INFORMER is pleased to announce that it has reached an agreement with TEMENOS, the well-known international leader in the banking software industry, on the way forward for the two Organizations in the future.

TEMENOS and INFORMER, a long lasting business partner of TEMENOS with a success record in selling and implementing TEMENOS GLOBUS?, have been recently engaged in disputes over various matters.

Both Organizations have agreed on a different business partnership model of a Systems Integrator.

Under this new Systems Integration model and according to the agreement INFORMER entered into with TEMENOS, INFORMER in the future will pursue System Integration projects on an international basis, rather than acting as a local Distributor. Such Integration projects may include the requirement for TEMENOS' software products 'TEMENOS GLOBUS' and TEMENOS T24) and INFORMER' s expertise in the area of Implementation and Systems Integration.

Customers or prospects wishing to use the integration and implementation capabilities of INFORMER, may select to work directly with INFORMER. In this event TEMENOS has committed to provide its full warranty and support for its products.

TEMENOS and INFORMER have agreed that the Intellectual Property rights for any Developments that were done or will be done in the future by INFORMER, which complement or enhance the TEMENOS Products functionality, reside exclusively with INFORMER and that INFORMER will benefit of all related license and maintenance fees.

TEMENOS and INFORMER have also agreed on the issue of the common customers in Greece and Cyprus and have given three options to these customers a) to continue with their existing contractual arrangements b) tο have separate agreements with INFORMER and TEMENOS c) to sign a new agreement with TEMENOS.

Also, as part of the agreement reached between TEMENOS and INFORMER, TEMENOS shall purchase, against 15,500,000 USD, the shares of TEMENOS EASTERN EUROPE Ltd. (TEE), in the possession of INFORMER GROUP.

The subsidiaries of TEE in Romania and Egypt will become subsidiaries of INFORMER and existing customers of TEE in these countries (4 banks) will continue to be supported and serviced from these companies for the next two years. The consolidated accounts of the INFORMER Group will therefore include from now on only these two subsidiaries of TEE, rather than TEE as a whole.

As a result of these arrangements INFORMER expects the following:

a) Maintenance fees invoiced by INFORMER to old customers in Greece and Cyprus may be reduced. However this is not expected to have a material impact on the Group financial position.

b) New maintenance and license fees will be added due to the acquisition of the subsidiaries in Romania and Egypt.

c) The new System Integration agreement allows INFORMER to pursue deals on an International basis without the territorial restrictions of the previous Distribution Agreement, which was valid only for Greece and Cyprus. A number of such deals are already in the pipeline of INFORMER and a first such deal was already signed in Egypt for Commercial International bank (CIB)

d) New revenue will be generated from license and maintenance fees for INFORMER's own Developments, related to TEMENOS products.

e) Addressing customers on an International basis will generate additional opportunities for the software products of INFORMER, which will be sold in combination with TEMENOS products.

INFORMER reasonably expects that the net effect on the annual revenues of the GROUP will be significantly positive in the coming years as a result of the above arrangements.

Finally the amount of 15,500,000 USD, which will be received from TEMENOS, will speed up the investment plans of INFORMER Group in the area of e-payments and outsourcing as well as in the area of international system integration projects, and will decrease substantially the needs for external financing, thus helping the Group to maintain its solid financial position (since 2000 INFORMER Group?s operation and expansion are not relying on external financing). Payment of this amount by TEMENOS will take place in installments within four years.

According to the agreements signed both parties will drop all legal actions against each other.