Boeing Honors Microsoft as One of its Suppliers of the Year

SEATTLE, Wash., March 9, 2006 – Microsoft is one of 11 companies honored Wednesday with Boeing’s annual premier supplier award, which is presented in recognition of the companies’ commitment to customer satisfaction. The awards ceremony took place at the Boeing Passenger Experience Center in Seattle.

“Microsoft works closely with us, providing direct access to Microsoft product teams to improve quality and functionality,” said Norma Clayton, Boeing vice president, Global Sourcing Effectiveness. “And they provide solutions while adhering to Boeing standards and architecture. This collaborative spirit makes them an outstanding supplier.”

Said Microsoft CEO Steve Ballmer, “I’m honored that our team won this award. I know we work hard for Boeing and winning this award is validation that we’re working on things that are important to Boeing.”

The 11 companies named 2005 Boeing Suppliers of the Year were selected from a field of more than 5,200 Boeing suppliers in nearly 100 countries.

Awards were presented in 10 categories: Avionics, Major Structures, Purchased Outside Production, Propulsion, Common Aerospace Commodities, Interiors, Aerospace Support, Non-Production, Technology Advancement and Small Business.

Microsoft was recognized for its achievements in the Non-Production category. Boeing uses a wide variety of Microsoft desktop, server and development tools in its global operations, including Windows SharePoint Services, Live Communications Server, Microsoft Office, BizTalk and Exchange 2003. Additionally, Microsoft works closely with Boeing’s information technology personnel, providing them with direct access to product teams, enabling improved product quality and functionality, quick problem-solving and helps Boeing maintain market competitiveness.

Microsoft also works with organizations across Boeing to understand the company’s infrastructure needs and to find effective solutions compatible with Boeing IT standards and architecture, and makes the security of Boeing’s customers’ computers and networks a top priority.

The winning suppliers were chosen on the basis of statistical measurements of quality, on-time delivery, post-delivery support and cost during a 12-month period up to September 2005. They also were evaluated on their ability to anticipate and respond to changing customer requirements.

Of the 11 suppliers, seven were small businesses, as defined by the U.S. government. Of these seven, one was a veteran-owned small business, and two were minority- and women-owned small businesses.

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Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

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