The full specs include a 1.4GHz dual-core Intel Core i5 (turbo boost up to 2.7GHz), 8GB memory, a 500GB hard drive, Intel HD Graphics 5000. Previously, the cheapest iMac was $1,299, so this new machine brings a $200 discount, 500GB less storage space, and a much weaker processor. The processor is the same one found in its MacBook Air lineup as well, which means performance is probably similar.
The educational-pricing on the machine is $1,049, meaning if you are a student, faculty or staff member at an education institute, you can get a $50 discount.
The rest of the iMac lineup remains the same.
There were references found presumably of this machine in the latest 10.9.4 beta, but many are still eagerly waiting for a retina-display iMac that Apple has long been rumored to release.