MICROSOFT CORP — Director's Dealing 2011

Feb 18, 2011

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: MICROSOFT CORP (MSFT)
CIK: 0000789019
Period of Report: 2011-02-17

Reporting Person: SMITH BRADFORD L (Senior Vice President)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2011-02-17	Common Stock	M	66667	$25.1438	Acquired	527041	Direct
2011-02-17	Common Stock	S	66667	$27.2531	Disposed	460374	Direct
2011-02-18	Common Stock	M	66666	$25.1438	Acquired	527040	Direct
2011-02-18	Common Stock	S	66666	$27.00	Disposed	460374	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2011-02-17	Employee Stock Option (right to buy)	$25.1438	M	66667	Disposed	2011-02-20	Common Stock (66667)	Direct
2011-02-18	Employee Stock Option (right to buy)	$25.1438	M	66666	Disposed	2011-02-20	Common Stock (66666)	Direct

Footnotes

F1: This transaction was executed in multiple trades at prices ranging from $27.24 to $27.265. The price reported above reflects the weighted average purchase price. The reporting person hereby undertakes to provide upon request to the SEC staff, the issuer or a security holder of the issuer full information regarding the number of shares and prices at which the transactions were effected.