Adriaan Reinders, Executive Chairman of Artilium, will make the following statement on the Group’s current trading:

“As indicated in the announcement on 25 October 2011 at the time of our preliminary results for the year ended 30 June 2011, we are encouraged by the progress being made by the Group. Since the year end, we have continued the steady progress towards full implementation of an ‘Operational Expenditure’ business model, resulting in an increasing level of recurring revenue, which has in turn underpinned our confidence in the future growth of the business.

Other initiatives currently being implemented by the Board include the strengthening of the management team, which has provided greater commercial focus, demonstrating the movement from stabilisation to growth, and improving operational procedures to maintain the Group’s technical leadership.”

For further information contact:

Artilium PLC
+32 50 230 300
Adriaan Reinders, Executive Chairman
Peter CA de Jong, Executive Director

Arbuthnot Securities
+44 20 7012 2000
Antonio Bossi
Ed Groome

Comverge Consulting Ltd, a boutique consultancy focused on the converged communications market, was selected by Artilium to support its expansion into the U.K market, keeping in line with its three year strategy plan for growth.  The account will be managed by Comverge’s founder, Steve Greenwood.

“We are delighted to have signed an agreement with Converge Consulting,” said Peter CA de Jong, Executive Director for Artilium.  “This is a very exciting time for Artilium as we start to expand into a new market and we feel Converge Consulting is well positioned to provide the necessary support and expertise to help us to grow.”

“Comverge has helped a range of technology companies to articulate their business value and to develop and execute their strategy,” said Steve Greenwood, founder of Comverge Consulting. “We are delighted Artilium has chosen us to help them develop relationships, sales channels and partners in the U.K.  This is a big step forward for Artilium and we look forward to being a part of that process and developing a long term relationship with them.”

Artilium is publicly quoted on the AIM market of the London Stock Exchange, and has offices in Belgium and the United Kingdom.

About Artilium
Artilium is publicly quoted on the AIM market of the London Stock Exchange and has offices in Belgium and the United Kingdom.
Founded in 1995, Artilium helps fixed and mobile telecom operators to quickly and affordably deliver tailor-made products to many niche markets through its scalable software-based service platform, ARTA. Being exclusively grounded on Microsoft technology, ARTA provides a platform that enables the integration of telecom and IT infrastructures while opening up to third-party developers to deliver a potentially unlimited range of consumer and enterprise applications. Artilium currently has clients in 11 countries that service millions of end users.

About Comverge Consulting
Comverge Consulting is an independent consultancy based in the South of England and focused on the converged communications market, providing management consultancy, business development and strategic sales services to technology companies and SMB/SME clients. It was formed by Steve Greenwood in mid 2007 with headquarters in Hampshire, UK, and provides services to a wide range of customers.

SafeLinQ is one of the fastest growing providers of location based technology in the world. SafeLinQ is active in 12 different countries worldwide and cooperates with amongst others KPN Mobile, Telefonica, Etisalat, Group4Securicor, Securitas and ADT. Originating as a Dutch company, SafeLinQ is headquartered in Utrecht, The Netherlands and has sales branches in The Netherlands, Spain, The United Kingdom and South Africa.

Artilium and SafeLinQ plan to work together to integrate Artilium’s Location Based Services platform ("ARTA Presence") with SafeLinQ’s award winning SaaS platform.  As a result, customers will benefit from the existing SafeLinQ services and devices, with enhanced positioning capability.

Commenting on the new partnership, Peter CA de Jong, Executive Director of Artilium, said:

“As a leading global provider of innovative telecommunications software and solutions, SafeLinQ International is a great partner for Artilium in expanding our ARTA Presence solutions in the market. Today’s announcement is another important step forward in Artilium’s strategy of leveraging strategic partners to drive our product growth. We look forward to expanding our joint collaboration with SafeLinQ over time to bring additional Artilium solutions to customers.”

Martijn van Bree, CEO of SafeLinQ, added:

“Our partnership with Artilium expands our leadership in the Location Based Services arena and will help us better address our customers’ positioning challenges. Artilium’s technology will allow us to now enable our services on virtually any GSM handset in the world, whilst at the same moment we can provide enhanced positioning information to our existing customers utilizing SafelinQ handsets. The Artilium technology will allow us and our distribution partners to address new areas in the eHealth, Consumer Safety and Mobile asset protection market. Our Mobile Operator partners can, by adding the Artilium platform to the existing infrastructure, address new verticals utilizing customers’ existing GSM handset.

