Build a Scalable Model As part of developing and communicating the Education Initiative strategy, Applied identified key community leaders, made strategic grant investment decisions and implemented systems to measure outcomes and progress, while purposely retaining a flexible funding model. The success of the Education Initiative pathway model has grown from a pilot program at one school in 2002, to engagement with nine school districts in San Jose, California, two school districts in Central Texas, and various other districts in key regions in the United States. Actively Engage in Community Dialogue Applied has taken a leadership position by advocating for and implementing academic improvement efforts. A large part of the initiative to date has been galvanizing a broad base of support among school districts, education partners and local governments on the value of the initiative. Despite relatively low funding levels compared to public funds, we have found that corporations and foundations can achieve tremendous leverage by becoming a trusted partner, a strong and persuasive voice and an unwavering advocate for an equitable, high- quality education for all children. Education Initiative in Action San Jose Since 2001, Applied has remained committed to funding efforts to increase equity in education in San Jose, California, supporting programs for K – 12 youth aimed at increasing the number of students who graduate high school ready to succeed in college and in their careers. In fall 2015, Applied renewed its engagement in East Side Alliance, a collective impact effort comprised of the school districts and community-based organizations serving East San Jose students. Additionally, Alliance school districts collectively signed the Spartan East Side Promise with San Jose State University in June 2016, creating a pathway to admission for East Side scholars. By clearly articulating the specific criteria for university admission, students will know what is expected for college acceptance early in their academic careers and school districts, parents and students can take the steps needed to ensure college 5 admission at the university. In addition to the Alliance, Applied supported efforts by school districts in East Side and Downtown San Jose to increase access to and participation in professional development programs for teachers. Leveraging Applied funding, Oak Grove School District implemented new capacity building opportunities for teachers and administrators, led by Partners in School Innovation (PSI), in an effort to address educational inequity in three of its Title I schools. Investments from Applied and other local funders supported Franklin McKinley School District’s third year of collaboration with PSI. School transformation reviews for both districts reported important shifts in practice at the school and district level by the close of the school year. 5 https://blogs.sjsu.edu/newsroom/2016/spartan-east-side-promise-to-prepare-east-side-students-for-sjsu-admissions/ 4 | Applied Materials Education Initiative

Applied Materials Education Initiative - Page 4 Applied Materials Education Initiative Page 3 Page 5