AGM Statement

Embargoed Release: 07:00hrs 17th June 2005

                                  SOPHEON PLC                                  

                                 AGM Statement                                 

At the Annual General Meeting of Sopheon plc ('Sopheon') to be held later
today, the Chairman of the board will give shareholders an update on the
business. This will include the following statement:

'I am pleased to report that Sopheon continues to make significant strategic
and operational advances in the pursuit of its core business goals. In our
update on Sopheon's first-quarter performance, published in April, we noted
that the period included revenue from three new Accolade license contracts and
seven extension orders with existing customers for additional user licenses,
consultancy or hosting services. There have been further successes during the
second quarter, and we are endeavouring to close on several more contracts
before the end of June. At the present time, our client base includes 57
licensed customers, and Accolade is now being used in 48 countries around the
globe. These totals do not include stand-alone pilot or consultancy clients,
nor users of our small scale lab solution in the Netherlands. I would like to
highlight two other points. First, customers have historically built up large
license investments by adding users over time; last year, three customers each
contracted for a license value in excess of $600,000 in a single transaction -
two of these sales were concluded in the final days of 2004, highlighting the
significant effect on our results of large individual contract wins. Second,
our recurring maintenance base has doubled since the start of 2003, to £1.1
million as we entered 2005.

The prospects for growth continue to be positive. A number of IT research and
advisory firms are forecasting that Product Portfolio Management (PPM) will be
one of the fastest growing PLM categories during the next three years. This
momentum is attracting increasing interest from traditional software vendors.
Some are achieving market entry through M&A activity; others are looking to
extend the functionality and content of their existing software suites to
address PPM needs. We are confident that Accolade, with its deep domain
strength and specific out-of-the-box functionality, continues to lead the
market. In addition, Sopheon is actively developing partnerships to bolster
both our strategic and channel strength in this changing competitive landscape.
The alignment of Accolade with Microsoft technology is a key example of these
efforts, and the benefits have come through firmly in the latest release of
Accolade. Version 6.0 was a landmark release, supported by Microsoft both in
terms of R&D investment and marketing activity in Europe and America, and has
been very well received by market analysts. Having judged its Collaborative
Product Development pilot initiative a business success, Microsoft is now
taking steps to implement the program on a global scale and is also introducing
several other potential partners to Sopheon.

Our continued focus on growing our global ecosystem has resulted in agreements
with new reseller partners, including Deloitte & Touche in South Africa,
Inogate in Portugal, Team Progress in New Zealand and Australia, and ASI in
South Korea. In parallel with these developments, Sopheon has begun to pursue a
number of other partnering opportunities, and we have also given serious
consideration to a small number of potential M&A transactions. I am pleased in
this context to announce today the signature of a letter of intent to augment
our relationship with Team Progress through a financial investment in their
Sopheon reseller business. Further details of these initiatives will be
announced in due course.

With the rate of market change growing in speed and complexity, and the volume
of competitor activity steadily escalating, we believe that it is essential to
position Sopheon to protect and extend its established lead in the PPM market.
Two weeks ago we undertook a share placing on AIM, boosting our cash resources
at the end of May to over £2 million, to enable Sopheon to take timely
advantage of opportunities for business expansion, and to act with strength in
the increasingly dynamic market environment.'


For further information contact:

Barry Mence, Chairman     Sopheon plc                 Tel : + 44 (0) 1483 685 735   
Arif Karimjee, CFO                                                         
                                                                           
Andrew Tan                Hansard Communications      Tel : + 44 (0) 207 245 1100  
                                                            + 44 (0) 7957 203 685   
                                                                           
Eva Lindner               Citigate First Financial    Tel : + 31 (0) 205 754 023                      



About Sopheon

Sopheon (LSE:SPE) is an international provider of software and services that
help organizations improve the business impact of product development. The
Sopheon Accolade® product development system automates gate- or phase-based
product development (PD) processes and provides strategic decision support that
allows companies to improve innovation, cut product development spending waste
and shorten time to market. Sopheon is listed on the AIM market of the London
Stock Exchange and on the Euronext Amsterdam. For more information visit 
www.sopheon.com.