			3,017			(480	)		2,537		$	0.001		$	0.001
VMware within EMC Non-GAAP (6)	$	514,331		$	63,609		$	81,244		$	204,936		$	—		$	—		$	164,542	$	(3,094	)	$	161,448	$	4,545		$	156,903		$	(25,726	)	$	131,177		$	0.065		$	0.065
																														Wtd. Average Share O/S									2,012,389			2,028,635
(1) Represents EMC Consolidated GAAP excluding restructuring charge and IPR&D charge.
(2) Represents EMC Consolidated Adjusted excluding stock-based compensation expense and intangible amortization.
(3) Represents EMC Information Infrastructure GAAP excluding restructuring charge and IPR&D charge.
(4) Represents EMC Information Infrastructure Adjusted excluding stock-based compensation expense and intangible amortization.
(5) Represents VMware within EMC GAAP excluding IPR&D charge.
(6) Represents VMware within EMC Adjusted excluding stock-based compensation expense and intangible amortization.
Note: schedule may not add due to rounding

Reconciliation of GAAP to Non-GAAP

For the Three Months Ended December 31, 2007

(in thousands, except per share amounts)

Unaudited

	Revenue			Cost of Revenue			Research and Development			Selling, General and Administrative			Restructuring and IPR&D			Operating Income			Other Income, net		Income Before Taxes and Minority Interest			Income Tax Provision			Income Before Minority Interest			Minority Interest			Net Income			Net Income per Weighted Average Share, Basic			Net Income per Weighted Average Share, Diluted
EMC Consolidated GAAP	$	3,830,774		$	1,711,843		$	402,970		$	1,128,875		$	34,901		$	552,185		$	66,221	$	618,406		$	81,676		$	536,730		$	(10,996	)	$	525,734		$	0.252		$	0.236
Restructuring charges and IPR&D		—			—			—			—			(34,901	)		34,901			—		34,901			3,123			31,778			—			31,778		$	0.015		$	0.014
EMC Consolidated Adjusted (1)		3,830,774			1,711,843			402,970			1,128,875			—			587,086			66,221		653,307			84,799			568,508			(10,996	)		557,512		$	0.267		$	0.251
Stock-based compensation expense		—			(15,157	)		(30,837	)		(50,220	)		—			96,214			—		96,214			17,719			78,495			(4,089	)		74,406		$	0.036		$	0.034
Intangible amortization		—			(31,400	)		(4,871	)		(20,797	)		—			57,068			—		57,068			19,955			37,113			(581	)		36,532		$	0.018		$	0.017
EMC Consolidated Non-GAAP (2)	$	3,830,774		$	1,665,286		$	367,262		$	1,057,858		$	—		$	740,368		$	66,221	$	806,589		$	122,473		$	684,116		$	(15,665	)	$	668,451		$	0.320		$	0.301
EMC Information Infrastructure GAAP	$	3,418,367		$	1,644,155		$	309,541		$	950,552		$	34,901		$	479,218		$	59,435	$	538,653		$	77,748		$	460,905		$	—		$	460,905		$	0.221		$	0.209
Restructuring charges and IPR&D		—			—			—			—			(34,901	)		34,901			—		34,901			3,123			31,778			—			31,778		$	0.015		$	0.014
EMC Information Infrastructure Adjusted (3)		3,418,367			1,644,155			309,541			950,552			—			514,119			59,435		573,554			80,871			492,683			—			492,683		$	0.236		$	0.223
Stock-based compensation expense		—			(10,557	)		(15,708	)		(35,362	)		—			61,627			—		61,627			12,192			49,435			—			49,435		$	0.024		$	0.022
Intangible amortization		—			(26,011	)		(4,871	)		(19,628	)		—			50,510			—		50,510			17,524			32,986			—			32,986		$	0.016		$	0.015
EMC Information Infrastructure Non-GAAP (4)	$	3,418,367		$	1,607,587		$	288,962		$	895,562		$	—		$	626,256		$	59,435	$	685,691		$	110,587		$	575,104		$	—		$	575,104		$	0.276		$	0.260
VMware standalone GAAP	$	412,475		$	67,182		$	91,562		$	177,257		$	—		$	76,474		$	6,786	$	83,260		$	5,105		$	78,155		$	—		$	78,155		$	0.037		$	0.035
GAAP adjustments and eliminations		(68	)		506			1,867			1,066			—			(3,507	)		—		(3,507	)		(1,177	)		(2,330	)		(10,996	)		(13,326	)	$	(0.006	)	$	(0.008	)
VMware within EMC		412,407			67,688			93,429			178,323			—			72,967			6,786		79,753			3,928			75,825			(10,996	)		64,829		$	0.031		$	0.028
Stock-based compensation expense		—			(4,600	)		(15,129	)		(14,858	)		—			34,587			—		34,587			5,527			29,060			(4,089	)		24,971		$	0.012		$	0.011
Intangible amortization		—			(5,389	)		—			(1,169	)		—			6,558			—		6,558			2,431			4,127			(581	)		3,546		$	0.002		$	0.002
VMware within EMC Non-GAAP (5)	$	412,407		$	57,699		$	78,300		$	162,296		$	—		$	114,112		$	6,786	$	120,898		$	11,886		$	109,012		$	(15,665	)	$	93,346		$	0.045		$	0.041
																												Wtd. Average Share O/S									2,086,259			2,210,008
(1) Represents EMC Consolidated GAAP excluding restructuring charges and IPR&D.
(2) Represents EMC Consolidated Adjusted excluding stock-based compensation expense and intangible amortization.
(3) Represents EMC Information Infrastructure GAAP excluding restructuring charges and IPR&D.
(4) Represents EMC Information Infrastructure Adjusted excluding stock-based compensation expense and intangible amortization.
(5) Represents VMware within EMC excluding stock-based compensation expense and intangible amortization.
Note: schedule may not add due to rounding

