Y2K Policy Statement

October 1, 1998

Y2K Compliance Declaration - Operations

APPX Software, Inc. has taken, or will take, in a timely manner, all actions and precautions which are necessary and prudent to ensure that services and products will be provided to customers both leading up to and after the changing of the century in a manner which is consistent with the manner in which services and products are currently being provided.

Y2K Compliance Declaration - Products

This statement applies to the following products and versions:

• SPEED II Release 7.3.0 or higher
• APPX Release 3.4.1 or higher
• T-Apps licensed after January 1, 1998

SPEED II - Release 7.3.0 or higher

APPX Software, Inc. has conducted an in depth review of the SPEED II product, and where necessary, has made changes to ensure that this product will continue to function in a predictable and consistent manner both before and after the turn of the century. It is our belief that all appropriate changes relating to the turn of the century have been identified and completed. SPEED II has well defined rules for processing of dates that incorporate either a two-digit year or a four-digit year. SPEED II will record, store, process and present calendar dates on and after January 1, 2000 with the same functionality and in the same manner that SPEED II currently records, stores, processes and presents calendar dates.

APPX – Release 3.4.1 or higher

APPX Software, Inc. has conducted an in depth review of the APPX product, and where necessary, has made changes to ensure that this product will continue to function in a predictable and consistent manner both before and after the turn of the century. It is our belief that all appropriate changes relating to the turn of the century have been identified and completed. APPX has well defined rules for processing of dates that incorporate either a two-digit year or a four-digit year. APPX will record, store, process and present calendar dates on and after January 1, 2000 with the same functionality and in the same manner that APPX currently records, stores, processes and presents calendar dates.

T-Apps – Licensed after January 1, 1998

The T-apps suite of business applications which were developed through the use of APPX have also been reviewed, and where necessary, have been modified to ensure that these applications will continue to function in a predictable and consistent manner both before and after the turn of the century. It is our belief that all appropriate changes relating to the turn of the century have been identified and completed. The T-Apps will record, store, process, and present calendar dates on and after January 1, 2000 with the same functionality and in the same manner that the T-Apps record, store, process and present calendar dates prior to January 1, 2000 provided that they are run with APPX Release 3.4.1 or higher.

Previous Releases and Other Products

APPX Software, Inc. does not intend to provide changes for any prior releases of the products identified above or for any other products that are not listed above. Customers who are using prior releases are strongly encouraged to upgrade to a release for which the year 2000 changes have been made. Prior releases of all products are known to have operational characteristics that may prevent their use or correct operation leading up to and after January 1, 2000. Customers who are using other products are encouraged to take appropriate steps to ensure the correct operation of their software.

Summary

The above statements are not a statement of warranty and in no way extend the scope and duration of the warranty of these products beyond whatever warranty was provided at the time that the products were originally licensed by the customer. Customers with previous versions of these products may acquire the current versions of these products under the same terms and conditions that would apply to any other new release of the software which may be made available from time to time.

In the event that any additional programming changes are determined to be necessary to either SPEED II, APPX, or the T-Apps due to the changing of the century, APPX Software, Inc. will post a notice on its web site informing customers of the nature and availability of such changes. However, these changes will only be provided to customers under the same terms and conditions as would any other changes that may be made to these products from time to time. Specifically, if a customer is not covered by a software maintenance agreement at the time that the change is made available, then that customer is only entitled to the change after payment of an upgrade fee as determined by the end-user pricing in effect at that time.

Customers are solely responsible for testing their application software that has been developed through the use of SPEED II or APPX to determine that it will produce the desired result both before and after the changing of the century. Customers are solely responsible for performing any changes that may be determined to be necessary. APPX Software, Inc. has no control over the programming techniques and methods that a customer’s employees or consultants may have incorporated into an application and therefore can make no representation as to whether the result of processing is the desired result.

Steven P. Frizzell, President
APPX Software, Inc.

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