From: DeLee Shoemaker (LCA) Sent: Tuesday, December 06, 2011 3:23 PM To: John Burbank Subject: RE:

Advance Notice! John, thank you very much for the heads up. I really appreciate you reaching ou t, this is particularly important since much of the information regarding the Ne vada licensing is misinformation and primarily spread by a blogger. No official has ever provided any factual data supporting his claims. Here are the facts. * Microsoft does not realize a WA State Business & Occupation (B&O) tax advantag e as a result of maintaining its licensing operations in Nevada. * Microsoft would pay the same amount of WA State B&O tax, regardless of whether the licensing operations were located in WA State. * Microsoft is a responsible corporate taxpayer in who is in full compliance wit h the WA State tax laws. * Microsoft abides by the same laws and requirements established for all other s imilar WA State taxpayers. * As a global company, Microsoft complies with the tax laws in all jurisdictions in which it operates. This is the right time to discuss funding options, particularly for education. As Brad said publicly last month it's vital that the discussion focus not only o n how much money should be spent, but on spending it as effectively as possible. This is a time when the state should be making strategic improvements to educa tion policy to strengthen our K-12 system. We believe it is important for the l egislature to adopt outcome-based reforms that will help ensure that all Washing ton students receive a quality education. These steps will best ensure that any proposed increase in the sales tax for example will lead to real improvements i n education and thereby deserve the public's support. Talk to you soon DeLee