Reconciliation of GAAP to Non-GAAP

For the Twelve Months Ended December 31, 2008

(in thousands, except per share amounts)

Unaudited

	Revenue			Cost of Revenue			Research and Development			Selling, General and Administrative			IPR&D Charge			Restructuring Charge			Operating Income		Other Income, net			Income Before Taxes and Minority Interest		Income Tax Provision		Income Before Minority Interest			Minority Interest			Net Income			Net Income per Weighted Average Share, Basic			Net Income per Weighted Average Share, Diluted
EMC Consolidated GAAP	$	14,876,163		$	6,653,794		$	1,721,330		$	4,601,588		$	85,780		$	244,735		$	1,568,936	$	133,870		$	1,702,806	$	312,514	$	1,390,292		$	(44,725	)	$	1,345,567		$	0.657		$	0.643
Restructuring charge		—			—			—			—			—			(245,092	)		245,092		6,877			251,969		51,027		200,942			—			200,942		$	0.098		$	0.097
IPR&D charge		—			—			—			—			(85,780	)		—			85,780		—			85,780		2,229		83,551			(691	)		82,860		$	0.040		$	0.040
Special income tax benefit		—			—			—			—			—			—			—		—			—		17,803		(17,803	)		—			(17,803	)	$	(0.009	)	$	(0.009	)
EMC Consolidated Adjusted (1)		14,876,163			6,653,794			1,721,330			4,601,588			—			(357	)		1,899,808		140,747			2,040,555		383,573		1,656,982			(45,416	)		1,611,566		$	0.787		$	0.771
Stock-based compensation expense		—			(80,126	)		(162,377	)		(258,936	)		—			—			501,439		—			501,439		108,811		392,628			(21,412	)		371,216		$	0.181		$	0.178
Intangible amortization		—			(158,600	)		(12,986	)		(108,222	)		—			—			279,808		—			279,808		97,233		182,575			(1,704	)		180,871		$	0.088		$	0.087
EMC Consolidated Non-GAAP (2)	$	14,876,163		$	6,415,068		$	1,545,967		$	4,234,430		$	—		$	(357	)	$	2,681,055	$	140,747		$	2,821,802	$	589,617	$	2,232,185		$	(68,532	)	$	2,163,653		$	1.056		$	1.037
EMC Information Infrastructure GAAP	$	12,999,227		$	6,350,213		$	1,300,715		$	3,773,900		$	79,204		$	244,735		$	1,250,460	$	129,518		$	1,379,978	$	277,166	$	1,102,812		$	—		$	1,102,812		$	0.538		$	0.530
Restructuring charge		—			—			—			—			—			(245,092	)		245,092		6,877			251,969		51,027		200,942			—			200,942		$	0.098		$	0.097
IPR&D charge		—			—			—			—			(79,204	)		—			79,204		—			79,204		—		79,204			—			79,204		$	0.039		$	0.038
Special income tax benefit		—			—			—			—			—			—			—		—			—		17,803		(17,803	)		—			(17,803	)	$	(0.009	)	$	(0.009	)
EMC Information Infrastructure Adjusted (3)		12,999,227			6,350,213			1,300,715			3,773,900			—			(357	)		1,574,756		136,395			1,711,151		345,996		1,365,155			—			1,365,155		$	0.666		$	0.656
