Regulatory News:

ESR (Paris:ESRP):

Consolidated revenue in million Euros   2006*   2006**   2007   Change**
1st quarter 20.7 19.7 19.1 -3.0%
2nd quarter 19.0 18.2 19.4 -6,6%
3rd quarter 18.6 17.6 18.8 +6.8%
3 quarters together 58.3 55.5 57.3 +3.2%

*As released in 2006, including Valexa

**Proforma excluding Valexa and basis for change percentage

In the third quarter of 2007, ESR Group achieved a consolidated revenue of € 18.8 million, up 6.8% from the pro forma figure for the like 2006 period excluding Valexa.

As the 75% stake previoulsy held in Valexa was sold in July, 2007, the revenue of that company has no longer been shown in the consolidated revenue, as from January 1st, 2007. Therefore, only a comparison with re-stated quarterly 2006 data (without Valexa's contribution) gives an adequate picture of the group's business progress in its present configuration. Thus, the growth experienced in Q2 (+6.6%) was clearly confirmed in Q3 (+6.8%).

In the 3rd quarter, new business deals were signed, that aptly illustrate the marketing dynamism of the group, such as:

  • a sizeable consulting assignment for a major actor in the shipbuilding industry, on the improvement of its backup systems
  • a general audit on information systems security for a large retail chain
  • the development of information systems security policies for a security-sensitive government department.

The sale of the stake in Valexa allowed a rapid drop in the tax and social charges debt, the installments of which had been respread. Its balance on September 30th was down to € 2,2 M, as against an initial € 6,2 M. At the end of Q3, the total indebtedness of the group amounts to € 17,2 M including the rescheduled tax and social charges debt.

Reaping the fruits of its recovery effort sustained for over a year, the group, which is now refocused on its core business, has experienced a continuous improvement of its operating profit ratio over the 3rd quarter.

The ESR group confidently carries on with the growth process of its business, as well as the improvement of its profitability and the decrease in its indebtedness. For the whole 2007 fiscal year, ESR expects around € 78 million in revenue. The sale of Valexa stock resulted in a € 1 M capital gain that will be entered in the books in the second half-year.

In France, ESR is the Number 1 Pure Player in the area of IT and telecom infrastructure management. ESR has celebrated its 20th anniversary in the third quarter and is proud of these 20 years dedicated to excellence in serving its clients.

On January 30, 2008, ESR will release its revenue figure for the 2007 fiscal year.

Shareholders' information of the ESR Group available on www.esr.fr

ESR is a major player of the IT infrastructure market. The group also develops high added value consulting expertises on IT systems security and storage.

Clients of the group are the largest institutions in the sectors of telecoms, bank and insurance, services, industry and public sector.

ESR covers all the French national market and follows his clients abroad.

ESR - 2, rue de Paris - 92190 Meudon - France - Tél: +33.(0)1.47.65.14.00

Section C - Eurolist by Euronext Paris - ISIN FR0000072969 - ESRP

ESR:
Jean-Guy Barboteau
Chairman & CEO
jean-guy.barboteau@esr.fr
or
Florent Barboteau
Managing Director
florent.barboteau@esr.fr