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Microsoft, Justice talk?
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June 25, 1999: 1:11 p.m. ET
Report: Microsoft and the Justice Department in secret settlement talks
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NEW YORK (CNNfn) - Microsoft and the Department of Justice recently began secret settlement talks, according to a published report Friday, just as the world's biggest antitrust case headed toward its final stages.
William Neukom, Microsoft's general counsel, met with U.S. antitrust chief Joel Klein three weeks ago, according to the Wall Street Journal. The talks didn't produce a breakthrough, though. "The dialogue is going to continue," one insider told the Journal, and the two parties agreed to meet again.
Justice Department officials, however, were unhappy that reports of the settlement talks appeared in the paper, citing Microsoft (MSFT) as the source of the leak.
"Microsoft's repeated disclosures to the press to spin its position in settlement are a significant obstacle to making progress," said Gina Talamona, a Justice Department spokeswoman.
Microsoft spokesman Mark Murray denied the company was responsible for the leak.
"We have a pledge with the government and 19 states that none of us is going to talk about any aspect of any settlement efforts and we're not going to violate that pledge even if others do," Murray said. "We are committed to working with the government in good faith to explore whether it's possible to resolve this case so everyone can move forward."
The last witness in the Microsoft trial concluded testimony Thursday following 76 days of courtroom proceedings. The next step is for both sides to submit to the court their proposed findings of fact, due on Aug. 10.
The latest settlement talks between Microsoft and the Justice Department were the first since March. No dates were set for a future meeting, but settlement talks may not get serious until the fall, when U.S. District Judge Thomas Penfield Jackson rules on findings of fact.
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