Stock-based compensation expense		—			(56,538	)		(84,001	)		(185,018	)		—			—			325,557		—			325,557		73,932		251,625			—			251,625		$	0.123		$	0.121
Intangible amortization		—			(147,323	)		(12,986	)		(102,035	)		—			—			262,344		—			262,344		90,945		171,399			—			171,399		$	0.084		$	0.082
EMC Information Infrastructure Non-GAAP (4)	$	12,999,227		$	6,146,352		$	1,203,728		$	3,486,847		$	—		$	(357	)	$	2,162,657	$	136,395		$	2,299,052	$	510,873	$	1,788,179		$	—		$	1,788,179		$	0.873		$	0.860
VMware standalone GAAP	$	1,881,027		$	304,105		$	429,204		$	835,193		$	—		$	—		$	312,525	$	6,760		$	319,285	$	29,152	$	290,133		$	—		$	290,133		$	0.142		$	0.139
GAAP adjustments and eliminations		(4,091	)		(524	)		(8,589	)		(7,505	)		6,576			—			5,951		(2,408	)		3,543		6,196		(2,653	)		(44,725	)		(47,378	)	$	(0.023	)	$	(0.023	)
VMware within EMC GAAP		1,876,936			303,581			420,615			827,688			6,576			—			318,476		4,352			322,828		35,348		287,480			(44,725	)		242,755		$	0.119		$	0.113
IPR&D charge		—			—			—			—			(6,576	)		—			6,576		—			6,576		2,229		4,347			(691	)		3,656		$	0.002		$	0.002
VMware within EMC Adjusted (5)		1,876,936			303,581			420,615			827,688			—			—			325,052		4,352			329,404		37,577		291,827			(45,416	)		246,411		$	0.120		$	0.115
Stock-based compensation expense		—			(23,588	)		(78,376	)		(73,918	)		—			—			175,882		—			175,882		34,879		141,003			(21,412	)		119,591		$	0.058		$	0.057
Intangible amortization		—			(11,277	)		—			(6,187	)		—			—			17,464		—			17,464		6,288		11,176			(1,704	)		9,472		$	0.005		$	0.005
VMware within EMC Non-GAAP (6)	$	1,876,936		$	268,716		$	342,239		$	747,583		$	—		$	—		$	518,398	$	4,352		$	522,750	$	78,744	$	444,006		$	(68,532	)	$	375,474		$	0.183		$	0.177
																													Wtd. Average Share O/S									2,048,506			2,079,853
(1) Represents EMC Consolidated GAAP excluding restructuring charge, IPR&D charge and special income tax benefit.
(2) Represents EMC Consolidated Adjusted excluding stock-based compensation expense and intangible amortization.
(3) Represents EMC Information Infrastructure GAAP excluding restructuring charge, IPR&D charge and special income tax benefit.
(4) Represents EMC Information Infrastructure Adjusted excluding stock-based compensation expense and intangible amortization.
(5) Represents VMware within EMC GAAP excluding IPR&D charge.
(6) Represents VMware within EMC Adjusted excluding stock-based compensation expense and intangible amortization.
Note: schedule may not add due to rounding

Reconciliation of GAAP to Non-GAAP

For the Twelve Months Ended December 31, 2007

(in thousands, except per share amounts)

