Microsoft Responds to U.S. District Court Ruling

REDMOND, Wash., Nov. 1, 2002 — In response to the U.S. District Court rulings today, Microsoft Corp. issued the following statement:

“We are pleased that the court has conditionally approved the settlement we reached with the federal government and the nine states. The settlement is a tough, but fair, compromise. It imposes significant requirements on Microsoft, but it enables us to continue to innovate and to create products that address the changing needs of our customers. We recognize that we will be closely scrutinized by the government and our competitors, and we will devote all the time, energy and resources needed to ensure that we meet our responsibilities.”

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software — any time, any place and on any device.

Microsoft is as registered trademark of Microsoft Corp. in the United States and/or other countries. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

For more information, media only:

Rapid Response Team, Waggener Edstrom, (503) 443-7070, rrt@wagged.com

For more information, broadcast media only:

Media Relations, Global Communications & Television, (212) 339-9920

For more information, financial analysts only:

Krishnan Srinivasan, senior director, Microsoft Investor Relations, (425) 706-3703

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