Option Announces Second Quarter Results

Option (NASDAQEUROPE: OPIN), the leading innovator in the wireless communications market, today announced its consolidated second quarter results for the three months ended June 30th, 2002. Our results are reported in EURO and are prepared in accordance with United States generally accepted accounting principles (US GAAP). Highlights for the second quarter of 2002: • Revenues for the second quarter of the fiscal year 2002 are EUR 7.1 million. This is a 35% increase over the EUR 5.3 million generated in the second quarter of 2001. Year-to-date revenues are EUR 11.6 million, in line with the turnover over the first half of 2001. • 55% of the Q2 revenues were derived from the Compaq and Lucent OEM agreements, 42% from the Globetrotter GPRS PC Card. • The gross margin improved to 46.7% from 33.3% in the second quarter of 2001. Year-to-date gross margin is at 46.3% compared to 31% for the first half of 2001. • The quarterly operating expenses, excluding depreciation charges, are EUR 5.4 million, compared to EUR 3.8 million in the second quarter of 2001. Sales & Marketing expenses increased significantly due to a write off of EUR 1.5 million on a Xoceco receivable outstanding since 2000. General & Administrative expenses contain EUR 0.4 million of once off costs related to legal and advisory expenses incurred during this quarter. The Company incurred these expenses in relation to possible strategic alliances. Excluding these costs on Xoceco and legal & advisory, operating expenses would have been EUR 3.5 million in the second quarter of 2002 compared to EUR 3.8 million in the second quarter of 2001. • The quarterly depreciation charges are EUR 0,7 million compared to EUR 0,4 million in the second quarter of 2001 • The net loss under generally accepted accounting principles for the quarter amounts to EUR-2.2 million or EUR-0.29 per share, compared to EUR-1,8 million or EUR-0,28 per share during the second quarter of 2001. Excluding the costs on Xoceco and legal & advisory, the net loss would have been EUR-1.1 million or EUR-0.14 per share.