Unaudited

	Revenue			Cost of Revenue			Research and Development			Selling, General and Administrative			Restructuring and IPR&D			Operating Income			Other Income, net			Income Before Taxes and Minority Interest			Income Tax Provision			Income Before Minority Interest			Minority Interest			Net Income			Net Income per Weighted Average Share, Basic			Net Income per Weighted Average Share, Diluted
EMC Consolidated GAAP	$	13,230,205		$	6,018,877		$	1,526,928		$	3,912,688		$	32,460		$	1,739,252		$	320,317		$	2,059,569		$	378,446		$	1,681,123		$	(15,455	)	$	1,665,668		$	0.801		$	0.770
Restructuring charges and IPR&D		—			—			—			—			(34,901	)		34,901			—			34,901			3,123			31,778			—			31,778		$	0.015		$	0.015
Net gains on investments, including gain on sale of VMware stock		—			—			—			—			—			—			(137,330	)		(137,330	)		(22,180	)		(115,150	)		—			(115,150	)	$	(0.055	)	$	(0.053	)
Tax benefits		—			—			—			—			—			—			—			—			19,912			(19,912	)		—			(19,912	)	$	(0.010	)	$	(0.009	)
EMC Consolidated Adjusted (1)		13,230,205			6,018,877			1,526,928			3,912,688			(2,441	)		1,774,153			182,987			1,957,140			379,301			1,577,839			(15,455	)		1,562,384		$	0.751		$	0.722
Stock-based compensation expense		—			(57,223	)		(108,041	)		(202,136	)		—			367,400			—			367,400			87,054			280,346			(5,793	)		274,553		$	0.132		$	0.127
Intangible amortization		—			(119,948	)		(11,357	)		(73,492	)		—			204,797			—			204,797			72,019			132,778			(868	)		131,910		$	0.063		$	0.061
EMC Consolidated Non-GAAP (2)	$	13,230,205		$	5,841,706		$	1,407,530		$	3,637,060		$	(2,441	)	$	2,346,350		$	182,987		$	2,529,337		$	538,374		$	1,990,963		$	(22,115	)	$	1,968,848		$	0.947		$	0.910
EMC Information Infrastructure GAAP	$	11,909,392		$	5,800,529		$	1,228,810		$	3,322,169		$	32,460		$	1,525,424		$	315,180		$	1,840,604		$	361,419		$	1,479,185		$	—		$	1,479,185		$	0.711		$	0.685
Restructuring charges and IPR&D		—			—			—			—			(34,901	)		34,901			—			34,901			3,123			31,778			—			31,778		$	0.015		$	0.015
Net gains on investments, including gain on sale of VMware stock		—			—			—			—			—			—			(137,330	)		(137,330	)		(22,180	)		(115,150	)		—			(115,150	)	$	(0.055	)	$	(0.053	)
Tax benefits		—			—			—			—			—			—			—			—			19,912			(19,912	)		—			(19,912	)	$	(0.010	)	$	(0.009	)
EMC Information Infrastructure Adjusted (3)		11,909,392			5,800,529			1,228,810			3,322,169			(2,441	)		1,560,325			177,850			1,738,175			362,274			1,375,901			—			1,375,901		$	0.662		$	0.638
Stock-based compensation expense		—			(48,693	)		(65,235	)		(159,531	)		—			273,459			—			273,459			66,785			206,674			—			206,674		$	0.099		$	0.096
Intangible amortization		—			(98,776	)		(11,357	)		(68,923	)		—			179,056			—			179,056			62,490			116,566			—			116,566		$	0.056		$	0.054
EMC Information Infrastructure Non-GAAP (4)	$	11,909,392		$	5,653,060		$	1,152,218		$	3,093,715		$	(2,441	)	$	2,012,840		$	177,850		$	2,190,690		$	491,548		$	1,699,142		$	—		$	1,699,142		$	0.817		$	0.787
VMware standalone GAAP	$	1,325,811		$	218,674		$	285,941		$	585,855		$	—		$	235,341		$	5,137		$	240,478		$	22,341		$	218,137		$	—		$	218,137		$	0.105		$	0.101
GAAP adjustments and eliminations		(4,998	)		(326	)		12,177			4,664			—			(21,513	)		—			(21,513	)		(5,314	)		(16,199	)		(15,455	)		(31,654	)	$	(0.015	)	$	(0.017	)
VMware within EMC		1,320,813			218,348			298,118			590,519			—			213,828			5,137			218,965			17,027			201,938			(15,455	)		186,483		$	0.090		$	0.084
Stock-based compensation expense		—			(8,530	)		(42,806	)		(42,605	)		—			93,941			—			93,941			20,269			73,672			(5,793	)		67,879		$	0.033		$	0.031
Intangible amortization		—			(21,172	)		—			(4,569	)		—			25,741			—			25,741			9,529			16,212			(868	)		15,344		$	0.007		$	0.007
VMware within EMC Non-GAAP (5)	$	1,320,813		$	188,646		$	255,312		$	543,345		$	—		$	333,510		$	5,137		$	338,647		$	46,825		$	291,822		$	(22,115	)	$	269,706		$	0.130		$	0.123
																													Wtd. Average Share O/S									2,079,542			2,157,873
(1) Represents EMC Consolidated GAAP excluding restructuring charges and IPR&D and net gains on investments, including the gain on sale of VMware stock.
(2) Represents EMC Consolidated Adjusted excluding stock-based compensation expense and intangible amortization.
(3) Represents EMC Information Infrastructure GAAP excluding restructuring charges and IPR&D and net gains on investments, including the gain on sale of VMware stock.
(4) Represents EMC Information Infrastructure Adjusted excluding stock-based compensation expense and intangible amortization.
(5) Represents VMware within EMC excluding stock-based compensation expense and intangible amortization.
Note: schedule may not add due to rounding

