13 November 2006

The Board of Directors of Reply S.p.A. – a company listed on the STAR market of the Italian Stock exchange [REY.MI] – today examined and approved the results at 30 September 2006. Growth across all economic and financial indicators.

With reference to Q3 2006, Reply recorded a consolidated turnover of 56.6 million euros, an increase of 64.2% against Q3 2005.

Significant the increase in margins recorded by the company which, in Q3 2006 alone, achieved an EBITDA of 7.4 million euros (+53.6% over September 2006) with EBIT of 6.5 million euros (+49.2%).

Still in the third quarter, earnings before tax were 6.4 million euros, showing an increase of 46.0% compared to the corresponding period in 2005.

At Group level, the first nine months of 2006 recorded consolidated turnover as 166 million euros (60.4% as compared to the same period in 2005), with EBITDA of 21.8 million euros (+46.8%) and EBIT of 19.2 million euros (+44%).

The pre-tax result at 30 September 2006 was 19.9 million, showing an increase of by 49% compared to the first nine months of 2005.

The Group’s Net Financial Position proves positive, 8.5 million euros at the end of September and shows an increase compared to the 2.2 million euros at 31 December 2005 (11.3 million euros at 30 June 2006).

Also growing are the 2006 results reported by Reply in Germany, where at 30 September Syskoplan recorded a turnover of 34 million euros (+13.5%), with an EBITDA of 4 million euros (+14.6%), an EBIT 3.2 million euros (+14.9%) and an EBT of 4.6 million euros (+57.8%).