SOURCE: H-Quotient, Inc.

July 22, 2005 10:58 ET

H-Quotient Announces EMR Market Expansion

HOUSTON, TX -- (MARKET WIRE) -- July 22, 2005 -- H-Quotient, Inc., (OTC: HQNT) announced that the Company is situated to capitalize on the U.S. government's recently announced expansion of its Veterans Health Information Systems and Technology Architecture software (VistA). In this logical next step toward federally mandated electronic record keeping, the Electronic Medical Records (EMR) software will be provided to all doctors and clinics that utilize the MediCare system.

The Company expects to leverage its existing software and development experience by providing installation and integration support of the new government-regulated EMR system. Research has already begun to integrate the PhysicianQuotient Suite of products to offer specialized and value-added software on top of the new government standard. The Company is currently exploring the requirements to become certified on the new VistA system.

President and CEO Marc H. Nathan of the H-Quotient software subsidiary, "We expected and welcome this development, which is destined to increase the awareness and market for EMR software. The federal government has set the EMR standards and built the basic infrastructure, much like the protocols it set during the early days of the Internet. Since recent studies show only 5-10% of doctors use the EMR regularly, the new HQNT subsidiary is now in a position to assist the remaining doctors by transitioning their old paper documents to new electronic records and to provide ongoing support and value-added services."

This announcement may contain, in addition to historical information, certain forward-looking statements that involve risks and uncertainties. Such statements reflect management's current views and are based on certain assumptions. Actual results could differ materially from the assumptions currently anticipated.

For more information visit the H-Quotient web site at www.hquotient.com.

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