For further information contact:

Artilium PLC
+32 50 230 300
Adriaan Reinders, Executive Chairman
Peter CA de Jong, Executive Director

Arbuthnot Securities
+44 20 7012 2000
Antonio Bossi
Ed Groome

Founded in 1995, Artilium helps fixed and mobile telecom operators to quickly and affordably deliver tailor-made products to many niche markets through its scalable software-based service platform, ARTA. Being exclusively grounded on Microsoft technology, ARTA provides a platform that enables the integration of telecom and IT infrastructures while opening up to third-party developers to deliver a potentially unlimited range of consumer and enterprise applications. Artilium currently has clients in 11 countries that service millions of end users.

Commenting on the new partnership, Peter CA de Jong, Executive Director, Artilium, said:

“Artilium is at a point in its evolution where deeper and more extensive contact with core media is required.  We’re very pleased to be partnering with FTI Consulting in this engagement programme, through which we are seeking to work more closely with key stakeholders in the United Kingdom.”

Sebastian Mathews, Vice President in the Strategic Communications practice of FTI Consulting, added:

“Artilium has a proven track record in developing highly innovative products, and there clearly is a fascinating story to tell.  We’re looking forward enormously to drawing upon our extensive background in technology and telecoms to help Artilium achieve its communications objectives.”

For more information:

Grace Reynolds at FTI Consulting
grace.reynolds@fticonsulting.com
+44 (0)20 7269 7282

Petrus Cornelius Antonius de Jong ("Peter"), 64, has been appointed as an executive director of the Company. Peter has worked in several international managerial and consultancy roles in the technology and software industry since 1963 when he began his career at Philips in Eindhoven. Peter is currently a director of his own consultancy business, PBR2 BV, an external management consultant and mediator for global IT leaders. Peter has no other directorships either currently or in the past five years and has no beneficial interest in the Company.

Jan-Paul Willem Menke, 35, has been appointed as a non-executive director of the Company. Jan-Paul began his career at ABN Amro NV, where he was an equity research analyst and later an equity sales specialist on the Dutch institutional equity sales desk. In 2004, he left ABN Amro to help set up Hoving and Partners SA, an independent asset management firm, where he is Chief Investment Officer and a partner. Mr Menke has no other current or previous directorships. He is currently interested in approximately 1.03% of the issued share capital of Artilium.

Messrs Bisseling, de Jong and Menke have confirmed that there is no further information required to be disclosed in relation to Rule 17 and Schedule 2 (g) of the AIM Rules for Companies.

New Partnerships
Artilium has appointed Gartner Inc. ("Gartner") to support its progressive growth strategy in Europe. Gartner will support Artilium by providing sales and marketing strategy advisory services, which will enable the Company to gain greater industry recognition of its product development programme.

Artilium has also appointed FTI Consulting Inc.’s ("FTI") Strategic Communications segment to deliver a comprehensive corporate communications programme in the UK and other European priority countries. Artilium is at a point in its evolution where deeper and more extensive contact with core media is required. The Board of Artilium believes that the partnership with FTI in this engagement programme will enable it to work more closely with key stakeholders in Europe.

In addition, Swisscom AG is in the early stage of examining the added value of Artilium’s portfolio for the benefit of Swisscom’s large business customers.

Adrie Reinders, Chairman of Artilium commented:
“I am very pleased to announce these appointments. Maarten has been with us for a number of years now and has contributed significantly to the development of the Company. His promotion to the Board recognises this contribution and I look forward to working closely with him in the ongoing growth of Artilium.

“Peter is a very experienced business development and strategic alliances executive driving global results and Jan-Paul has a strong background as an investment professional. I am excited by the potential that they bring to Artilium. With their focus and expertise, I am confident that the Company’s ongoing development and growth will continue. I would like to thank Lex and Tom for their contribution to the Company. Their efforts have been crucial to the strong results we have announced today and the fact that the company is now moving into a new phase. I wish them well for the future.”

For further information contact:

Artilium PLC:
+32 (0)50230300
Adrie Reinders
Maarten Bisseling

Arbuthnot Securities:
+44 20 7012 2000
Antonio Bossi
Ed Groome

• Revenue was €6.1 million (2010: €3.2 million), including the full recognition of the deferred income with respect to the KPN deal for €2.1 million.
• Excluding the release of deferred income of the KPN contract, revenue has grown by 25%
• Gross profit of €5.3 million, with gross margin up 18.4% to 86.4% (2010: €2.2 million, gross margin of 68.1%), confirming a move away from hardware sales
• Administrative expenses stable as compared to previous year at €6.3 million (2010: €6.2 million)
• Reported operating loss of €0.9 million (2010: €3.9 million)
• Underlying operating profit excluding exchange rate results, depreciation & amortisation, share based payment results and other one-off items of €0.4 million (2010 loss: €2.7 million)
• Cash at the end of the period of €1.0 million (2010: €1.4 million)
• Raised £1.3 million of equity and converted the €3.3 million convertible loan note before year-end. Company is now debt free.

