Press Release

RNS Number:2448G
CMG PLC
3 July 2001

3 July 2001
                       CMG and Computacenter Sign #120m
                           Partnership with the HSE

CMG, the global Information and Communications Technology (ICT) services group,
working in partnership with Computacenter, the UK's premier Integrated
Infrastructure service provider, has signed a contract worth over #120m with
the Health and Safety Executive (HSE), to provide IT and consultancy services
over the next ten years. The project, called REtendering For IT (REFIT), is an
exciting next stage in the government's use of output-based services. It will
help the HSE improve its working practices and extend the reach of the
organisation by making the best use of its staff expertise. The project is due
to commence in July 2001 with CMG and Computacenter taking full responsibility
for the service in October 2001 following a three month transition period.

CMG and Computacenter won the contract in a heavily contested tender process
conducted under EU procurement rules. The breadth and depth of their joint
knowledge and resources was a prime factor in successfully securing preferred
supplier status for the CMG and Computacenter partnership.

The HSE is a government agency that ensures that the risks to the health and
safety of people from work activities are properly controlled. It develops new
health and safety laws and policies, and plays a full part in international
developments, especially in the European Union.

The HSE's business model is a complicated one, involving many professional and
knowledge-based activities. Because of this, there is an increasing need for
integration and knowledge sharing across the organisation. CMG and
Computacenter will provide business change consultancy, and new software
applications, together with the IT infrastructure required to ensure that HSE's
staff can work 
most effectively to protect the public's health and safety.

Commenting on the project, Richard Hillier, Director of Resources & Planning at
the HSE said:
"At a time when IT is changing at tremendous speed, it is comforting to know
that we are working with a partner who can help us to realise genuine business
benefits from new technologies. During the negotiations for this contract, the
CMG, Computacenter and HSE relationship has already developed a strong ethos of
partnership, shared management and flexibility. We are confident that the REFIT
partnership will deliver genuine improvements both within HSE and in our
dealings with the public, industry and other government bodies."
CMG and Computacenter's consultants will provide the HSE with a broad range of
skills including management consultancy, advice on emerging capabilities, IT
infrastructure management and products such as Bluetooth wireless applications
and mobile Internet services. The overall impact of the project on the HSE will
be huge in terms of working practices within the organisation. The result will
be improved business and IT, allowing the HSE to extend the external reach of
its policies.

Commenting on the partnership, Geoff Neville, Chairman of CMG's UK and Ireland
operation, said:

"It was clear from the outset of this open tender that a partnership approach
was the best way to provide the HSE with a 'best-of-class' value-for-money
service. For CMG this follows a long line of large partnership deals. As the
prime contractor, working with Computacenter and the HSE team, we look forward
to working on a high profile project which will help push forward the
boundaries of modernising government."

Peter Melville-Brown, Programme Manager of Computacenter believes that the
partnership between CMG and Computacenter will leverage both companies'
strengths to the HSE's benefit. "The HSE has decided to focus on delivering its
services and to outsource completely the infrastructure it uses. The whole
contract is designed from a functionality approach - the HSE will say that it
wishes to achieve something, and it is down to CMG and Computacenter to
identify the best way to deliver and implement it. It is a very fresh way of
looking at outsourcing and a major evolution from conventional outsourcing that
tends to focus first on the technology."

For further information please contact:
Tony Richards, Group Communications (London)
Tel: +44 (0)20 7592 4442
Jan Massier, Group Communications (Amsterdam)
Tel: +31 (0)20 6720444
Toby Mountford, Citigate Dewe Rogerson
Tel: +44 (0)20 7638 9571

CMG Profile

CMG is a global Information & Communications Technology (ICT) group, with over
13 000 staff worldwide and leading positions in the provision of business
information services and wireless data solutions. Through management
consultancy, systems development & integration, software applications and the
outsourced management of key business processes, CMG helps organisations to
generate revenues, improve competitive positioning and enhance operational
efficiency. Today that process includes building secure ICT platforms that
enable the adoption of electronic and mobile business models (e&mCommerce).

Established in 1964, CMG is headquartered in London and Hoofddorp (near
Amsterdam) and now implements and supports applications for customers worldwide
from bases in 16 countries. CMG has proven knowledge, solutions and products
across a wide spectrum of markets, including finance, transport,
telecommunications, media, petrochemicals, utilities, retail, manufacturing and
governments. The Group also provides long term management of business processes
ranging from payroll, call centres and networks to infrastructure management,
application maintenance and hosting services.

CMG Wireless Data Solutions has established a leading position in wireless
messaging and gateway products, mobile Internet and e-mail, cell broadcast and
customer care & billing systems. These products are provided to mobile
telecommunication operators and service providers worldwide from offices in
Europe, the Americas and Asia Pacific. They also underpin the Group's ability
to advise organisations on mCommerce strategies and implement them effectively.

CMG works alongside its customers in long term relationships to generate
success for them. Through the quality of its services, products and
professionally committed people, CMG adds value to its customers' businesses.
This creates a basis for the Group's sustained success.

CMG is listed on both the London Stock Exchange (FTSE 100 and techMARK 100) and
Euronext in Amsterdam (AEX Midcap and Euronext 100).

http://www.cmg.com/

Computacenter Profile

Computacenter's role in Government

Computacenter is one of the UK's leading IT Infrastructure services companies
and has a long tradition of working with public sector organisations. Over the
years, we have established strong relationships with our government clients,
and have developed an experienced team of over 150 staff who are dedicated to
supporting them. Computacenter's government sector offers customers access to a
wide range of technical resources and services, client management and sector
expertise.

Computacenter's role within the Modernising Government Agenda

E-Government aims to radically transform the face of modern government - and
public sector organisations are facing numerous challenges. Computacenter is
well positioned to help address the IT needs that the Modernising Government
Agenda brings, and understands how important the role of technology is within
the public sector.

Things you may not know about Computacenter in Government.

Computacenter turned over #256million with government customers in 2000.

Computacenter works with every major government department in the UK.

Every police force in the UK is signed up to Computacenter's GCat contract.

According to the National Audit Office, Computacenter has, through GCat, saved
the Government over #10million in 1999, and more than #20million in 2000 on
procurement costs.

www.computacenter.com

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