EMC CORPORATION

Consolidated Balance Sheets

(in thousands, except per share amounts)

Unaudited

	December 31, 2008			December 31, 2007
ASSETS
Current assets:
Cash and cash equivalents	$	5,843,685		$	4,482,211
Short-term investments		963,292			1,644,703
Accounts and notes receivable, less allowance for doubtful accounts of $48,080 and $34,389		2,252,640			2,307,512
Inventories		842,803			877,243
Deferred income taxes		477,101			475,544
Other current assets		285,508			265,889
Total current assets		10,665,029			10,053,102
Long-term investments		2,370,493			1,845,572
Property, plant and equipment, net		2,223,007			2,159,396
Intangible assets, net		795,616			940,077
Other assets, net		773,631			755,001
Goodwill, net		7,046,799			6,531,506
Total assets	$	23,874,575		$	22,284,654
LIABILITIES & STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	757,405		$	840,886
Accrued expenses		1,901,884			1,696,309
Securities lending payable		412,321			—
Income taxes payable		136,802			146,104
Deferred revenue		2,010,024			1,724,909
Total current liabilities		5,218,436			4,408,208
Income taxes payable		255,182			246,951
Deferred revenue		1,182,360			1,053,394
Deferred income taxes		218,210			288,175
Long-term convertible debt		3,450,000			3,450,000
Other liabilities		180,917			127,621
Total liabilities		10,505,105			9,574,349
Minority interest in VMware		327,507			188,988
Commitments and contingencies
Stockholders' equity:
Series preferred stock, par value $.01; authorized 25,000 shares, none outstanding		—			—
Common stock, par value $.01; authorized 6,000,000 shares; issued 2,012,938 and 2,102,187 shares		20,129			21,022
Additional paid-in capital		2,385,930			3,038,455
Retained earnings		10,815,856			9,470,289
Accumulated other comprehensive loss		(179,952	)		(8,449	)
Total stockholders' equity		13,041,963			12,521,317
Total liabilities and stockholders' equity	$	23,874,575		$	22,284,654

EMC CORPORATION

Consolidated Statements of Cash Flows

(in thousands)

