Microsoft and Kellogg Put Some “Byte” Into Breakfast

REDMOND, Wash., and BATTLE CREEK, Mich., Oct. 29, 1997 — Microsoft Corp. is teaming up with Kellogg USA to launch a national on-package promotion offering a wide array of software titles and savings from Microsoft. The promotion will be posted on more than 80 million cereal boxes in supermarkets, club stores and mass merchants around the country. More than a dozen Microsoft® titles will be offered through the promotion on 16 of Kellogg’s ready-to-eat brands of cereal.

The promotion offers rebates on current Microsoft software titles or gaming devices. It also provides consumers with the opportunity to obtain additional Microsoft titles from the special interest collection for $4.99 plus three proofs of purchase from participating Kellogg cereal brands, while supplies last.

“As PCs become more mainstream in American households, what better brand to partner with than Kellogg’s – a name known and trusted in every home,” said Ruthann Lorentzen, director of division marketing, interactive media group at Microsoft.

For Microsoft, the promotion with Kellogg USA generates consumer awareness for its hot holiday products, creating traffic and ultimately purchases in venues where the product is traditionally sold. Other Microsoft consumer promotions have included such companies as Kraft Foods Inc., Dole Food Company Inc., PepsiCo Inc. and Campbell Soup Co.

The promotion is being supported with an extensive marketing campaign, including national television advertisements from Kellogg, promotion-themed FSIs with a total circulation of 275 million, special activities on the Microsoft product Web sites and on-package exposure on over 80 million cereal boxes.

The promotion offers rebates on the following Microsoft titles: Golf 3.0, Scholastic’s The Magic School Bus
™Explores the Rainforest, Creative Writer 2.0, Microsoft Plus! For Kids, Encarta® Virtual Globe, Entertainment Pack: Flight Simulator 98, Encarta 98 Encyclopedia Deluxe Edition, The Puzzle Collection, SideWinder® Precision Pro joystick, SideWinder game pad, Monster Truck Madness
game, Expedia
Trip Planner and Home Essentials
98 software. The estimated retail prices for these products range from $19 to $109, but with this promotion, consumers will be able to realize price savings of up to 25 percent.

Microsoft titles to be offered for $4.99 along with three Kellogg proofs of purchase include Microsoft Dinosaurs; Fine Artist; the Explorapedia® children’s interactive encyclopedia, Nature and Explorapedia People versions; Entertainment Pack #4; Dangerous Creatures; Soccer; Extreme Scenes; Soundbits Musical Instruments; Microsoft Oceans; Golf 2.0; Gardening; and Reader’s Digest® Do-It-Yourself Home Repair .

The participating Kellogg brands include Kellogg’s Frosted Flakes® , Cocoa Frosted Flakes
™, Froot Loops® , Smacks® , Rice Krispies® Treat Cereal, Apple Jacks® , Corn Pops® , Frosted Mini Wheats® (bite-sized and original), Corn Flakes® , Honey Crunch Corn Flakes
™, Raisin Bran, Healthy Choice, Special K® and Squares.

Kellogg Co., headquartered in Battle Creek, Mich., is the world’s leading producer of ready-to-eat cereal products and a leader in grain-based convenience foods. For more information, visit the Kellogg Web site at ( .

Founded in 1975, Microsoft (NASDAQ
) is the worldwide leader in software for personal computers. The company offers a wide range of products and services for business and personal use, each designed with the mission of making it easier and more enjoyable for people to take advantage of the full power of personal computing every day.

Microsoft, Encarta, SideWinder, Monster Truck Madness, Expedia, Home Essentials and Explorapedia are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

Scholastic, The Magic School Bus and associated designs and logos are trademarks and/or registered trademarks of Scholastic Inc.

Reader’s Digest is a registered trademark of The Reader’s Digest Association.

Other product and company names herein may be trademarks of their respective owners.

Healthy Choice is a registered trademark of ConAgra Inc. used under license.

Note to editors : If you are interested in viewing additional information on Microsoft, please visit the Microsoft Web page at on Microsoft’s corporate information pages.

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