Partnership with TelcoNet to secure contract win

10 April 2012

Escher Group Holdings plc ("Escher")

Escher software drives project to centralise financial services for Pakistan Post

Escher, a world-leading provider of outsourced point-of-service software to the postal industry, is pleased to announce that in partnership with TelcoNet, a leading Information and Communications Technology company, it has secured a contract to deliver centralised financial services to Pakistan Post.

This will commence with Escher providing RiposteEssential licences, training and support services to TelcoNet. RiposteEssential, which is now in use in 32 countries worldwide, is a comprehensive retail management solution and underpins a demanding number and variety of transactions.

A number of branches from PakistanPost's network of 13,000 have been chosen to participate in a trial in which customers will be able to access the services easily and more conveniently. This is the first part of an ambitious project that will see Pakistan Post deliver enhancements across its entire network, ultimately automating the full range of services including mail, retail and payment in all of its branches using Riposte.

Liam Church, Escher's CEO, commented: 'This contract is a significant development for Escher Group in Asia. Pakistan Post is one of the largest postal operators in the region and Escher is looking forward to assisting the Post in its modernization strategy.' He continued: 'We're delighted to partner with TelcoNet whose local knowledge and expertise will be critical in bringing success to this project.'

Irfan Ali, CEO of TelcoNet, added: 'This partnership with Escher is testament to our commitment to work with world-leading technology providers that provide value-added solutions to clients such as Pakistan Post. We are confident that our experience in project implementation, coupled with our knowledge of the local market, will ensure that the project is successfully delivered to Pakistan Post.'

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For further information please contact:

Escher www.eschergroupholdings.com +353 (0) 1 479 0555

Liam Church, Chief Executive Officer

Fionnuala Higgins, EVP Sales & Marketing

Trevor McIntyre, Finance Director

Panmure Gordon +44 (0) 20 7459 3600

Andrew Godber / Callum Stewart, Corporate Finance

Hannah Woodley, Corporate Broking

Powerscourt +44 (0)20 7250 1446

Paul Durman / Victoria Ward

About Escher

Escher is a world-leading developer and provider of outsourced, point-of-service software for use in the postal industry worldwide. Its core software, RiposteEssential, enables post offices to expand upon their traditional offering, providing additional new services, reducing costs and increasing efficiency. Riposte is a messaging middleware that enables applications operating on different computers to communicate with each other. The Riposte software manages data, monitors the system status and communicates across the network. Escher operates across two divisions - its Retail Software Division and its Message Based Communications Division.

The Retail Software Solution (RiposteEssential) serves the postal and courier markets. Transactions include mail and financial services and the system is integrated with utilities and financial services companies, banks and central and local governments.

Escher's Message Based Communications Division (RiposteTrEx) is based on a digital post office box model and is designed to provide a national digital infrastructure linking governments, businesses and citizens via a secure platform.

About TelcoNet

TelcoNet Communications & Engineering is a leading engineering and information and communications technology (ICT) company focused on providing best-in-class and innovative products, systems, and services to government and commercial customers. It consists of three business units that serve markets for Information Communications & Technology, Military Technology and Engineering (Energy) solutions. Headquartered at Islamabad, Pakistan, the company also has offices in all major cities throughout the country, as well as offices in Dubai and in USA.