Unaudited

	Twelve Months Ended
	December 31, 2008			December 31, 2007
Cash flows from operating activities:
Cash received from customers	$	15,378,081		$	13,333,489
Cash paid to suppliers and employees		(11,747,031	)		(10,182,600	)
Dividends and interest received		240,031			254,062
Interest paid		(73,695	)		(76,025	)
Income taxes paid		(232,298	)		(202,324	)
Net cash provided by operating activities		3,565,088			3,126,602
Cash flows from investing activities:
Additions to property, plant and equipment		(695,899	)		(699,038	)
Capitalized software development costs		(294,973	)		(232,047	)
Purchases of short and long-term available for sale securities		(3,318,545	)		(6,204,762	)
Sales and maturities of short and long-term available for sale securities		3,189,547			6,177,552
Maturities of short and long-term available for sale securities		204,091			349,475
Proceeds from the sale of EMC's interest in subsidiary to Cisco		—			150,000
Acquisitions, net of cash acquired		(725,521	)		(692,003	)
Other		26,368			(12,074	)
Net cash used in investing activities		(1,614,932	)		(1,162,897	)
Cash flows from financing activities:
Issuance of EMC's common stock from the exercise of stock options		241,060			782,449
Issuance of VMware's common stock from the exercise of stock options		190,107			2,760
Purchase of VMware's common stock		(13,259	)		—
Proceeds from the sale of VMware's common stock		—			1,253,533
Proceeds from securities lending		412,321			—
Repurchase of EMC's common stock		(1,489,501	)		(1,453,669	)
Excess tax benefits from stock-based compensation		97,705			91,782
Payment of short and long-term obligations		(6,151	)		(17,178	)
Proceeds from short and long-term obligations		33,707			19,815
Net cash (used in) provided by financing activities		(534,011	)		679,492
Effect of exchange rate changes on cash		(54,671	)		10,908
Net increase in cash and cash equivalents		1,361,474			2,654,105
Cash and cash equivalents at beginning of period		4,482,211			1,828,106
Cash and cash equivalents at end of period	$	5,843,685		$	4,482,211
Reconciliation of net income to net cash provided by operating activities:
Net income	$	1,345,567		$	1,665,668
Adjustments to reconcile net income to net cash provided by operating activities:
Minority interest in VMware		44,725			15,455
Net gain on investments, including gain on sale of VMware's stock		—			(148,585	)
Depreciation and amortization		1,057,511			917,274
Non-cash restructuring and in-process research and development		139,193			3,778
Stock-based compensation expense		501,439			367,404
Increase in provision for doubtful accounts		34,667			8,885
Deferred income taxes, net		36,747			(68,397	)
Excess tax benefits from stock-based compensation		(97,705	)		(91,782	)
Other		(13,471	)		3,850
Changes in assets and liabilities, net of acquisitions:
Accounts and notes receivable		73,184			(576,422	)
Inventories		165,813			13,574
Other assets		(16,178	)		(86,022	)
Accounts payable		(148,821	)		155,296
Accrued expenses		8,688			35,934
Income taxes payable		44,821			243,216
Deferred revenue		394,067			670,820
Other liabilities		(5,159	)		(3,344	)
Net cash provided by operating activities	$	3,565,088		$	3,126,602

EMC Corporation

Reconciliation of Cash Flow from Operations to Free Cash Flow

(in thousands)

Unaudited

	Three Months Ended						Twelve Months Ended
	December 31, 2008			December 31, 2007			December 31, 2008			December 31, 2007
EMC Consolidated
Cash flow from Operations	$	1,066,746		$	978,709		$	3,565,088		$	3,126,602
Capital Expenditures		(205,833	)		(197,576	)		(695,899	)		(699,038	)
Capitalized Software		(85,532	)		(68,697	)		(294,973	)		(232,047	)
Free Cash Flow	$	775,381		$	712,436		$	2,574,216		$	2,195,517
VMware within EMC
Cash flow from Operations	$	264,331		$	163,574		$	735,632		$	620,469
Capital Expenditures		(58,011	)		(45,101	)		(176,396	)		(204,141	)
Capitalized Software		(37,005	)		(14,877	)		(90,900	)		(48,022	)
Free Cash Flow	$	169,315		$	103,596		$	468,336		$	368,306
EMC Information Infrastructure
Cash flow from Operations	$	802,415		$	815,135		$	2,829,456		$	2,506,133
Capital Expenditures		(147,822	)		(152,475	)		(519,503	)		(494,897	)
Capitalized Software		(48,527	)		(53,820	)		(204,073	)		(184,025	)
Free Cash Flow	$	606,066		$	608,840		$	2,105,880		$	1,827,211

EMC Corporation

Supplemental Revenue Analysis

(in thousands)

Unaudited

Revenue Components

	Q1 2007			Q2 2007			Q3 2007			Q4 2007			YTD 2007			Q1 2008			Q2 2008			Q3 2008			Q4 2008			YTD 2008
Consolidated Revenues
Systems	$	1,305,766		$	1,354,438		$	1,411,367		$	1,688,565		$	5,760,136		$	1,440,123		$	1,528,012		$	1,584,264		$	1,750,106		$	6,302,505
Software License		806,660			867,917			921,517			1,055,746			3,651,840			900,307			933,639			908,677			1,026,688			3,769,311
Total Product Revenue	$	2,112,426		$	2,222,355		$	2,332,884		$	2,744,311		$	9,411,976		$	2,340,430		$	2,461,651		$	2,492,941		$	2,776,794		$	10,071,816
Software Maintenance		382,080			400,233			426,198			472,264			1,680,775			506,218			524,725			554,417			588,348			2,173,708
Other Services		480,499			502,084			540,672			614,199			2,137,454			623,411			687,498			668,234			651,496			2,630,639
Total Consolidated Revenues	$	2,975,005		$	3,124,672		$	3,299,754		$	3,830,774		$	13,230,205		$	3,470,059		$	3,673,874		$	3,715,592		$	4,016,638		$	14,876,163
Percentage impact to EMC revenue growth rate due to changes in exchange rates from the prior year		2.1	%		2.1	%		1.8	%		3.2	%		2.3	%		2.3	%		2.7	%		1.2	%		(2.3	)%		0.8	%