Commenting on the results, Adrie Reinders, Executive Chairman of Artilium said:

“I am pleased to report that the Group is steadily progressing implementing the process it started in the prior year, moving from Capital Expenditure ("CAPEX") to Operational Expenditure ("OPEX") as its core business model. The fact that recurring revenue is now at the basis of its finance, has had a positive impact thus far and it is anticipated that the growth will increase rapidly over the coming business year.

I would like to extend my sincere thanks to my fellow Board members and to the Group’s entire staff for their commitment and dedication in supporting the implementation of the OPEX business model and the roll out of the new strategy.”

For details, refer to http://miranda.hemscott.com/ir/arta

For further information contact:

Artilium PLC:
+32 (0)50230300
Adrie Reinders
Maarten Bisseling

Arbuthnot Securities:
+44 20 7012 2000
Antonio Bossi
Ed Groome

• Raised £1.26m at 8.5p via Placing of 15,206,739 ordinary shares, with Herald Investments, existing shareholders, management and Directors
• Euro 3,295,000 loan notes converted to equity, Company now debt free

Maarten Bisseling, CEO Artilium commented: “We are very pleased to have completed this Placing and to have secured Herald Investments as a significant shareholder. I am also pleased that the holders of the Notes have all decided to become equity holders in the Company which demonstrates their faith in the future of the business. This follows the agreement last month with our largest client, KPN Group Belgium, to extend their contract and switch to a subscriber based fee model. We look forward to the future now with no debt, the financial base to meet our objectives and a secure client base from which to build.”

Artilium is pleased to announce that it has completed a placing of 15,206,739 new ordinary shares of 5p each (the “Placing Shares") at a price of 8.5p per Placing Share (the “Placing Price"), raising approximately £1.26m for the Company before expenses associated with the Placing. 7,058,824 Placing Shares have been subscribed for by Herald Investments, a new shareholder in the Company, resulting in an interest of 4.87% in the Company’s enlarged share capital. A further 6,153,844 Placing Shares were taken up by existing shareholders, with Directors and employees taking a total of 1,647,739 Placing Shares. A further 364,292 new ordinary shares have been issued at the Placing Price as commission in connection with the Placing in lieu of cash fees.

The proceeds from the issue of shares will be used (i) to further grow the company internationally, (ii) to invest in marketing and sales and international distribution channels, and (iii) for working capital purposes.

The Company has also agreed with the holders of its Euro 3,295,000 10% coupon secured loan notes (the “Notes") that all of the Notes be immediately converted into new ordinary shares at a price of 8.5p per share and all interest outstanding on the Notes also be satisfied by the issue of shares at the same price. A total of 37,596,725 new ordinary shares have accordingly been issued in connection with the conversion of the notes and accrued interest payments, leaving the Company with no outstanding debt.

Application has been made to the London Stock Exchange for a total of 52,803,464 new ordinary shares to be admitted to trading on AIM. Dealings are expected to commence in the new ordinary shares on 23 June 2011 ("Admission").

As a result of the Placing the following Directors have the following interests in the share capital of the Company:

	Acquired in the Placing	Total Holding	% Holding
Adrie Reinders	259,066	259,066	0.18
Tom Trainer*	259,066	259,066	0.18
Lex Roukens	207,253	332,253	0.23
Maarten Bisseling**	588,237	588,237	0.41

* Mr Trainer has today formally waived the options he held over a total of 904,470 ordinary shares of 5p each at exercise prices between 9p and 30p per share.
** Mr Bisseling is not a Director of the Company but is a director all of the Company’s subsidiaries.

In accordance with the FSA’s Disclosure and Transparency Rules, the Company notifies the market that following the Placing and the conversion of the Notes:

• The total number of ordinary shares of 5p each in the capital of the Company in issue following Admission will be 144,816,270 with each share carrying the right to one vote;
• the Company holds no shares in treasury; and
• therefore, the total number of voting rights in the Company will be 144,816,270.

The above figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in Artilium plc under the FSA’s Disclosure and Transparency Rules.

