PFI Project

RM PLC
13 April 2004



  RM appointed preferred bidder for £20 million Newham LEA educational ICT PFI
                                    project

RM plc, the UK's leading supplier of information and communications technology
(ICT) and other services to education, has been appointed preferred bidder for a
major educational ICT project by Newham LEA (local education authority). Under
the 8 year, £20 million PFI project, 30 primary schools in Newham will receive
innovative ICT-based teaching environments.

RM will equip approximately 140 classrooms with interactive whole-class teaching
environments comprising interactive whiteboards, the Kaleidos VTLE (virtual
teaching and learning environment) and a range of interactive learning content
from RM and other educational software publishers. Teachers will be provided
with Tablet PCs for planning and lesson delivery, with teaching assistants and
more than 4,000 pupils receiving notebook computers. Underpinning the
whole-class teaching environments will be Community Connect 3 networks with
wireless capabilities in each school, combined with an authority-wide portal
based on Microsoft SharePoint Portal server.

Commenting on the contract, Graham Pragnell for Newham LEA said:
'This project will provide over 4,000 pupils in Newham with their own notebook
computers, which they can use at home and in the classroom with access to their
school's wireless network. We needed a supplier who could provide a
highly-reliable managed ICT service to support this, as well as an ICT-based
whole-class teaching environment for our classrooms. RM was prepared to work
with Newham to design a solution that will offer real educational benefits, as
well as technical reliability.'

Tim Pearson, CEO of RM, added:

'We have worked with Newham over a number of years and are delighted to be
working with the authority on this project. The Newham project pioneers
high-density ICT usage in primary classrooms, with teachers, teaching assistants
and pupils each having their own portable computer. As well as presenting a
significant technical challenge, Newham schools will also be breaking new ground
educationally.

'As is becoming increasingly common, the solution we have designed with Newham
builds on a range of core technologies, including Community Connect 3 and
Kaleidos, and exploits RM's considerable expertise in Microsoft-based networking
environments. It also requires significant technical and educational support,
and we will be working closely with teachers, teaching assistants, school
managers and advisory staff in Newham to achieve maximum educational value.'

                                    - Ends -

For further information, please contact:
Mike Greig/Phil Hemmings, RM plc          08709 200200
Mark Antelme/Andrew Fenwick, Brunswick    020 7404 5959

Notes to Editors:

1. The Newham project is one of four Department for Education and Skills
(DfES) pathfinder ICT projects designed to raise educational standards through
the innovative application of ICT. RM announced on the 1st April that it had
been awarded a £16 million contract for another of these projects (in
Warwickshire) and the Group is also the sole bidder for a third (in Lambeth).

2. The Group will now continue detailed negotiations with Newham LEA and
final contract award is expected in May 2004.

3. Financing for the PFI element of the project will be provided for from
RM's cash resources. The peak financing requirement is expected to be £6 million
in 2005. Annual turnover for the eight-year contract is expected to be broadly
flat at approximately £2.5 million, commencing during the first half of 2005.

4. Interactive whiteboards combine digital projection and a wall-mounted,
interactive surface, allowing computer-generated content to be displayed on and
controlled from a classroom wall. Community Connect 3 is RM's market-leading
school networking product family. Kaleidos is an innovative software environment
that allows teachers to plan, prepare, deliver and assess programmes of learning
using digital learning content.



                      This information is provided by RNS
            The company news service from the London Stock Exchange