Group West Systems Ltd. to Provide Outsourcing Services to the Insurance Corporation of B.C.

BURNABY, British Columbia--(BUSINESS WIRE)--Sept. 8, 1999--

Group West Systems Ltd. (TSE:GPW), an Application Service Provider (ASP), is pleased to announce that it has signed an agreement to provide outsourcing services to the Insurance Corporation of British Columbia (ICBC).

This agreement is for a two year period with an option to renew, and will provide outsourcing services for the hardware, operating system and application software comprising ICBM's Salvage Information Management System (SIMS).

In addition, Group West will implement a System Enhancement Strategy that will allow ICBC to take advantage of changes in technology, as well as changes to business processes. These services include on-going SIMS application maintenance and comprehensive operational support services. Enhancements to the system will be governed by a separate agreement.

Bill Ste Marie, stated, "Our efforts to position Group West in the mid-range outsourcing market are beginning to show results. We are very pleased that companies like ICBC have the confidence in our ability to manage their systems and keep them current with the latest technology. The growing trend towards outsourcing makes economic sense for ICBC as it does to many other companies we are currently helping."

The ICBC Salvage Information Management System was designed and developed to support the basic functions of tracking and disposing of salvage for ICBC. The system supports the operations of salvage yards located throughout British Columbia (BC). There are plans underway to introduce electronic remote bidding over the Internet or other wide area networks to allow a broader base of potential buyers to have access to the salvaged automobiles. Other plans to take advantage of e-commerce enhancements to the system are being considered.

The Insurance Corporation of British Columbia (ICBC) is a provincial Crown Corporation established in 1973 to provide universal auto insurance to BC motorists. ICBC employs over 5,000 people and is responsible for Driver Services, AutoPlan Services, Road Safety Services, Commercial Vehicle Services, Claims Services and Collections Services.

Founded in 1976, Group West is in the business of providing mid-range outsourcing and computer technology products and services to commercial organizations and government agencies located primarily in North America. With over 120 professionals in Canada and the United States, the Company has positioned itself as an Application Service Provider (ASP), outsourcing business applications over the Internet. Group West services enable companies to quickly deploy applications for a flat monthly fee, without the cost of managing the applications or underlying infrastructure. According to Forrester Research Inc., this industry is projected to reach US$21 billion by 2001.