Summary of Microsoft Merger with Intuit Inc.
PSS ID Number: Q121875
Article last modified on 11-07-1994
PSS database name: HOMETOOL

1.00 2.00 3.00
WINDOWS

-------------------------------------------------------------------
The information in this article applies to:

 - Microsoft Money versions 1.0, 2.0, and 3.0
-------------------------------------------------------------------

SUMMARY
=======
This article summarizes details of the planned merger with Intuit Inc.,
the planned transition of Microsoft Money to Novell Inc., and our
commitment to our Microsoft Money customers. This article also includes
answers to common questions about the planned transition.

MORE INFORMATION
================
On October 13, 1994, Microsoft signed an agreement to merge with
Intuit Inc., a leading publisher of financial software for the home and
small-business environment, with such titles as Quicken, QuickBooks, and
TurboTax. This merger will help Microsoft in its goal of developing the
most advanced, automated and user-friendly software for conducting and
organizing home and small business affairs. In connection with the merger
we announced that we would sell the Microsoft Money product to Novell.
The closing of these agreements could take several months. During this
period, Microsoft will continue to actively develop and support
Microsoft Money. While the merger is being completed Microsoft will
work closely with Novell to ensure a smooth transition of the Money
product. We are jointly committed to seeing that Money customers
experience no disruption in service or support during the transition
period. To this end we have agreed to a number of cooperative
activities with Novell, including a 90-day support period after the
closing of the merger.
We want to assure our customers that Microsoft is fully committed
to continuing to provide quality support and service for Microsoft Money
while the merger is being completed.
If you are a user of Microsoft Money's On-Line services, there will be
no disruption in this service. National Payment Clearinghouse, Inc. (NPCI)
will continue to provide and support these services for Microsoft Money
customers. By the time the merger is completed Novell support staff
will have been fully trained to support the online services. We
anticipate that Novell will work  closely with our bank partners and
service providers.
After the merger is completed, Novell will continue to upgrade the
Money product and support Money customers. If for any reason the merger
is not completed, Microsoft is firmly committed to updating and
supporting the Microsoft Money product.

QUESTIONS AND ANSWERS
=====================
The questions and answers section that follows answers the most frequently
asked questions relating to both the merger and its implications for
existing Microsoft Money customers. As the merger progresses, we will write
to our registered Microsoft Money users with all pertinent information.
Q. Why does Microsoft want to merge with Intuit?
A. Both companies have a lot in common - a passion for building
   great products for today's home computer user and for helping
   our customers move closer to instant access to information,
   including financial information and information processing.
   The combination of the technologies and ideas that each
   company can contribute will accelerate the development of
   these new technologies and help to make this vision a reality.
Q. What happens to Microsoft Money?
A. Once the merger is finalized, Money will become part of
   Novell's product line.
Q. Is Novell committed to continued development and support of
   Money?
A. Yes. Money is an excellent product with a strong customer
   base. Novell also has many strengths that will ensure the
   future success of Money; its technological knowledge and
   experience; its rich understanding of the applications world
   through its WordPerfect group; a great emerging home brand
   in Main Street; it already offers a tax package that, with
   Money, will enable them to build a diversified personal
   finance software portfolio; and it has strong resources that
   will keep Money a strong player in the personal finance category.
Q. What does the transition of the Money product to Novell mean
   for existing Money customers?
A. Microsoft is committed to avoiding any disruptions in support
   and service to its Money customers during the transition to
   Novell. After the merger is finalized, Novell will assume full
   responsibility for updating and supporting Microsoft Money
   customers. In the interim period, Microsoft will continue to
   provide full support to Microsoft Money customers.
Q. Should Money users transition to Quicken?
A. Novell will continue to develop, and enhance the Money product
   for its customers. Ultimately, customers should choose the
   product they think best fits their needs.
Q. What migration path will Microsoft offer existing Money users
   to move to Quicken?
A. Both Money and Quicken support the QIF file format, which
   means that data can be transferred between applications with
   minimal data loss. At this time, however, we cannot comment on
   any Quicken product or marketing plans/changes.
Q. What happens to the online services offered with Microsoft
   Money?
A. When the transition of Money to Novell is complete, Novell will be
   responsible for supporting the online services, and we anticipate that
   it will work with bank partners and other service providers to enhance
   these services. There are no plans to discontinue these services
   within Money.
Q. I bought Money because it was a Microsoft product, and that
   meant good support and service.
A. Novell develops and supports a whole range of products from
   networking through consumer products, and has an excellent
   reputation. Novell is fully committed to continue to enhance
   and support Money and to vigorously compete in the personal
   finance market.
Q. There will be an appealing low-cost upgrade path to stay with
   Microsoft - right?
A. We cannot comment on any Quicken product or marketing plans
   or changes at this time.
Q. Quicken includes a $10 rebate for current owners. Will
   Microsoft honor the $10 rebate for existing Microsoft Money
   users?
A. We cannot comment on any Quicken product or marketing plans
   or changes at this time.

KBCategory: kbref kbpolicy
KBSubcategory: Merger
Additional reference words: w_money, Merger, Novell, Intuit
1.00 2.00 3.00

=============================================================================
Copyright Microsoft Corporation 1994.