B2B Integration software company TIE Holding N.V. ("TIE") listed on the EuroNext Amsterdam Stock Exchange herewith publishes its results for the third quarter of the financial year 2004 (October 1, 2003 – September 30, 2004). The net profit for this quarter was EUR 146,000. TIE has repayed all of its external borrowings and continues to successfully improve its shareholders’ equity. TIE reiterates its outlook that the company will be net profitable over FY 2004. For the next financial year TIE foresees a ‘significant’ autonomous growth in revenue (12-20%), based on the demand for its new products, new activities in the USA in the area of Global Data Synchronization, opening new market opportunities in Eastern Europe and the new activities with XBRL in the financial sector in Europe. TIE is the first public company in Europe to publish its results in XBRL, the globally accepted electronic format for financial reporting. Also, TIE announces a partnership with Semansys Technologies BV and the launch of a new product line for XBRL.

Third quarter results
The net profit for the quarter was EUR 146,000, as compared with a net loss of EUR -1.3 million for the same period last year. Revenue in the third quarter was EUR 1.7 million, which was lower than the EUR 2.1 million reported in the second quarter. This was caused primarily by customers that delayed their investments. Nevertheless the pipeline for future orders looks good.

The net profit per share for the first nine months of the financial year amounted to EUR 0.03. In the previous year, the net loss per share was EUR -0.78. The result reflects a release from the provision for vacant space in TIE’s Headquarters, following the sub-letting of one floor. Operational costs in the third quarter were EUR 1.5 million (2003: EUR 3.6 million) compared to EUR 1.3 million in the previous quarter. The cost increase covered marketing expenditure required to raise TIE’s profile in the market and increase future sales. Interest costs were 55% lower since TIE became debt free in the third quarter.

Equity & Financial position

Shareholders equity at the end of the previous financial year was EUR -8.5 million. At the end of the third quarter, this has improved by EUR 6.7 million to EUR -1.8 million. This improvement was the result of earnings retained from profits, share placements and the conversion of EUR 2.5 million debt into a convertible bond for 5 million new shares.

During the first three quarters, the Company generated EUR 0.7 million cash from its operations. This together with the proceeds of share issues was used to prepay all long-term liabilities. Cash and cash equivalents at the end of the quarter were EUR 0.5 million.

TIE’s overall liabilities have improved significantly, with long-term liabilities reduced to zero from EUR 3.5 million at the beginning of the year and current liabilities reduced by EUR 3.4 million from EUR 5.7 million to EUR 2.3 million.

TIE’s involvement in XBRL

XBRL (eXtensible Business Reporting Language) is a language for the electronic communication of business and financial data, which is set to revolutionize business reporting around the world. It provides major benefits in the preparation, analysis and communication of financial reports. It offers cost savings, greater efficiency and improved accuracy and reliability to all those involved in supplying or using financial data.

TIE is now the first company in Europe to issue its quarterly results in XBRL and plans to issue its annual report for 2004 also in XBRL. In order to capture the existing market potential TIE has launched a new product line for XBRL and announces a partnership with Semansys Technologies BV, a company that specializes in XBRL tools and who have received global recognition.

When XBRL is used based on IFRS, it produces electronic reports that can be imported in financial analysis tools, where the results of different companies are comparable. This offers a major benefit for Financial Analysts, Banks, Credit Institutions, Infomediaries, Stock Exchanges and Regulators. The Dutch government announced in June 2004, that XBRL will be used to enable companies to save 25% of the cost involved in the reporting of taxes and statistics to the government.

TIE will have to comply with IFRS because we are a publicly traded company. We have chosen to be our own showcase for XBRL and given our experience in eBusiness Standardization, we feel we can provide valuable help for customers that want to implement XBRL.

Together with Semansys, TIE announces a complete set of tools for the preparation, transmission and processing of XBRL reports. This XBRL Suite is available today and allows companies to benefit from eReporting. TIE also provides Consulting & Training Services, Implementation and Support (Helpdesk) for XBRL. For details, please visit http://xbrl.TIEglobal.com .

XBRL has a relatively short history and was propelled into the mainstream by the new focus on Corporate Governance. However few organizations are aware of the extensive possibilities to streamline their Financial Reporting Supply Chain. For most companies IFRS is seen today as a burden. Implementing IFRS at the subsidiary level and using XBRL for reporting to the corporate headquarters, the consolidation system can be streamlined and benefits can be achieved from reduced administrative efforts, increased control and better risk management.

Outlook

The current year is regarded by TIE as a transitional year. This summer TIE is implementing a new accounting system, based on IFRS, corporate wide. This system not only covers the financial information and risk management, but also handles customer relations, customer support and human resource management. This year TIE has gone through an internal restructuring, introduced a new product line in the USA and raised capital to prepay its debts. For the current financial year TIE maintains its statement that net profit will be achieved. The implementation of the new internal system at the start of the new financial year on October 1, 2004 will mark the beginning of a new phase in TIE’s history.

For the next financial year TIE expects market circumstances to improve slowly. Nevertheless TIE foresees a ‘significant’ autonomous growth (12-20%), based on the demand for its new products, new activities in the USA in the area of Global Data Synchronization, opening new markets in Eastern Europe and the new activities with XBRL in the financial sector in Europe. Strategically, TIE continues to see consolidation opportunities in The Netherlands and in Europe.

Dick Raman CEO of TIE says: “We are excited about the potential of XBRL for TIE. Given our extensive background in eBusiness standardization, XBRL is not a new activity for TIE, it is merely a new vertical market in which we can specialize. XBRL exactly encompasses the core business of TIE. We extract data from internal systems, convert it to a globally accepted standard, and take care of the transmission to the business partners in a secure and reliable way. At the receiving end, we trace what messages have arrived and convert them for import in the internal system. We can do this for eBusiness messages and for financial reports in substantially the same way. We have already identified potential customers for our XBRL Suite and we are confident this will enable us to grow organically in a substantial manner.”