Brady Regulatory News (BRY)

31 August 2012

Brady plc ("Brady" or the "Company" or the "Group")

Client Payment Dispute

Brady, the leading global provider of trading, risk management and settlement solutions to the energy, metals and commodities sectors, notifies that it is in a payment dispute with a new customer that signed in 2011.

The customer has made payments to Brady totaling £288,000, but has not paid a number of further amounts in line with its contractual obligations. Brady has been in commercial discussions with the client over several months seeking payment of these outstanding amounts, but these discussions have now broken down. Brady believes that the software has been delivered and it has been accepted by the client. Brady is not aware of any general issues with its software, or issues specific to this project. The Company will consider all possible legal avenues for collection of the outstanding amounts. The Company has taken a prudent view by making full financial provision for the net amounts due within the interim results for the period to 30 June 2012. Including estimated legal fees incurred to date this net amount totals £720,000 and this will be treated as an exceptional item.

The Group has over 250 customers who are predominantly well established and substantial blue-chip trading companies, energy companies, miners, banks and brokers and has not had any significant client payment disputes in the past. The Group continues to enjoy a strong cash position with cash of £9.3 million and no debt as at 13 July 2012.

The Group is pleased to confirm that, excluding exceptional costs, its trading is in line with the Board's expectations for the full year and looks forward to providing full details of the Group's financial performance for the first half and a more detailed outlook for the full year in its interim results, which are expected to be announced on 17 September 2012.

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About Brady

Brady plc (BRY.L) is the largest European-headquartered provider of trading and risk management software to the global commodity and energy markets. Brady combines fully integrated and complete solutions supporting the entire commodity trading operation, from capture of financial and physical trading, through risk management, handling of physical operations, back office financials and treasury settlement, for energy, refined and unrefined metals, soft commodities and agriculturals.

Brady has 25 years' expertise in the commodity markets with over 250 customers worldwide, who depend on Brady's software solutions to deliver vital business transactions across their global operations. Brady clients include many of the world's largest financial institutions, trading companies, miners, refiners and producers, tier one banks and a large number of London Metal Exchange (LME) Category 1 and 2 clearing members and many leading European energy generators, traders and consumers.

For further information visit: www.bradyplc.com

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