Q3 Trading Update

Sopheon PLC
28 November 2002


FOR IMMEDIATE RELEASE                                           28 November 2002

                                  SOPHEON PLC

                        NEW ORDERS AND Q3 TRADING UPDATE


In accordance with the requirements of the Euronext Amsterdam stock exchange,
Sopheon plc ('Sopheon'; stock code : SPE) issues its trading update for the
third quarter of 2002 together with further information on new business
development.

Within the Business Process Solutions (BPS) division, Sopheon's flagship
Accolade solution has continued to show real progress in the face of an economic
environment which remains stubbornly challenging. The interim statement released
at the end of August noted that four new licence orders and four pilots had been
concluded since the start of the year. At the end of November this has been
extended by a further three full licence orders including the substantial sale
to Pall Corporation announced in October, and six pilot installations or
assessment studies. To date, all assessments have converted, or are on track to
convert, into full licence sales. In addition, the pipeline of opportunities to
close in the remaining month of the year remains substantial, with both new
licence and extension activity anticipated. While there is much work to do, all
efforts are focused on securing the business required to achieve expectations
and secure a sound footing for 2003.  In support of this, the installed licence
base for Accolade provides an increasingly broad and deep reference base.

Certain Accolade customers have also taken up subscriptions or projects with the
group's more traditional Information Management (IM) services, validating the
strategic fit of this independently managed business. Nevertheless, as
previously announced, the core IM business was affected coming out of 2001 both
by the economic climate and by customer M&A activity, in Germany in particular.
These challenges have been met by new sales and product initiatives, as well as
organisational change, and there are signs that the business is recovering with
subscription renewal rates increased compared to the prior year.

The drive to reduce cash burn has remained at the top of the board's agenda; the
need to achieve positive cash flow generation and to sustain cash resources
remain key ongoing priorities. As well as looking to revenue growth in the short
term, from Accolade in particular, control of the cost base remains focused.
Since January 2002, the total headcount has been reduced by approximately 70
people to around 190 today, the majority of this adjustment taking place in the
third quarter following the successful release of Accolade 4.0 and completion of
other integration activities linked to Sopheon's acquisitions in 2001. This
compares with a total of approximately 350 employees a year ago. The board will
continue to seek to match resources to business expectations as we go forward
into 2003.

Other major developments announced in the third quarter include the appointment
of Seymour Pierce Limited as the Company's nominated adviser and broker, and the
appointment of Dan Metzger, a senior and experienced veteran of the ERP and
Collaborative Software industry, as a non-executive director.

Andy Michuda CEO of Sopheon said: 'We remain on course to become a leading
supplier of software and expert services that enable major corporations to
improve critical processes within R&D, and new product development in
particular.  Momentum is  building with Accolade which, in line with our overall
strategy, should pull through the group's other services.  Our
ever-strengthening base of reference clients  and the  high level of market
interest in our solution continue to affirm our expectations that the pace will
accelerate in the near term and deliver the improved returns that we and our
shareholders require.'


About Sopheon

Sopheon (LSE:SPE) is an international provider of software tools, experts and
content that help organizations improve the business impact of product
development. Sopheon serves nearly half of the technology-driven companies on
the Fortune 500, enabling higher, faster return on innovation and product
development investments through technology and human-based decision support. The
company's products and services include its flagship Accolade(R) product
development system, the award-winning Teltech.com(R) Web-based research portal
for technical and business professionals, and Organik(R) expertise-sharing
software.  Sopheon is listed on the Alternative Investment Market of the London
Stock Exchange and on the Euronext in the Netherlands.  For more information,
please visit www.sopheon.com.


For further information contact :

Barry Mence, Chairman       Sopheon plc                       Tel : + 44 (0)1483-883000
Arif Karimjee, CFO          Sopheon plc                       Tel : + 44 (0)1483-883000
Steve Liebmann              Buchanan Communications           Tel : + 44 (0)207-466-5000
Barbara Jansen              Citigate First Financial          Tel : + 31 (0)205-754-010


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