EMC Corporation

Supplemental Revenue Analysis

(in thousands)

Unaudited

Supplemental Revenue Data

	Q1 2007		Q2 2007		Q3 2007		Q4 2007		2007		Q1 2008		Q2 2008		Q3 2008		Q4 2008		2008
Storage:
Storage Systems Revenue	$	1,302,740	$	1,347,357	$	1,405,139	$	1,682,395	$	5,737,631	$	1,433,190	$	1,523,695	$	1,578,757	$	1,746,001	$	6,281,643
Storage Software License		486,558		512,521		515,056		561,622		2,075,757		470,449		494,331		477,741		539,365		1,981,886
Total Storage Product	$	1,789,298	$	1,859,878	$	1,920,195	$	2,244,017	$	7,813,388	$	1,903,639	$	2,018,026	$	2,056,498	$	2,285,366	$	8,263,529
Storage Software Maintenance		234,796		242,940		252,642		271,848		1,002,226		291,556		283,292		298,959		314,795		1,188,602
Storage Other Services		402,834		425,200		450,450		516,782		1,795,266		516,634		571,929		552,866		538,744		2,180,173
Total Storage Revenue	$	2,426,928	$	2,528,018	$	2,623,287	$	3,032,647	$	10,610,880	$	2,711,829	$	2,873,247	$	2,908,323	$	3,138,905	$	11,632,304
Content Management and Archiving:
Content Management and Archiving Systems Revenue	$	68	$	1,708	$	1,485	$	2,157	$	5,418	$	2,521	$	138	$	185	$	241	$	3,085
Content Management and Archiving Software License		68,472		69,046		79,247		115,305		332,070		58,607		73,277		62,391		80,813		275,088
Total Content Management and Archiving Product	$	68,540	$	70,754	$	80,732	$	117,462	$	337,488	$	61,128	$	73,415	$	62,576	$	81,054	$	278,173
Content Management and Archiving Software Maintenance		60,339		60,416		61,595		70,590		252,940		73,758		75,660		77,014		79,121		305,553
Content Management and Archiving Other Services		43,319		42,432		46,985		50,074		182,810		50,317		54,931		48,479		48,195		201,922
Total Content Management and Archiving Revenue	$	172,198	$	173,602	$	189,312	$	238,126	$	773,238	$	185,203	$	204,006	$	188,069	$	208,370	$	785,648
Security:
Security Systems Revenue	$	2,958	$	5,373	$	4,743	$	4,013	$	17,087	$	4,412	$	4,179	$	5,322	$	3,864	$	17,777
Security Software License		81,934		81,300		82,979		94,604		340,817		77,271		84,888		83,457		91,670		337,286
Total Security Product	$	84,892	$	86,673	$	87,722	$	98,617	$	357,904	$	81,683	$	89,067	$	88,779	$	95,534	$	355,063
Security Software Maintenance		21,627		23,392		25,126		27,752		97,897		28,785		30,108		31,302		34,106		124,301
Security Other Services		13,342		14,890		20,016		21,226		69,474		24,389		24,871		27,259		25,392		101,911
Total Security Revenue	$	119,861	$	124,955	$	132,864	$	147,595	$	525,275	$	134,857	$	144,046	$	147,340	$	155,032	$	581,275
EMC Information Infrastructure:
EMC Information Infrastructure Systems Revenue	$	1,305,766	$	1,354,438	$	1,411,367	$	1,688,565	$	5,760,136	$	1,440,123	$	1,528,012	$	1,584,264	$	1,750,106	$	6,302,505
EMC Information Infrastructure Software License		636,964		662,867		677,282		771,531		2,748,644		606,327		652,496		623,589		711,848		2,594,260
Total EMC Information Infrastructure Product	$	1,942,730	$	2,017,305	$	2,088,649	$	2,460,096	$	8,508,780	$	2,046,450	$	2,180,508	$	2,207,853	$	2,461,954	$	8,896,765
EMC Information Infrastructure Software Maintenance		316,762		326,748		339,363		370,190		1,353,063		394,099		389,060		407,275		428,022		1,618,456
EMC Information Infrastructure Other Services		459,495		482,522		517,451		588,082		2,047,550		591,340		651,731		628,604		612,331		2,484,006
Total EMC Information Infrastructure Revenue	$	2,718,987	$	2,826,575	$	2,945,463	$	3,418,368	$	11,909,393	$	3,031,889	$	3,221,299	$	3,243,732	$	3,502,307	$	12,999,227
VMware Software:
VMware Software License	$	169,696	$	205,050	$	244,235	$	284,215	$	903,196	$	293,980	$	281,143	$	285,088	$	314,840		1,175,051
VMware Software Maintenance		65,318		73,485		86,835		102,074		327,712		112,119		135,665		147,142		160,326		555,252
Total VMware Software License & Maintenance		235,014		278,535		331,070		386,289		1,230,908		406,099		416,808		432,230		475,166		1,730,303
VMware Other Services		21,004		19,562		23,221		26,117		89,904		32,071		35,767		39,630		39,165		146,633
Total VMware Revenue	$	256,018	$	298,097	$	354,291	$	412,406	$	1,320,812	$	438,170	$	452,575	$	471,860	$	514,331	$	1,876,936

