MICROSOFT WINS THREE RETAILING, MERCHANDISING AWARDS

Reflect Effectiveness of Efforts to Support Distribution Channel for
Software

LAS VEGAS - JAN. 5, 1996 - Recognized for its efforts to assist the broad
range of retailers that sell Microsoft products to end users, Microsoft
Corp. has recently received three awards that highlight the company's
programs in retail merchandising and support.

The most recent award will be presented here this evening during the Winter
Consumer Electronics Show. Computer Retail News, a leading trade
publication for computer software and hardware retailers, will present
Microsoft with its Top Shelf Hall of Fame award. This new award, first
presented this year, reflects Microsoft's long-standing achievements in
supporting the retail distribution channel for personal computer software.
The Hall of Fame award will be presented to Steve Schiro, vice president
of the end-user customer unit at Microsoft, at a dinner sponsored by
Computer Retail News.

Microsoft's innovative new merchandising and display programs were recently
recognized in two other competitions. The prestigious International Store
Interiors Design Competition, co-sponsored by Visual Merchandising & Store
Design magazine, presented Microsoft with a first-place award in the
category of "new or totally renovated shop within a department store."
This award was given for the Microsoft Concept Shop, a
store-within-a-store design currently being tested in several retail
outlets throughout the United States.

In addition, the graphic elements of the Microsoft merchandising program -
the signs and logos that identify the various floor and wall elements -
were recognized recently by the Columbus Society of Communicating Arts in
Columbus, Ohio. Microsoft was awarded first prize for brand-level graphics
in the society's annual design competition.

"It's gratifying to receive all of these awards," said Schiro, "because
what they really represent is recognition by the retail channel and
channel-oriented publications that our ongoing efforts to be the best
possible vendor partner for the retail distribution channel are working.
Our goal has been to develop channel support and merchandising programs
that are truly effective for retailers, and these awards reflect that."

Founded in 1975, Microsoft (NASDAQ "MSFT") 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.
 
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