Contract win to provide services to the NHS

27 January 2011

Redstone plc

("Redstone" or "the Company")

Contract win to provide services to the NHS

Redstone plc (AIM:RED), the network based provider of end to end managed services announces a contract to provide services on behalf of County Durham & Darlington NHS Foundation Trust. As part of the agreement Redstone will update the I.T infrastructure across the Trust in a project expected to take up to eighteen months followed by an ongoing support services agreement lasting five years.

Redstone has been appointed jointly with Insight Direct (UK) Limited, which will front the contract as Prime contractor, with Redstone as sole subcontractor.

Redstone's first stage is to upgrade the Local Area Network (LAN) at three main Hospitals across the County, namely Durham, Darlington and Bishop Auckland Hospitals and will supply new Cisco Core and Edge Hardware. This stage is expected to be completed by Summer 2011.

The Company will then commence an upgrade programme at six smaller hospital and community sites across the county. These sites will have a mixture of new hardware installed together with re-deployed hardware from the main hospitals. This encompasses the remainder of the project and is expected to be completed within 2012.

Tony Weaver, CEO, Redstone, commented:

"Today's win follows a competitive tendering process during which we provided a convincing case of our ability to ally closely with Insight Direct (UK) Limited and the NHS Foundation Trust. This is a great project for us and an opportunity for us to better equip the County with leading edge systems and technology in preparation for the demands ahead."

Notes concerning Insight Direct (UK) Limited

The Trust undertook a tender exercise via the Buying Solutions Framework with Insight/Redstone emerging as the successful bidder.

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Notes to editors

Redstone plc (www.redstone.co.uk) is a network-based provider of end to end managed services, with over 500 employees and offices throughout the UK.