In this paper macro performance in a co-channel macro and femto setup is studied. Measurements are performed in a live Universal Mobile Telecommunication System (UMTS) network. It is concluded that femto interference does not affect macro downlink (DL) performance as long as the macro Received Signal Code Power (RSCP) is stronger than femto RSCP. We also conclude that a macro escape carrier is a robust DL interference management solution. In uplink (UL) direction it is shown that a single femto UE close to macro cell can potentially cause a noise rise of 6 dB in the surrounding macro cell. In order to limit the noise rise from femto UEs, femto UE power capping and lowering femto common pilot channel (CPICH) power is recommended. The consequence is less uplink interference towards the macro, but also decreased femto coverage. Measurements close to macro cell centre showed femto coverage radius smaller than 5 meter – with realistic power settings. This makes co-channel femto deployment less promising in dense macro environments with good macro RSCP coverage.