BakBone, Securesoft Systems Announce OEM Agreement Aimed At Providing Additional Protection For Medical Records.

Business Editors

SAN DIEGO--(BUSINESS WIRE)--Jan. 31, 2001

Integrated Product Offering to Ensure Compliance With Federal

HIPAA Regulations

BakBone Software, Inc. (OTCBB:BKBOF)(TSE:BKB.), a leading global provider of enterprise-grade backup and restore software, and Securesoft Systems, Inc. (SSI), a software development and security services provider in the Information Technology Security (ITS) industry, today announced SSI's plan to integrate software from the two firms, resulting in a best-of-breed solution for health care companies needing to meet Federal privacy standards.

The integration of BakBone's NetVault(TM) software and Securesoft System's Immunity Security Management Suite (ISMS)(TM) is designed to help hospitals, insurance companies and other firms in the health care industry satisfy the stringent privacy requirements outlined by the Federal Health Insurance Portability and Accountability Act (HIPAA).

HIPAA, passed by Congress in 1996, mandates the adoption of new security standards to protect an individual's health information while permitting the appropriate access and use of that information by providers, clearinghouses, and health plans. Securesoft System's ISMS provides health care firms with the highest level of security available today for all kinds of electronic-based medical records.

"We designed Immunity to benefit our customers through its modular, centralized approach," said Christopher Berlandier, Securesoft's Chief Technology Officer, and company co-founder. "We needed data backup and restore software in order to provide our customers with the complete solution to meet their needs. The software had to be simple to use, as well as powerful enough to handle tremendous amounts of information with ease. We looked at a number of products, and quickly found that NetVault(TM) was the only software available that met all our requirements."

In choosing NetVault, SSI chose software that represents a radical departure from solutions offered by other firms, requiring substantial upgrades and intensive technical support for companies seeking to grow their storage capabilities. NetVault continues BakBone's tradition of offering software that combines powerful performance with unparalleled ease of use. In addition, the software is designed so that it can be installed within minutes or hours, instead of the days or weeks required by competing products.

"The ability to seamlessly backup and restore data has, until now, been something of the missing link in the security of medical records," said Winn Schwartau, President of Interpact, Inc., a security consulting firm, and noted author and speaker on IT and related information security and awareness issues. "The integration of NetVault and Immunity provides health care companies with a one-step functionality that is difficult, if not impossible, to beat."

"While HIPAA regulations apply only to the medical care industry," said Jack Corrao, BakBone's President and Chief Operating Officer, "similar regulations are either being implemented or are being considered in a number of other industries, including banking and finance. Companies in any industry where the security of electronically-generated documents is paramount will ultimately benefit from the kind of solution we are announcing today with Securesoft."

The BakBone/Securesoft integrated product offering will be available from Securesoft Systems through select systems integrators, for companies in the health care and related vertical markets.

About BakBone Software, Inc.

BakBone Software(TM) (TSE:BKB.)(OTCBB:BKBOF) is an international storage management software company that develops and globally distributes industry-leading storage management solutions to the open systems markets, providing data protection and management solutions scalable from workgroup to enterprise that will grow with a company's needs. BakBone's core products include near-line optical and archival, as well as tape backup and restore software for a full suite of storage management solutions to the corporate data center.

BakBone's corporate headquarters is located at 10145 Pacific Heights Boulevard, San Diego, California 92121. Its stock is listed on the Toronto Stock Exchange and is included on the TSE 300 Composite, S&P/TSE Canadian SmallCap and TSE 200 indices. For more information on BakBone products, call 858-450-9009, e-mail [e-mail], or access BakBone's web site at www.bakbone.com.

About Securesoft Systems, Inc.

Securesoft Systems Inc. (SSI) is an emerging security software and services company that has developed a comprehensive security software management suite called Immunity Security Management Suite (ISMS) and the supporting implementation steps with iSecure Methodology. ISMS was designed to accomplish efficient compliance with the strictest federal and industry requirements. It applies these requirements in an effective manner to satisfy IT security requirements and assures privacy protection in the healthcare, financial, and government sectors. Securesoft Systems, Inc.'s headquarters is located at 25241 Paseo de Alicia, Suite 230, Laguna Hills, CA 92653. For more information on SSI's products and services, call 949-455-2960, e-mail [e-mail], or visit our web site at www.securesoftsystems.com.

Safe Harbor 

The statements contained in this press release that are not historical in nature are forward-looking statements. Forward-looking statements are not guarantees since there are inherent difficulties in predicting future results, and actual results could differ materially from those expressed or implied in the forward-looking statements.