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May 2006

Architect of an Open World

D Lamouche

With a slight increase of 0.3% in our revenues in Q1 2006 – a traditionally weak quarter for the Group – and a backlog that has grown by 6%, we are on track with our business objectives and continuing the growth momentum initiated in 2005. The rebalancing of our business between products and services is accelerating: we recorded excellent progress (+14%) in revenues from services (with a 22% increase in orders), offset it is true by a falling off in maintenance.

The large contract we are currently finalizing with the local council in the town of Barnsley, in the North of England, to manage its IT infrastructure, marks Bull’s return to the services market in the UK.
And finally, high growth potential countries like Brazil have delivered exceptional performances, as has our business in telcos: where business is booming (hence the 56% increase in orders) especially with new applications linked to voice-over-IP.

In line with our ‘Horizon 2008’ strategic plan, Bull is actively continuing its development and has just acquired HRBC, a French IT services company specializing in ERP systems for human resources, with the aim of further strengthening our expertise in consulting and systems integration. This is the third acquisition made by the business in the past eight months, following that of Enatel – the security software publisher specializing in enterprise Single Sign-On (SSO) – in September 2005, and, the Polish consulting and systems integration company focusing on new technologies for the telcos and finance sectors, which we bought in March this year and will enable us to extend our position in Eastern and Central Europe.

As ‘Architect of an Open World’, Bull continues to innovate in areas that are strategic for our customers: supercomputers, open systems architectures, Open Source, security… using our expertise in mastering complexity to help them meet the challenges of becoming ever more agile and more competitive. Our major customers – who joined us at the end of April in Cannes for our latest high-level seminar – have given the strongest backing to our new strategic positioning. Faced with major changes in the economic landscape, open information technologies are important levers of transformation available to businesses today. Thankfully, they are what Bull is all about, at the very heart of our expertise and culture.

Didier Lamouche
Chairman and Chief Executive Officer



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