Good Samaritan Contract

July 7, 2003 (QHR – TSX) Mr. Al Hildebrandt, President and CEO of the Company, is pleased to announce the execution of a new contract with The Good Samaritan Society (“GSS”) headquartered in Edmonton, Alberta. The contract is expected to generate approximately $400,000 in revenues in its first year, the majority of which should be recognized in fiscal 2003.

The contract is for the purchase of various software modules from the Company’s proprietary suite of Human Resource (“HR”) products known as Quadrant HR. The main functions covered by the contract include HR management and payroll services.

GSS is a Christian, non-profit organization with 1,800 employees, providing continuing care and community services at numerous care-centres for the elderly throughout Alberta and BC. GSS is a progressive organization with a long history of adopting innovative and successful IT projects. Implementation of Quadrant HRTM is presently underway. Conversion from their current payroll system to Quadrant HRTM is expected in the second half of 2003.

With this contract, the client employee base increases in Alberta and brings the service base for Quadrant HRTM to more than 85,000 employees in over 40 client enterprises across North America. One or more of the core modules of Quadrant HRTM currently provides HR administrative solutions to each customer. The goal of QHR is to deliver a full range of reliable HR software functionality to clients through the introduction of new HR automation products over the next few years.

The primary design concept of Quadrant HR focuses on the effective administration of personnel information in complex organizations such as healthcare facilities. The premise is that all HR data should be processed once and then available to administrate all elements of HR, payroll and staff scheduling. Quadrant HR is designed to store, process and utilize accurate employee information, from a single HR database, especially in complex payroll, multi-position HR environments.

For a more complete corporate profile of the Company, management encourages interested parties to visit the Company’s website, www.QHRsoftware.com.

On behalf of the Board of Directors
Al Hildebrandt President & Chief Executive Officer

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.