RNS Number:2640P
Cedar PLC
28 December 2001

                                                              28 December 2001

                                  Cedar plc

                        Indicative Offer Announcement

Today, Cedar plc ("Cedar" or the "Group"), the software and services group,
announced its interim results for the six months to 30 September 2001.  The
interim results announcement included the following statement:

"Generally the Group continues to have success in the Public, Health,
Education and Financial Services sectors, all of which remain relatively
buoyant in these market conditions.

The Group currently has a contracted order book of #56.2m that is expected to
be recognised as revenue over the next 18 months and a growing pipeline of
forecast sales, including a number of prospective contracts that the Group
believes would be signed in the event that it can clarify its current funding
position.

During this unsettling time, the Group values the loyalty of the customer base
that it has built over the years and also values the continued loyalty and
commitment of its employees

At 30 September 2001, the Group had net debt of #31.7 million.  Since the
period end this has increased to #38.3 million.  The Group has no committed
banking facilities and the overdraft is repayable on demand.  As a result, at
present, the Group is entirely dependent upon the continued support of its
bank.

The directors recognise that the Group currently does not have sufficient
working capital for its present requirements, that is for at least 12 months
from the date of these interim accounts.

The directors are currently in discussion with a number of interested parties
as a result of which additional financing could become available.  One of
these parties has submitted an indicative offer for the Company to the
directors which may or may not lead to a full formal offer being made.

The directors believe that the price per share payable pursuant to any such
offer would be at a level substantially below the Company's current share
price.  The directors currently believe the offer is likely to be 5p.

Further information on any subsequent developments will be provided to
shareholders as soon as practicable.

The directors believe that the bank will continue to provide support until
completion of these discussions.  However, in the event that these discussions
do not reach a successful conclusion and the outcome is not agreed by
shareholders within a reasonable timeframe, then the directors believe it
unlikely that the Company will be able to secure sufficient new facilities to
meet its commitments as they fall due and, as a result, would be insolvent.
Consequently, the directors would instigate formal insolvency proceedings."



Contacts:
Cedar plc                                             01932 584 000
John Stanley, Chairman
Mike Harrison, Group Chief Executive


Durlacher                                             020 7459 3600
Nick Martin


Financial Dynamics                                    020 7831 3113
Emma Rutherford/Ben Atwell
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