Total Care Bankruptcy

August 22, 2001 (QHR – CDNX) Further to the Company’s news release of July 11, 2001, wherein the Company announced that it had executed a Letter of Intent to manage the business operations and customer contracts of Total Care Technologies Inc., Total Care Holdings Inc. and its subsidiary companies (collectively known as “TCT”), the Company is announcing that TCT has been assigned into bankruptcy and according to the terms of the Letter of Intent, the Company will not be proceeding with this transaction.

The Company is engaged in the business of developing and implementing human resource solutions for large and medium sized enterprises. Its software modules can be purchased separately or bundled in a single integrated product known as Quadrant HR which has been designed to handle payroll, staff scheduling, and all elements of the human resource and staffing management needs.

On behalf of the Board of Directors
James R. Bond President