13 November 2007

The Board of Directors of Reply S.p.A., a company listed on the STAR segment [REY.MI], has examined and approved today the results as at September 30th, 2007. All economic and financial indicators show an upward trend.

As far as the 3rd quarter 2007 is concerned, Reply achieved consolidated revenues worth 65.5 million Euros, increased by 15.8% compared to the 3rd quarter 2006.

The Group’s operating margin was up significantly: EBITDA amounts to 9.8 million Euros (+31.1% compared to the same period of 2006) and EBIT amounts to 8.9 million Euros (+37.0%).

The positive trend reported by the 3rd quarter is also proved by the income before taxes that achieved 8.7 million Euros, with an increase of 37.0% compared to the same period of 2006.

During the first nine months of 2007, the consolidated revenues achieved by the Group amounted to 201.4 million Euros, with an increase by 21.3% compared to the same period of 2006, with EBITDA of Euro 28.8 million (+31,9%) and EBIT of Euro 26.0 million (+35,0%).

The income before taxes as at September 30th, 2007 achieved 25.7 million Euros, with an increase of 28.6% compared to the first nine months of 2006.

The Net Financial Position of 13.9 million Euros confirmed its positive trend at the end of September, with an increase compared to 13.1 million Euros as at June 30th, 2007 (6.7 million Euros as at December 31st, 2006).

As far as Germany is concerned the Reply Group achieved very positive results: as at September 30th, syskoplan closed the 3rd Q with revenues worth 42.7 million Euros (+26%), achieving a 4.9 million Euros EBITDA (+22%), a 3.9 million Euros EBIT (+20%) and a 4.1 million Euros EBT (+16%).

“The first three quarter of 2007 – explained Mario Rizzante, Reply President, at the end of the Board meeting – showed a very positive trend, with an outstanding growth achieved in the Italian market as well as in the German one. Especially as far as Germany and syskoplan is concerned, we have successfully started developing our network model based on highly focused expertise and competences, by starting new businesses operating in the Media Asset Management and in the Business Intelligence industries, as well as in the Microsoft technologies”.

“Thanks to the results the Group has achieved – finally declared Mario Rizzante – we can look to the year-end closing 2007 with optimism; moreover these results enable us to invest in strengthening our leadership in the emerging models and technologies, such as the Web 2.0, the Enterprise Social Networks, the SAAS models and the pervasive computing, as well as in developing new growth opportunities for Reply in Italy and Europe”.