R Systems Selected to Support Medical Information System

New Delhi, May 03, 2006: R Systems International Ltd. today announced that it has signed a three year deal to maintain, operate, support an existing children's medical information system for a public body in the US. The system is a public domain system that provides online access to health care professionals, case managers, and administrators. These users manage a variety of information for medical case management, including patient eligibility and records, service provider authorizations, and system reporting.

R Systems secured this contract following a competitive tender invited by the client. This three year contract is valued at approximately $3.3 million and can be extended for a further period of two years for $2.2 million.

"This is an important deal for R Systems" said Rekhi Singh, Chairman and CEO, R Systems. "We secured this deal after rigorous evaluation of technical and commercial proposals from other bidders, which validates R Systems competitive business model. We are excited about the new assignment and look forward to serving the customer on a multi year basis."

About R Systems International Ltd

R Systems International Ltd. founded in 1993, is one of the leading provider of outsourced product development and customer support services. We help companies accelerate the speed to market for their products and services with a high degree of time and cost predictability by using our proprietary pSuite execution framework. Clients can choose services specific to their needs from R Systems iPLM suite of services. We help companies build scalable, configurable and secure products and applications; and help our clients support their customers for products and services using our global delivery model. R Systems rapidly growing customer list includes a variety Fortune 1000, government and mid-sized organizations across a wide range of industry verticals including Banking and Finance, High Technology and Independent Software Vendors, Government, HealthCare, Manufacturing and Logistic Industries. R Systems maintains five centers for Software Excellence, and using our global delivery model we serve customers in the US, Europe, South America, the Far East, the Middle East and Africa.

Safe Harbor:

This press release contains forward-looking statements. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding the success of our investments, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, intense competition in IT and consulting services including those factors which may affect our cost advantage, wage increases in India, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, restrictions on immigration, industry segment concentration, our ability to manage our international operations, reduced demand for technology and consulting services, disruptions in telecommunication networks or system failures, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, withdrawal of governmental fiscal incentives, political instability and regional conflicts, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property and general economic conditions affecting our industry. We may, from time to time, make additional written and oral forward-looking statements, and we do not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the Company.

For further information please contact:
Nand Sardana (Tel No. 0120 - 430 3506)