KEVIN TURNER Update: Realigning Resources and Reducing Costs

From: Kevin Turner
Sent: Tuesday, May 05, 2009 6:37 PM IST
To: WW Sales, Marketing & Services Group
Subject: FW: Update: Realigning Resources and Reducing Costs

As Steveb’s mail indicates, today Microsoft is continuing to make adjustments to our company in response to the macroeconomic environment. As most of you would be aware, our Q3 performance brought our first quarterly revenue decline in our history and a decline in year over year profit by 32%. As announced in January, Microsoft will take responsible action to manage our cost structure in the current environment and unfortunately these actions will impact the worldwide SMSG organization.

This current business situation is unlike anything we have seen in our lifetime and we must continue to keep a close watch on the constantly evolving and fluid environment and align our resources and business priorities accordingly. While the decisions are painful, Microsoft is striving to take responsible business action that will continue to position us for the future and do what is right for our customers & partners. Decisions like this are always very hard to make, and I want to assure you that your leadership team takes this responsibility and these choices very seriously.

Today, and over the next few days, the communications regarding the impacted areas of our organization will be coming from your local leadership teams. We feel it is important that each area receives an update on the situation from their local leadership so all questions can be asked and concerns can be addressed. I ask that you are sensitive and empathetic to those who are being impacted and please offer your support and assistance where possible, knowing that this is a very difficult situation.

Finally, thank you for continuing the hard work you are doing in serving our customers, partners and each other.

KT