Stats Canada Contract

October 29, 2003 (QHR – TSX-Venture) Mr. Al Hildebrandt, President and CEO of the Company, is pleased to announce a new contract with Statistics Canada for Western Canada. The contract covers the purchase of the new staff-scheduling module only that is normally part of Version 2.0 of Quadrant HR. The new contract will generate over $100,000 in first year revenues, most of which will be recognized in the financial results for 2003.

Statistics Canada, based on its need to schedule its employees in Western Canada, were encouraged by the initial staff-scheduling product and decided to act as an early beta site customer. They have helped fine-tune the staff-scheduling module as a stand-alone commercial product for applications outside of healthcare. The staff- scheduling software has been thoroughly tested and successfully met their strict specifications.

QHR can now demonstrate that its staff-scheduling functionality can be sold independently of other Quadrant HR modules and can fill a need in HR administration in government applications. This is a significant milestone development and a critical step to sell to new markets. The recently released Version 2.0 is designed to seamlessly integrate Human Resource (“HR”) management, payroll administration and staff scheduling functions within one software system. It is important for QHR that product modules can also be sold separately and implemented later at the client’s convenience.

The marketing initiative that began in September 2003 focuses on the promotion of a smart, simple and seamless product. Results of this campaign have been very encouraging as evidenced by Statistics Canada. The Company has confirmed that it can grow its share of the multi-billion dollar HR marketplace in the future on behalf of its shareholders with this new product offering. Implementation of Quadrant HR continues in several client organizations and others have been scheduled.

QHR services more than forty-five client organizations with over 85,000 employees across North America. The primary design concept of Quadrant HR focuses on the effective administration of employee information in complex organizations such as healthcare facilities. The premise is that all HR data should be processed only 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.