07 June 2006

Reply S.p.A., a company listed in the STAR segment of the Italian Stock Exchange, has communicated that it has begun the process of exercising its option to acquire an additional 2% of the share capital of Santer S.p.A., a company active in the Public Administration sector specialized in solutions for the Territorial Healthcare and Local Entities. Reply currently owns 49% of Santer S.p.A.

The transaction is expected to be closed in the following weeks and will allow Reply to bring its investment to 51% of Santer S.p.A.’s share capital with an investment of 0.2 million euro by taking advantage of the stipulations of the contract signed with Lombardia Informatica, the Chamber of Commerce and Unioncamere of Lombardia in December 2002 for the acquisition of the 49% share.

In 2005 Santer Spa recorded a turnover of 20,4 million euro, with EBITDA of 2.4 million Euro and Net Profit of 0.97 million euro.

"The decision to exercise the purchase option right to increase the ownership in Santer to 51% - points out Mario Rizzante, Chairman of Reply - demonstrates to the good work done over the last 3 years to integrate Santer’s specialized abilities in Local Public Administration and Healthcare with the Reply’s specialisation in new technologies and in the most advanced on-line services. With this transaction we confirm our determination to continue growing in a promising area such as platforms for health services management".