Trading Statement

Gresham Computing PLC
21 January 2005


Strictly private and confidential
Pre-close period business update

Gresham Computing plc provides the following update to progress in the second
half of 2004.

Progress with Cable & Wireless RTN ('CWRTN') remains encouraging. First
subscription revenues from the service were earned during the summer of 2004 and
the system has been live since April 2004.

Four banks that committed to provide data to the service, including three of the
'top 10' largest banks in the world (note 1), are now integrated and live on the
system. Four further banks that committed to provide data to the service are
expected to be integrated and live on the system shortly. In addition, Barclays
was announced as the first subscriber for Nostro Direct, the live CWRTN data
streaming service.

We have continued to make good progress in developing a number of potentially
significant opportunities for the group in the working capital solutions market.
We are currently working in Australia with a leading communications group to
develop and deliver a solution in the bank to corporate market. We have also
continued to invest in research and development in our core markets.

In addition, our Casablanca Java Integration Broker has been chosen by HP to
support their Real Time Financial Services architecture and Single Customer View
solution - because of its ability to interoperate seamlessly with HP's Non Stop
platform to create a new generation large integration hub.

For the second half of 2004 we expect a considerably improved operating
performance compared with the second half of 2003 and similar operating
performance to that of the first half of 2004. We also expect a significant
reduction in the retained loss for the second half of 2004 compared with that
reported in the first half of 2004 after taking into account an anticipated
research and development tax credit. For 2004 as a whole we expect to report a
significant reduction in operating and retained losses compared with those of
2003.

Future outlook
The business has made significant advances in the past year.

We are encouraged by the progress of CWRTN and expect continued progress towards
realising its potential. While revenues will initially be relatively small and,
as previously indicated, take a number of years to build to their full
potential, we continue to believe that CWRTN is our most significant market
opportunity and has the potential to deliver the largest returns in the Group's
history. Progress in 2004 has moved us considerably closer to realising this
potential.

We also expect to begin to realise some of the other significant opportunities
that we have developed, particularly from our working capital solutions and
strengthened relationship with HP.

We believe that the business is now well placed to capitalise on the strength of
these opportunities in order to deliver positive growth in 2005 and beyond.

Notes
1 Measured by Capital (Source: The Banker: 'Top 1000 World Banks at 31 December
2003', July 2004).

                                    - Ends -
For further information, please contact:

Gresham Computing plc
Andrew Walton-Green 01489 555500





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