Quorum Information Technologies Inc.
TSX VENTURE : QIS

Quorum Information Technologies Inc.

May 11, 2011 14:10 ET

Quorum and Government of Newfoundland and Labrador Announce Expansion Financing

CALGARY, ALBERTA--(Marketwire - May 11, 2011) - Quorum Information Technologies Inc. (TSX VENTURE:QIS) (Quorum) announced today that it is expanding its operations in St. John's, Newfoundland in partnership with the Government of Newfoundland and Labrador (the "Province"). The Province will be providing a $500,000 loan to assist Quorum in creating 15 new positions at its St. John's office as Quorum ramps up for expected future growth.

"I am very pleased to announce this contribution to Quorum," said the Honourable Derrick Dalley, Minister of Business. "This company, selling dealership and customer management software to car dealerships all over North America, continues to grow and provide more well-paying jobs to Newfoundlanders and Labradorians."

The publicly traded Calgary-based company opened an office in St. John's in 2006 in order to hold on to talented native Newfoundlanders yearning to come home. The St. John's office has grown from a staff of five to their current 38 employees and Quorum is keen to expand and hire more local talent, a testament to the value that organizations around the world place on native Newfoundlanders and Labradorians who are trained and educated in the province.

"Our experience with operating an office in Newfoundland and Labrador has been nothing short of amazing," said Maury Marks, Quorum's President and CEO. "We have found that the availability of high-quality skilled talent has even exceeded our high expectations. The support of the Government of Newfoundland and Labrador has made this an easy transition and St. John's now houses our largest office."

Quorum's key product is XSellerator™, a Windows-based program that automates nearly all aspects of a retail automobile dealership. Quorum is a designated General Motors Integrated Dealer Management System (GM IDMS) partner; one of only two companies in Canada to receive this distinction. In 2010, Quorum became the second largest system provider across all GM Canada dealers.

One of Quorum's larger customers is Woodward Group of Newfoundland and Labrador. The Woodward Auto Group first installed the system in 2007 and they have continued to grow and expand using Quorum's software. "Our organization searched for a modern system that would help take our dealer group to the next level," said Ken Loder, General Manager for Woodward Motors Limited St. Anthony. "We found it with Quorum and the fact that they already had a presence in Newfoundland and Labrador was a plus."

The Department of Business is providing a $500,000 loan through the Business Attraction Fund which is designed to help companies establish or expand operations in Newfoundland and Labrador and furthermore positions the Province to compete for national and foreign investment.

"This partnership is good news for our information technology sector," said Bob Ridgley, MHA for St. John's North. "Having a company like Quorum locate key functions in the province and continue to add new positions, provides Newfoundlanders and Labradorians the opportunity to work for a successful national company right here at home."

About Quorum

Quorum is a North American company focused on developing, marketing, implementing and supporting its XSellerator product for GM, Isuzu, Chrysler, Hyundai, Kia, Nissan, Subaru, Saab, Suzuki, NAPA and Bumper to Bumper dealerships. XSellerator is a dealership and customer management software product that automates, integrates and streamlines every process across departments in a dealership. One of the select North American suppliers under General Motors' IDMS program, Quorum is the second largest DMS provider for GM's Canadian dealerships with 25% of the market. Quorum is a Microsoft Gold Certified Partner and Field-Level Managed ISV in both Canada and the United States. Quorum Information Technologies Inc. is traded on the Toronto Venture Exchange (TSX-V) under the symbol QIS. For additional information please go to www.QuorumDMS.com.

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

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