Major Contract Extension

16 October 2009

                                  Corero PLC                                   

                           ("Corero" or "the Group")                           

    Corero Signs Major Contract Extension with Large Global Investment Bank    

Corero, the specialist provider of software solutions to the banking and
securities and education markets, is pleased to announce that it has signed a
major contract extension with a large global investment bank for its Radica
CAPS software. The bank, a customer since 2003, has purchased a perpetual
licence, for an unlimited number of users, to use the software across all its
processing centres in Europe, Asia and the United States.

The contract will provide Corero with significant revenue in the year ending 31
December 2009, the result of which will be that the operating profit of the
Group for the current year will be greater than that for 2008 and in excess of
current market expectations, although it will have the effect of reducing
future support revenues from this customer.

Mark Robertson, Managing Director, Corero Financial Markets division commented:
"Radica CAPS enables securities firms to automate the entire lifecycle of a
corporate actions process. I am delighted that this large investment bank has
decided to continue to use it as the basis of its global corporate actions
processing platform. This deal will ensure that the Financial Markets division
of Corero makes a significant contribution to the Group's operating profit in
2009."

Enquiries:

Corero plc                                                                   
                                                                             
Peter Waller, Executive Chairman                            Tel: [phone]
                                                                             
Duncan Swallow, Financial Controller                        Tel: [phone]
                                                                             
Merchant John East Securities Limited (Nominated Adviser)                    
                                                                             
John East/Virginia Bull                                    Tel: [phone]

About Radica CAPS

Radica CAPS is a leading software system that addresses the needs of asset
servicing operations for the global banking & securities sector. By fully
automating the life-cycle of corporate actions, dividends, including taxation
and new issues and placings, Radica reduces the serious operational risk of
missing or miscalculating corporate events. This area of operations has
traditionally been very manual with all the risk and cost associated with such
processes. Radica is designed for a global market and can address the needs of
financial institutions from Europe, North America or Asia Pacific.