Nancy Tellem September 17, 2012 Nancy Tellem, former president of CBS Network Television Entertainment Group, has joined Microsoft as Entertainment & Digital Media president.

REDMOND, Wash. — Sept. 18, 2012 — Microsoft Corp. today announced that Nancy Tellem, former president of CBS Network Television Entertainment Group, has joined Microsoft as Entertainment & Digital Media president.

In her role reporting to Phil Spencer, corporate vice president, Microsoft Studios, Tellem will oversee the launch of a newly created production studio in Los Angeles that will develop interactive and linear content for Xbox and other devices. In addition to running the production studio, she will help spearhead the company’s efforts to turn Xbox into a destination where consumers can enjoy all their entertainment in one place.

Tellem and her group will collaborate with the creative community to develop unique, compelling storytelling experiences for the Xbox brand. More than just a gaming console, Xbox has evolved into a consumer destination for the world’s most popular TV, movies, music and sports content. With a roster of more than 65 entertainment apps, including Netflix, Hulu Plus, HBO GO, MLB.TV, ESPN, YouTube and VEVO, global video consumption on Xbox LIVE has increased 140 percent during the past year. In addition, this September, Microsoft will introduce 2-way TV experiences from renowned entertainment partners Sesame Workshop and National Geographic that will further expand the Xbox platform beyond games, offering entertainment options for everyone in the family.

“I am excited to be a part of the continued evolution of Xbox from a gaming console to the hub of every household’s entertainment experience,” Tellem said. “The Xbox is already a consumer favorite, and we now have a tremendous opportunity to transform it into the center of all things entertainment — from games, music and fitness to news, sports, live events, television series and movies — so consumers have one destination for all their entertainment needs. I look forward to building a studio team that embraces the challenges of creating true interactive content that the Xbox platform supports and to work with talent to create content that will change the way entertainment content is experienced and delivered.”

“Whether you are voting for your favorite contestant on a TV show or playing a game, entertainment is becoming more personalized and social, driven by the Internet and new tools to interact with content,” Spencer said. “We are embarking on a new chapter with the creation of a studio dedicated to making original interactive and linear content, and I’m excited to have Nancy leading this effort.”

“With her impressive background in entertainment innovation, I am thrilled to have Nancy join our team,” said Don Mattrick, president of the Interactive Entertainment Business Group at Microsoft. “Under her direction, we look forward to building and extending our creative offerings from the living room to all your devices.”

Tellem has been a CBS executive since 1997, most recently as senior adviser to CEO Leslie Moonves, where she explored business and strategic opportunities — domestic and international — involving content partnerships, new production models, emerging media and technologies. As president of the CBS Network Television Entertainment Group, Tellem supervised programming, development, production, business affairs and operations. She oversaw the network’s prime-time, daytime, late-night and Saturday morning lineups (with shows like “CSI,” “Survivor,” “Everybody Loves Raymond” and “The King of Queens”). Before joining CBS, Tellem was executive vice president of Business and Financial Affairs for Warner Bros. Television and was part of the team that launched the landmark programs “Friends” and “ER.”

In 2006, Tellem was inducted into the Broadcasting & Cable Hall of Fame for her contributions to the electronic arts. In 2008, Forbes ranked her 32nd on its list of “The World’s 100 Most Powerful Women” and Entertainment Weekly named her the third-smartest person in TV for quickly restoring CBS’s entire primetime lineup after the 100-day writers’ strike. That same year, the National Association of Television Program Executives awarded Tellem a Brandon Tartikoff Legacy Award in recognition of her “extraordinary passion, leadership, independence and vision in the process of creating TV programming.”

About Xbox

Xbox is Microsoft’s premier entertainment service for the TV, phone, PC and tablet. It’s home to the best and broadest games, as well as one of the world’s largest libraries of music, movies, TV and sports. With Kinect, Xbox 360 transformed gaming and entertainment in the living room with a whole new way to play games and find entertainment — no controller required. More information about Xbox can be found online at http://www.xbox.com.

