Trading Statement

System C Healthcare plc
21 June 2006



System C Healthcare Plc

                                 TRADING UPDATE

System C Healthcare plc, a leading independent provider of IT implementation
solutions for the healthcare sector in England, today issues a trading update
for the year ended 31 May 2006. System C's preliminary results will be announced
on 13 September 2006.

System C announces that the PBET (profit before exceptionals and tax) for the
year ended 31st May 2006 is anticipated to be in line with current market
expectations.  The company retains a strong balance sheet and its net cash is
anticipated to be in line with expectations of circa £8m.

Well publicised delays and uncertainties within the National Programme for IT
have clearly impacted the 2005/6 results. Whilst this challenging background
persists, System C is developing its client base both within and outside the
Programme.

A recent contract win has expanded our Local Service Provider (LSP) client base
and the company is now providing significant levels of professional services in
4 out of 5 clusters. In addition, we continue to develop opportunities for both
products and services directly with NHS Trusts and with the private healthcare
sector.  System C has now worked with over 100 NHS Trusts both directly and in
partnership with other suppliers.

The company has also made good progress on the cost reduction exercise outlined
in our interim results and has reduced its cost base by more than £1.5m
(annualised).

In summary, the management team believes that the company has taken significant
steps to diversify its customer base and reduce its costs, and that the
company's reputation with customers remains good. Whilst the pace of change and
structure of the National Programme for IT is an ongoing influence on our
results, we are continuing to adapt to changes in our market place.

Enquiries:

System C Healthcare plc

Jim Horsburgh, Chairman         01622 691616
Ian Denley, Chief Executive

Maitland

Emma Burdett                    020 7379 5151
Brian Hudspith





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