EMC CORPORATION

Income Statement Adjusted to Give Effect to FASB Staff Position No. APB 14-1

(in thousands, except per share amounts)

Unaudited

2008	Revenue		Operating Income		Investment Income		Interest Expense			Other (expense) income, net			Income Before Taxes and Minority Interest			Income Tax Provision			Income Before Minority Interest			Minority Interest			Net Income			Net Income per Weighted Average Share, Basic			Net Income per Weighted Average Share, Diluted
EMC Consolidated GAAP	$	14,876,163	$	1,568,936	$	247,049	$	(73,774	)	$	(39,405	)	$	1,702,806		$	312,514		$	1,390,292		$	(44,725	)	$	1,345,567		$	0.66		$	0.64
Convertible Debt Interest Adjustment		—		—		—		(102,581	)		—			(102,581	)		(32,119	)		(70,462	)		—			(70,462	)	$	(0.03	)	$	(0.03	)
Adjusted for Convertible Debt Interest	$	14,876,163	$	1,568,936	$	247,049	$	(176,355	)	$	(39,405	)	$	1,600,225		$	280,395		$	1,319,830		$	(44,725	)	$	1,275,105		$	0.62		$	0.61
																				Wtd. Average Share O/S									2,048,506			2,079,853
2007	Revenue		Operating Income		Investment Income Including Gain on Sale of VMware Stock		Interest Expense			Other (expense) income, net			Income Before Taxes and Minority Interest			Income Tax Provision			Income Before Minority Interest			Minority Interest			Net Income			Net Income per Weighted Average Share, Basic			Net Income per Weighted Average Share, Diluted
EMC Consolidated GAAP	$	13,230,205	$	1,739,252	$	397,849	$	(72,855	)	$	(4,677	)	$	2,059,569		$	378,446		$	1,681,123		$	(15,455	)	$	1,665,668		$	0.80		$	0.77
Convertible Debt Interest Adjustment		—		—		—		(96,939	)		—			(96,939	)		(30,236	)		(66,703	)		—			(66,703	)	$	(0.03	)	$	(0.03	)
Adjusted for Convertible Debt Interest	$	13,230,205	$	1,739,252	$	397,849	$	(169,794	)	$	(4,677	)	$	1,962,630		$	348,210		$	1,614,420		$	(15,455	)	$	1,598,965		$	0.77		$	0.74
																				Wtd. Average Share O/S									2,079,542			2,157,873

Note: This statement gives effect to FASB Staff Position No. APB 14-1, “Accounting for Converitble Debt Instruments that may be Settled in Cash upon Conversion (Including Partial Cash Settlement)”. The statement is effective for fiscal years beginning after December 15, 2008 and shall be applied retrospectively to all periods presented. EMC will adopt the statement in its 2009 fiscal year and restate all prior periods when presented. This schedule may not add due to rounding.