About Microsoft

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

Note to editors: For more information, news and perspectives from Microsoft, please visit the Microsoft News Center at http://www.microsoft.com/news. Web links, telephone numbers and titles were correct at time of publication, but may have changed. For additional assistance, journalists and analysts may contact Microsoft’s Rapid Response Team or other appropriate contacts listed at http://www.microsoft.com/news/contactpr.mspx.

REDMOND, Wash. — Sept. 18, 20 12 — Microsoft Corp. today announced that its board of directors declared a quarterly dividend of $0.23 per share, reflecting a 3 cent or 15 percent increase over the previous quarter’s dividend. The dividend is payable December 13, 2012 to shareholders of record on November 15, 2012. The ex-dividend date will be November 13, 2012.

The company also announced that Raymond V. Gilmartin, former chairman, president and chief executive officer of Merck & Co., Inc., has decided that after 11 years of service, he will retire from and not seek re-election to Microsoft’s board of directors at the company’s 2012 annual meeting of shareholders.

Gilmartin, 71, who joined the Microsoft board in 2001, is reducing his professional commitments to free up more personal time. “It’s been a real pleasure to work with Microsoft during a transformative period for the company, and see first-hand the vision and dedication that are reshaping Microsoft’s future and the future of the industry,” Gilmartin said.

“Ray has been a strong and insightful member of the board. We appreciate his many contributions over the past eleven years,” said Steve Ballmer, Microsoft’s chief executive officer.

With Gilmartin’s departure, the Microsoft board will have ten members: Bill Gates, Microsoft chairman; Steve Ballmer; Dina Dublon, former chief financial officer of JPMorgan Chase; Reed Hastings, founder, chairman and CEO of Netflix Inc.; Maria M. Klawe, president, Harvey Mudd College; Stephen J. Luczo, chairman, president and CEO of Seagate Technology PLC; David F. Marquardt, general partner at August Capital; Charles H. Noski, former vice chairman of Bank of America Corp.; Dr. Helmut G. W. Panke, former chairman of the board of management at BMW AG; and John W. Thompson, CEO of Virtual Instruments.

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

For more information, financial analysts and investors only:

Investor Relations, Microsoft, (425) 706-4400

Note to editors: For more information, news and perspectives from Microsoft, please visit the Microsoft News Center at http://www.microsoft.com/news/. Web links titles were correct at time of publication, but may since have changed. Shareholder and financial information is available at http://www.microsoft.com/investor/.

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REDMOND, Wash. — Sept. 18, 2012 — Microsoft Corp. announced today that Microsoft and Research In Motion (RIM) have signed a patent licensing agreement that gives RIM broad access to the latest Extended File Allocation Table (exFAT) for certain BlackBerry devices of RIM. exFAT is a modern file system from Microsoft that facilitates large files for audiovisual media and enables seamless data portability and an easy interchange between desktop PCs and other electronic devices.

exFAT improves on its predecessor, the FAT system, and greatly expands the size of files that flash memory devices can handle by five times over previous FAT technology. It also increases the speed with which those files can be accessed. The exFAT file system not only facilitates large files for use of audiovisual media, it enables seamless data portability and an easy interchange between desktop PCs and a variety of electronic devices.

“Today’s smartphones and tablets require the capacity to display richer images and data than traditional cellular phones,” said David Kaefer, general manager of Intellectual Property (IP) Licensing at Microsoft. “This agreement with RIM highlights how a modern file system, such as exFAT can help directly address the specific needs of customers in the mobile industry.”

Microsoft’s Commitment to Intellectual Property Collaboration

Microsoft offers flexible IP licensing programs that give companies access to many of the foundational technologies in its own products, allowing those companies to build devices, applications and services that work seamlessly with each other.

Since Microsoft launched its IP licensing program in December 2003, the company has entered into more than 1100 licensing agreements and continues to develop programs that make it possible for customers, partners and competitors to access its IP portfolio. The program was developed to open access to Microsoft’s significant R&D investments and its growing, broad patent and IP portfolio.

Microsoft has entered into similar licensing agreements with several leading consumer electronics manufacturers through its IP licensing program, including Panasonic Corp., SANYO Electric Company Ltd., Sony Corp. and Canon Inc.

