ADP Teams With Microsoft to Bring Its Payroll Solutions To Microsoft's Online Small Businesses.

Business/Technology Editors & Financial Writers

ROSELAND, N.J. & REDMOND, Wash.--(BUSINESS WIRE)--July 11, 2000

New Alliance to Offer ADP's Industry-Leading Payroll and Tax Filing

Solutions Through Microsoft bCentral and Other Web Properties

Automatic Data Processing, Inc.'s (ADP(R); NYSE:AUD) Emerging Business Services Division today announced a strategic alliance with Microsoft Corp. (NASDAQ:MSFT) to provide visitors to Microsoft's Web properties with access to ADP's payroll and tax filing solutions for small businesses. As part of the agreement, ADP will showcase its solutions across multiple Microsoft properties including the Encarta(R) online encyclopedia, Expedia(R), Zone.com, the MSN(R) network of Internet services and Microsoft's Slate(R) online magazine. In addition, this strategic alliance positions ADP as an endorsed payroll and related tax filing service provider for the 1 million registered small business users of the Microsoft(R) bCentral(TM) small business portal.

"We are excited to join with Microsoft to provide the small business market with unparalleled business solutions," said Russell Fradin, President of Employer Services-North America at ADP. "By combining our expertise, Microsoft and ADP will offer small business customers the ability to fulfill all their business and human resources administrative needs by utilizing world class services with the power of the Internet."

"The position of Microsoft bCentral as a premier resource for small businesses represents a natural opportunity to offer ADP's traditional and online solutions to its vast user community while addressing their business administration functions in a manner most suited to their needs," said Bud Angelus, President of Emerging Business Services at ADP.

ADP's payroll and tax filing solutions are a result of more than 50 years of expertise now combined with innovative Web-based technologies that will give small and emerging businesses the flexibility to choose what solutions to buy, how to purchase them and how to receive customer support. This flexibility is achieved by combining ADP's traditional assets with new online assets, providing a prospective customer with a choice of how to do business on their terms.

At the center of this suite of solutions is EasyPayNet(SM), an Internet payroll application that will be co-branded for bCentral users. The EasyPayNet interface links directly to the Microsoft bCentral Web site, giving users easy, immediate access from bCentral. In addition, bCentral users will receive customized, instant price quotes from ADP's Solution Profiler, an online virtual consultant that offers users a choice of purchasing services online, over the phone or during a personal visit by one of ADP's 2,000 small business representatives.

"ADP Emerging Business Services offers bCentral customers a leading solution to mission-critical business tasks," said Jonathan Weinstein, Director of Marketing for Microsoft bCentral. "The goal of bCentral is to provide end-to-end solutions for small-business customers looking to start, market and manage their business. Offering a comprehensive payroll and tax filing solution from an industry leader such as ADP directly satisfies small business users' unique needs."

Small businesses interested in taking advantage of this powerful resource may register through the Microsoft bCentral Web site at www.bcentral.com.

About ADP

Automatic Data Processing, Inc. (NYSE:AUD) is one of the largest global providers of computerized transaction processing, data communications and information services, with more than $6 billion in revenues and more than 450,000 clients worldwide. ADP's Employer Services (ES) Division is a leading provider of integrated business administrative solutions that help clients efficiently manage their internal processes, allowing them to focus on core competencies.

ADP ES offerings include both traditional and Internet-based outsourcing products and services, giving clients the ability to select from ADP's comprehensive range of world-class service solutions. Services include payroll, tax regulatory management, human resource information systems, benefits administration, time and labor management, retirement plan services, online recruiting, and pre-employment screening. For more information about ADP Employer Services, visit the company's Web site at www.adp.com.

About bCentral

The Microsoft bCentral small-business portal is a Web-based portal created specifically to meet the needs of small and growing companies. bCentral provides a comprehensive, affordable and integrated suite of services to help companies move their businesses forward on the Web. bCentral focuses on three core areas:

-- Getting a business started online (includes connecting to the Web and
building a business Web site)

-- Promoting and marketing a business online

-- Managing a business more effectively

About Microsoft

Founded in 1975, Microsoft (NASDAQ:MSFT) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software -- any time, any place and on any device.

Microsoft, Encarta, MSN, Slate and bCentral are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries/regions.

Expedia and Expedia.com are either registered trademarks or trademarks of Expedia Inc. in the United States and Canada.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

Note to editors: If you are interested in viewing additional information on Microsoft, please visit the Microsoft Web page at www.microsoft.com/presspass on Microsoft's corporate information pages.