07 April 2006

The shareholding of Reply [Rey.MI] in the capital of syskoplan AG has risen to 63.76% after the mandatory tender offer on the German Stock Exchange from March 6th, 2006 to 3rd, April 2006 and launched following Reply’s acquisition of 53.1% of syskoplan’s capital in December 2005.

After the Offer, syskoplan remains listed on the Frankfurt Stock Exchange with a floating capital of 36.24%, the remainder capital will be held by Reply.

"We are extremely satisfied that syskoplan’s floating capital has remained particularly important – confirmed Reply’s Chairman, Mario Rizzante – as it shows that the market and shareholders believe in the plan of creating value for both the companies: Reply and syskoplan".

The Offer was launched at a price of euro 8.40 per share, equal to a premium of 15% compared to the official Stock Exchange price of December 21st, 2005. During the Offer period, syskoplan’s stock market value was constantly maintained above the Offer Price, stressing the market’s intent to mantain its investment in syskoplan in order to participate in the company’s future growth.

Following the take-up, representing 3.35% of all of syskoplan’s shares, for Reply the operation has (including the initial acquisition of 53.1%) involved a total cash expenditure of almost 17 million euros and 5.5 million euros in Reply shares.

With this operation, Reply will growth in the largest market for IT services in Europe and to implement its European strategy on SAP technologies.

The development of the German market will also be possible thanks to the significant cash generated by syskoplan, which in 2005 reached consolidated turnovers of 41.8 million euros, a pretax profit of 3.2 million euros and a net financial position of 19.3 million euros.

syskoplan’s acquisition of macrosInnovation, a Munich-based company specialized in the creation of solutions for the banking and insurance sectors, is in line with the Reply’s strategy of using the business model it has already developed in Italy, also in Germany.