Trading Statement

RM PLC
22 September 2005



  RM plc: pre-close update for the year ending 30th September 2005 - profit in
                             line with expectations

As part of its normal programme of communications with shareholders, RM plc, the
UK's leading supplier of information and communications technology (ICT)
software, services and systems to education, is issuing an update on current
trading prior to the end of its financial year on 30th September 2005.

Trading during the Group's peak summer season so far has been supportive of
management's expectations for profit for the year as a whole. Turnover for the
year is likely to be similar to that in 2004.

Conditions in the RM's core schools market have been largely as anticipated at
the time of the Group's interim results announcement in May 2005. As previously
indicated, the Department for Education and Skills' workforce reform programme
has resulted in some pressure on overall school budgets, especially for primary
schools.

In schools, PC hardware revenues have been broadly on plan, with sales of the
award-winning RM One all-in-one PC exceeding expectations. In the universities
and colleges business, sales and marketing expenditure has been reduced against
a background of market weakness for low margin PC hardware; this has resulted in
revenue from these sectors being below management's original plan.

RM's education project business continues to perform very well, both in terms of
new contract wins and project delivery.

Tim Pearson, CEO of RM, said:

'Our focus for 2005 was on delivery; we've made good progress both in our
individual schools business and in our large education projects, with customer
satisfaction levels continuing to increase across the business.

'The second half of the year has seen two further education project wins: the
ground-breaking £37.5 million Scottish Schools Digital Network - National
Intranet project; and our re-appointment as the sole supplier of broadband and
Internet services to the South West Grid for Learning, worth approximately £10
million per year. Together with our other education projects, these new
partnerships firmly position RM as the UK's most experienced provider of
innovative ICT solutions designed to deliver improved educational outcomes.

'We enter 2006 well placed to address the longer-term opportunities presented by
the educational ICT marketplace, in particular the Building Schools for the
Future initiative.'
                                    - Ends -

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

Notes to Editors:

RM expects to announce preliminary results for the year in the second half of
November 2005.

RM's business has a highly seasonal pattern, with the majority of revenues and
an even higher proportion of profits occurring in the second half. This is
driven by the education buying cycle, with many schools placing orders in June
and July for installation during the summer vacation period.

The RM One is an educationally-differentiated, all-in-one PC, designed to
withstand the rigors of school classrooms; it won the Education Resources Award
for innovation at the Education Show in March 2005. RM has now introduced the RM
Mobile One, which brings many of the RM One's educational benefits to the laptop
computer format.

RM made the following comments in its 2005 interim results announcement in May.

  • On school budgets: 'As part of its workforce remodelling programme, the
    DfES has identified ICT as a key factor in managing schools efficiently and
    effectively. However, phase three of the programme, which requires that all
    teachers have at least 10% of their timetabled teaching time available for
    planning, preparation and assessment, is likely to result in increased
    pressures on school budgets in the immediate short term.'

  • On prospects for the Group: 'In the first half we have successfully
    replaced the one-off turnover relating to project shipments that was a
    feature of the comparative period last year. The factors that have allowed
    this - the contribution from acquisitions and growing education project
    revenues - will continue in the second half and we continue to anticipate
    modest turnover growth for the year as a whole.'




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