APPLIED MATERIALS INC /DE — Director's Dealing 2007

Jun 26, 2007

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: APPLIED MATERIALS INC /DE (AMAT)
CIK: 0000006951
Period of Report: 2007-06-21

Reporting Person: Moghadam Farhad (Senior Vice President)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2007-06-21	Common Stock	M	20000	$14.57	Acquired	290242	Direct
2007-06-21	Common Stock	S	20000	$19.9954	Disposed	270242	Direct
2007-06-21	Common Stock	M	30000	$15.07	Acquired	300242	Direct
2007-06-21	Common Stock	S	30000	$20.17	Disposed	270242	Direct
2007-06-22	Common Stock	M	25000	$16.12	Acquired	295242	Direct
2007-06-22	Common Stock	S	25000	$20.21	Disposed	270242	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2007-06-21	Employee Stock Option (right to buy)	$14.57	M	20000	Disposed	2009-12-11	Common Stock (20000)	Direct
2007-06-21	Employee Stock Option (right to buy)	$15.07	M	30000	Disposed	2009-11-19	Common Stock (30000)	Direct
2007-06-22	Employee Stock Option (right to buy)	$16.12	M	25000	Disposed	2011-11-03	Common Stock (25000)	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	2500	Indirect
Common Stock	12772	Indirect

Footnotes

F1: Increased number of shares also reflects periodic payroll acquisitions under Employees' Stock Purchase Plan that are exempt under Rule 16a-10 and Rule 16b-3. Number of shares includes 262,500 performance shares (or restricted stock units) previously reported that in the future will be converted on a one-for-one basis into shares of Applied Materials, Inc. common stock immediately upon vesting, which vesting is scheduled to occur as follows: 37,500 performance shares are scheduled to vest in three equal annual installments beginning 8/31/07; and, provided specified performance goals are achieved, 225,000 performance shares are scheduled to vest no earlier than in four equal annual installments beginning 12/19/07 (all vesting is subject to continued employment).

F2: Shares are held in accounts for Mr. Moghadam's sons, for which Mr. Moghadam's wife is the custodian. Mr. Moghadam disclaims beneficial ownership of these shares.

F3: 20,000 shares became exercisable on 7/15/06 and 60,000 become exercisable on 7/15/07, subject to continued employment.

F4: 62,500 shares became exercisable on each of 7/15/05 and 7/15/06; and 62,500 shares become exercisable on each of 7/15/07 and 7/15/08, subject to continued employment.