QI Systems Inc. Parking Payment Terminals Featured at Baltimore Trade Show; Interoperability of QI Products Demonstrated by Leading Vendors

DALLAS & RICHMOND, British Columbia--Oct. 1, 20057, 2005--QI Systems Inc. (OTCBB:QIIIF), a developer and integrator of smart-card payment and tracking solutions, today announced that QI payment terminals and QI stored-value cards were recently featured at the influential Parking Industry Exhibition at the Baltimore Convention Center, Baltimore Maryland.

Cale Parking Systems USA, Inc. exhibited its line of multi-space parking meters offering Pay-and-Display or Pay-by-Space operation. The systems incorporated QI payment terminals and used QI cards to demonstrate the speed and convenience of stored-value payment. Municipal and private parking operators in 35 countries use Cale multi-space meters for both on-street and off-street self-serve payment for parking.

Across the floor at the Scheidt & Bachmann exhibit, the S&B FAA-2000 pay-on-foot station also used a QI payment terminal and QI cards to demonstrate stored-value payment. Pay-on-foot stations are typically used for payment in large parking operations, such as those found in city centers, hospitals, campuses and airports.

A significant and unique feature of these exhibits was the interoperability of the payment cards in the revenue management systems offered by both vendors. Cards used in the Cale system were accepted in the equipment exhibited by Scheidt & Bachmann, and vice versa. This ability to share cards across payment systems from different vendors offers new flexibility for both government and private parking system operators.

The above exhibit served to highlight a feature of the QI approach to stored-value payment systems. By offering payment terminals for installation in multiple types of equipment, QI meets the need for interoperability among equipment brands marketed by parking industry vendors. In addition, QI terminals are designed to support multiple stored-value card arrangements. QI can supply an entire card system or just supply the terminals to accept payment from cards supplied by other vendors.

QI payment systems are not exclusively for the parking industry. The ability to share payment technology among various suppliers and operators allows one card payment system to be used for parking, vending and all other applications where stored-value technology provides a convenient payment solution. The flexibility provided by QI Systems' engineering expertise enables smart-card solutions for a wide variety of applications, allowing operators to create customer-friendly, easy-to-use systems with low maintenance costs.

About QI Systems Inc.

QI Systems Inc. designs, develops and markets chip-based card payment and tracking solutions to a number of industries. Products and core competencies include smart-card payment and stored-value systems, security protocols, data communication software design and hardware manufacture.

Matters discussed in this announcement are "forward-looking statements" and are subject to certain risks and uncertainties. Consider all risk factors carefully when evaluating forward-looking statements as actual results may differ materially from current expectations. QI Systems undertakes no obligation to publicly update such forward-looking statements.