For Microsoft, 1998 means a changing of the guard as Bill Gates appoints Steve Ballmer president of Microsoft. Microsoft Corporation's Board of Directors approves a 2-for-1 split of its common

shares and The U.S. Justice Department and 20 state attorneys general file an antitrust suit against Microsoft, charging the company with abusing its market power to thwart competition.

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1989,

1990,

1991,

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1993,

1994,

1995,

1996,

1997

1998

The 1998 fiscal year-end sales total $14,480,000,000.

The 1998 fiscal Year employee headcount totals 27,055 people.

Official Subsidiaries Launched: Microsoft India (R&D) Private Limited, Microsoft El Salvador S.A. de C.V., Microsoft Arabia

January 26, 1998

Microsoft will add two new Actimates learning system characters to its product lineup. Marc Brown's Arthur, and Arthur's little sister, D.W., will be introduced at Toy Fair in New York on Feb. 9. They join preschool Barney™, who debuted last year as the first

ActiMates plush character.

January 26, 1998

Microsoft Corporation's Board of Directors approves a 2-for-1 split of its common shares. Shareholders will receive one additional common share held on the record date of February 6, 1998. As of December 31, 1997, Microsoft had approximately

1.2 billion common shares outstanding.

February 5, 1998

Microsoft realigns its product groups to respond to changing consumer and market needs. The reorganization focuses the product groups on investing in Windows with the goal of delivering simplicity and scalability, allowing businesses to maximize

their competitive advantage through their digital nervous system, and promoting the Web lifestyle.

March 4, 1998

Microsoft makes a minority investment in General Magic. Agreements between the two companies include an equity investment as well as the licensing of cer