----- Excerpt From Steve Ballmer’s MicroSoft Memo  -----

Sent: Thursday, June 15, 2006 1:31 PM
To: Microsoft and Subsidiaries: All FTE
Subject: New Era of Technical Leadership

I wanted to share some important news with you, and talk a little bit about some
of my top priorities in the coming months.

Today we are announcing the news that – effective July 2008 – Bill will
transition to a part-time role at the company. While this is significant news,
it's important to note that for the next two years Bill will continue full-time
as Chairman, and that even after July 2008 he will continue as Chairman and an
advisor on key development and business issues.

This is not a decision that either Bill or I take lightly. We have a solid
transition plan, and Microsoft is well-positioned to make this transition given
the depth of senior leaders we have, and our strong pipeline of products over
the coming year.

As Microsoft has grown, Bill also has taken on another challenge – the amazing
work of the Bill & Melinda Gates Foundation to confront critical issues like
global health and education. The Foundation's efforts have begun to have a
major impact, and there is growing need for him to spend more of his time on
Foundation activities.

Bill and I have talked over the years about scaling the company's leadership and
about succession planning. Our efforts to expand the company's leadership and
delegate more authority to meet the challenges of our expanded scope of
innovation are well underway.

[rest deleted]

--- Excerpts from: MSBILLG MicroSoft Memo ----

Sent: Thursday, June 15, 2006 1:41 PM
To: Microsoft and Subsidiaries: All FTE
Subject: My Transition Plans

I wanted to take a moment to share some of my thoughts, as well.
As Steve's mail indicates, I've decided that two years from now, in July 2008, I
want to devote more time to the work of the Bill & Melinda Gates Foundation.

Right now and for the next two years, my full-time job is here at Microsoft, and
my part-time job remains the Foundation. Beginning in July 2008, I will switch
that, to be full-time at the Foundation, while remaining involved with
Microsoft as Chairman and an advisor on key development projects on a part-time
basis.

[rest deleted]

Posted by Sam Lanfranco

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