Thinkpath Announces $4 Million US Financing Arrangement

    TORONTO--Aug. 20, 2002--Thinkpath Inc., , a market leader in Engineering Knowledge Management solutions, today announced the approval of a syndicated financing arrangement to provide the funding necessary to purchase the indebtedness of their current bank, Bank One. The total amount of the funding is $4 million US. This binding agreement includes the amount owing to Bank One as at the date of closing, less the equivalent of $400,000 US.
    The partners in this syndicate will be Maple Partners America Inc., Morrison Financial Services Limited and MFI Export Finance Inc. Once closed, under the terms of the syndication, Maple Partners America Inc. will supply up to $2.75 million US, with Morrison Financial and MFI Export supplying the balance equaling $4 million U.S.
    "We believe this financing arrangement validates confidence in our abilities to complete corporate goals and strengthen investment fundamentals," said Declan French, Chairman & Chief Executive Officer of Thinkpath Inc. "The closing of this agreement will help to increase cash flow and decrease overall debt which in turn will create a stronger balance sheet bringing Thinkpath closer to profitability and increasing shareholder value."
    "We are making tremendous progress during these challenging times, and Thinkpath has come a long way towards assuring the continued implementation of its business plan," stated French. "We are very proud of our managements continued work and focus on completing valuable business goals such as our proven ability to win new business and our continued focus on the needs of our customers. The successful completion of this financing arrangement along with our proven strategic abilities reinforces Thinkpath's competitive edge and better positions the Company in gaining a larger percentage market share of the IT and Engineering services industry."
    The closing of this financing is expected to occur within the next two weeks.

    About Thinkpath Inc.

    Thinkpath is a global provider of technological solutions and services in engineering knowledge management including design, drafting, technical publishing, e-learning, technical training and staffing. Thinkpath enables corporations to reinvent themselves structurally; drive strategies of innovation, speed to market, globalization and focus in new and bold ways. We are experts in the aerospace, automotive, manufacturing and health care industries.
    Headquartered in Toronto, Canada, Thinkpath has 390 employees in 11 offices across North America. Further information about the company, its services and products can be found at www.thinkpath.com.

    Forward-looking Statement

    This press release contains certain forward-looking statements regarding Thinkpath Inc., its business prospects and results of operations that are subject to certain risks and uncertainties posed by many factors and events that could cause Thinkpath's actual business, prospects and results of operations to differ materially from those that may be anticipated by such forward-looking statements. Readers are urged to carefully review and consider the various disclosures made by Thinkpath in this news release and other reports filed with the Securities and Exchange Commission that attempt to advise interested parties of the risks and factors that may affect Thinkpath's business.