For further information contact:

Artilium PLC:
+32 (0)50230300
Adrie Reinders
Maarten Bisseling

Arbuthnot Securities:
+44 20 7012 2000
Antonio Bossi
Ed Groome

Cardew Group
+44 20 7930 0777
Tim Robertson
Jamie Milton
Alexandra Stoneham

The value of the contract, based on the existing amount of active subscribers on the platform deployed, is expected to be approximately €3 million per annum.

As a result of this extension, Artilium will continue to deliver the ARTA Mobile Communities Platform (already implemented at KPN Group Belgium) and the managed services for this platform going forward.

Maarten Bisseling, CEO Artilium commented: “We are very pleased to have agreed this contract extension with KPN, our largest client. I believe it reflects well on the work we have done together since 2004 and we look forward to working closely together in the future. I also believe it demonstrates the value and attraction to our clients of switching to a subscriber fee model.”

For further information contact:

Artilium PLC:
+32 (0)50230300
Adrie Reinders
Maarten Bisseling

Arbuthnot Securities:
+44 20 7012 2000
Antonio Bossi
Ed Groome

Cardew Group
+44 20 7930 0777
Tim Robertson
Jamie Milton
Alexandra Stoneham

This pay-as-you-go model allows Narrowminds to build up its business without significant up-front costs, while Artilium will financially benefit from the expected uptake of subscribers serviced by Narrowminds. It is estimated the contract will generate between €3.5 - €4.0 million in revenues over the first five years. Under the contract, Artilium will deliver a full suite of functionalities based on its ARTA technology, enabling Narrowminds to service economically Mobile Virtual Network Operators ("MVNO") with as little as 1,000 subscribers.

MVNOs are becoming increasingly popular as corporate entities recognize the potential to use a tailored mobile offering to increase customer loyalty and create new marketing opportunities, including SIM embedded location based and presence services. Artilium’s scalable technology fully facilitates a trend of further fragmentation of the mobile market, with MVNOs focusing ever more on niche segments.

Maarten Bisseling, CEO Artilium commented: “This agreement confirms the position of Artilium as the supplier of choice for industry players in the mobile sector. We are very excited about this contract as it allows us to roll out the full functionality of our Mobile Community and Location Services in integrated offerings. After we became the pre dominant player in the Belgium market, we targeted the Netherlands and we will announce more contracts in this market shortly”.

For further information contact:

Artilium PLC:
+32 (0)50230300
Adrie Reinders
Maarten Bisseling

Arbuthnot Securities:
+44 20 7012 2000
Antonio Bossi
Ed Groome

Cardew Group
+44 20 7930 0777
Tim Robertson
Jamie Milton
Alexandra Stoneham

• Revenue for the six months to 31 December 2010 was € 1.8 million (2009: € 1.4 million)
• Underlying operating loss excluding exchange rate results of € 1.6 million (2009: € 2.0 million), an improvement of 20%
• Underlying Administrative expenses excluding unrealised exchange rate results were € 3.0 million (2009:  € 3.1 million)
• Imminent launch of two new MVNEs in Belgium (Interfon on Mobistar) and the Netherlands (NarrowMinds on T Mobile)
• Loss before tax excluding fair value movements (non-cash items) and unrealised exchange rate results at the end of the period of € 1.8 million (2009: € 1.9 million)
• According to recent market research the global market for service delivery platforms, which deliver and manage data services for telecoms network is to rise from c. € 2.7bn in 2009 to c. € 5.4bn by 2014.

Commenting on the results, Adrie Reinders, Executive Chairman of Artilium said:

“We are trading in line with market expectations. We are focused on delivering on existing projects, securing the contracts currently under negotiation and rolling out further technological advancements under the ARTA family of products.

Earlier this year we announced the launch of our Continuous Location Client technology ("CLC"). We are currently in the process of finalising a contract with an international telecom operator for provision of this technology. Implementation of the MVNE systems for Interfon on Mobistar’s network in Belgium and Narrowminds on T-Mobile’s network in the Netherlands have progressed according to expectations. Once these MVNE’s go live, we will benefit from subscriber growth on these systems as our revenue model is amongst others based on recurring subscriber revenues.  While Artilium is still a company in transition, we are not far away from delivering on the undoubted potential of the business.”

For details, refer to http://miranda.hemscott.com/ir/arta

For further information contact:

Artilium PLC:
+32 (0)50230300
Adrie Reinders
Maarten Bisseling

Arbuthnot Securities:
+44 20 7012 2000
Antonio Bossi
Ed Groome

Cardew Group:
+44 20 7930 0777
Tim Robertson
James Milton