Taco Bell and Xbox Team Up to Deliver Microsoft’s Largest Consumer Promotion in Company History

REDMOND, Wash., April 23, 2001 — Microsoft Corp. today announced that Taco Bell Corp., America’s leading Mexican-style, quick-service restaurant chain, has signed on as the first promotional partner for the launch of the highly anticipated Microsoft® Xbox™
video game system. The companies plan to combine their powerhouse brands in a promotional campaign to reach their shared target audiences across the United States and Canada. Taco Bell will provide substantial media support that will aggressively publicize Xbox, and the company will host major in-store promotions to support the Xbox launch.

“We are excited about teaming up with Taco Bell to turn up the volume on the Xbox excitement during the system’s launch period,”
said John O’Rourke, director of marketing and sales for Xbox.
“Our co-marketing relationship is based on our commitment to deliver an entertaining, top-of-the-line promotion to our customers.”

The video game console industry is recognized as a hot form of entertainment with a broadening demographic. Taco Bell will build on the anticipation around Xbox to connect to its target audience through fun and entertaining vehicles.

“We’re thrilled to team up with Microsoft as a promotional partner for Xbox, one of the most exciting entertainment products of 2001,”
said Debbie Myers, vice president of media, entertainment and licensing for Taco Bell.
“Our energetic brand personality mirrors the edgy Xbox brand, which is already resonating with our customers.”

The marketing alliance between Microsoft and Taco Bell was orchestrated by GMR Marketing, a recognized leader in music, entertainment and lifestyle marketing. Taco Bell is the first promotional partner to be announced in a series of strategic co-marketing relationships that will creatively drive brand awareness and preference for Xbox.

About Taco Bell

Taco Bell Corp., a division of Tricon Global Restaurants Inc. (NYSE
“YUM”
), is the nation’s leading Mexican-style, quick-service restaurant chain, serving tacos, burritos, signature Chalupas and Gorditas, nachos and other specialty items. Taco Bell serves more than 35 million consumers each week in over 7,200 restaurants nationwide, generating $5.2 billion in systemwide sales. More information is available at http://www.tacobell.com/ .

About Xbox

Xbox ( http://www.xbox.com/ ) is Microsoft’s future-generation video game system that delivers new and unforeseen gameplay experiences. With more than three times the graphics performance of the newest generation of game systems, Xbox unleashes game designers’ creativity to produce games that are challenging, exhilarating, surprising and fun.

About Microsoft

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 and Xbox are either registered trademarks or trademarks 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.

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