More information on Microsoft’s IP licensing program is available at http://www.microsoft.com/iplicensing, and information specifically related to Microsoft’s exFAT licensing program is available here.

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

Note to editors: For more information, news and perspectives from Microsoft, please visit the Microsoft News Center at http://www.microsoft.com/news. Web links, telephone numbers and titles were correct at time of publication, but may have changed. For additional assistance, journalists and analysts may contact Microsoft’s Rapid Response Team or other appropriate contacts listed at http://www.microsoft.com/news/contactpr.mspx.

REDMOND, Wash. — September 17, 2012 — Microsoft Corp. today announced the details of the Office offer providing consumers, students and small businesses who buy qualifying Office 2010 or Office for Mac 2011 the option to upgrade during the time of promotion.

Starting October 19, people who purchase Office 2010 or Office for Mac 2011 will qualify to download, for free, one year of Office 365 Home Premium or the equivalent Office 2013 offering, when available. Small business customers in applicable markets will also be eligible for a three-month trial of Office 365 Small Business Premium.

For additional details on the Office offer, please see the company’s announcement at http://blogs.office.com/b/office-news/.

In association with the Office offer, Microsoft will defer revenue from eligible sales under the program to the earlier of the fulfillment date or the program’s expiration date. For the first quarter of fiscal year 2013, Microsoft will defer an estimated $100 million to $140 million of revenue related to licenses sold into distribution channels that will be subsequently sold to end customers under the terms of the offer. The deferral only impacts the timing of revenue recognition and will not impact cash flows from operations.

About Microsoft

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

Forward-Looking Statements

Statements in this release that are “forward-looking statements” are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors such as:

• execution and competitive risks in transitioning to cloud-based computing;

• challenges to Microsoft’s business model;

• intense competition in all of Microsoft’s markets;

• Microsoft’s continued ability to protect its intellectual property rights;

• claims that Microsoft has infringed the intellectual property rights of others;

• the possibility of unauthorized disclosure of significant portions of Microsoft’s source code;

• actual or perceived security vulnerabilities in Microsoft products that could reduce revenue or lead to liability;

• improper disclosure of personal data that could result in liability and harm to Microsoft’s reputation;

• outages and disruptions of services provided to customers directly or through third parties if Microsoft fails to maintain an adequate operations infrastructure;

• government litigation and regulation affecting how Microsoft designs and markets its products;

• Microsoft’s ability to attract and retain talented employees;

• delays in product development and related product release schedules;

• significant business investments that may not gain customer acceptance and produce offsetting increases in revenue;

• unfavorable changes in general economic conditions, disruption of our partner networks or sales channels, or the availability of credit that affect demand for Microsoft’s products and services or the value of our investment portfolio;

• adverse results in legal disputes;

• unanticipated tax liabilities;

• quality or supply problems in Microsoft’s consumer hardware or other vertically integrated hardware and software products;

• impairment of goodwill or amortizable intangible assets causing a charge to earnings;

• exposure to increased economic and regulatory uncertainties from operating a global business;

• geopolitical conditions, natural disaster, cyberattack or other catastrophic events disrupting Microsoft’s business; and

• acquisitions, joint ventures and strategic alliances that adversely affect the business.

For further information regarding risks and uncertainties associated with Microsoft’s business, please refer to the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” sections of Microsoft’s SEC filings, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q, copies of which may be obtained by contacting Microsoft’s Investor Relations department at (800) 285-7772 or at Microsoft’s Investor Relations website at http://www.microsoft.com/investor/.

All information in this release is as of September 17, 2012. The company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company’s expectations.

For more information, financial analysts and investors only:

Bill Koefoed, general manager, Investor Relations, (425) 706-4400

Note to editors: For more information, news and perspectives from Microsoft, please visit the Microsoft News Center at http://www.microsoft.com/news/. Web links, telephone numbers and titles were correct at time of publication, but may since have changed. Shareholder and financial information is available at http://www.microsoft.com/investor/.