GHR Systems Acquires Loansoft

Acquisition Combines Strengths of Two Leading Mortgage Technology Firms for the Benefit of Lender Clients
WAYNE, PA, October 7, 2003 – GHR Systems, Inc., a leading provider of loan origination and processing technology, has acquired Loansoft, Inc. Based in Berkeley, California, Loansoft provides mortgage loan origination, processing and closing technology to lenders nationwide. The company's technology is used by four of the top 10 U.S. residential mortgage lenders including Chase Manhattan Mortgage, GMAC Mortgage, National City Mortgage and Washington Mutual. Other leading lenders using Loansoft's products include American Home Mortgage, B.F. Saul Mortgage, HomeBanc Mortgage, Irwin Mortgage, Pulte Mortgage, RBC Mortgage and US Bank Home Mortgage.

"This acquisition will offer significant benefits for both Loansoft and GHR client bases," stated Cy Brinn, GHR's President. "It combines and leverages the strengths of two leading mortgage technology firms enabling us to deliver more software and services to our customers. The merged entity will put the resources of more than 300 employees to work for over 70 lenders, 17,000 loan officers and 25,000 brokers. Our combined user base will enable us to achieve significant economies of scale and deliver additional software functionality, support services, as well as third-party origination, processing and closing services."

"In particular, the acquisition of Loansoft's recently released web-based processing and closing system, significantly expands GHR's product lines. The union of GHR's web services, workflow and other processing and closing features provides the most comprehensive and state-of-the-art mortgage production platform," said Brinn.

GHR will retain Loansoft as a business unit in its Berkeley location under the management of founder and President, George Beier. "George and his team have done a superb job developing retail mortgage origination and processing software. We are pleased to add them to our expanding team of lending technology professionals," Brinn added.

"GHR has been in business for over eighteen years, has a great reputation for quality and getting the job done right, and shares our vision for delivering comprehensive origination, processing, closing and secondary solutions. Now the Loansoft team will be able to accomplish even more by leveraging GHR's resources. Loansoft and its clients will benefit from GHR's SAS 70 Type II certified hosting; services and transaction processing platform; enhanced rules-based product eligibility, improved pricing and decision engine; web-based workflow and task management technology; expanded web services for credit, automated underwriting services, processing and closing services, as well as the capabilities of GHR's substantial organization," Beier added.

GHR and Loansoft will continue to offer their products as licensed or hosted ASP applications. GHR and Loansoft are privately held companies.

About GHR

GHR Systems, Inc. provides browser-based and client server platforms and applications for originating, processing and closing loans for the residential mortgage, consumer and small business lending industries. GHR's clients, including numerous industry leaders among the top 150 national mortgage lenders, use GHR technology and services to better market, sell and close loans through all their distribution channels, including wholesale, retail, consumer direct and correspondent. GHR has been featured in Inc Magazine's list of the 500 fastest growing, privately held companies in 2002 and 2003, and is a Microsoft Gold Certified Partner. GHR has processed more than 2.75 million transactions over the past 12 months.

GHR customers include Washington Mutual; AGF Trust Company; Cardinal Financial; Cendant Mortgage; Charter One Mortgage; Chevy Chase Bank/B.F. Saul Mortgage Company; Consumer Origination Division; East West Mortgage; Fédération des caisses Desjardins; Homecomings Financial Network, Inc.; Household Financial Corporation; Laurentian Bank; Radian Guaranty Inc.; Scotiabank; Union Safe Deposit Bank; Washtenaw Mortgage and others. For more information, please visit www.ghrsystems.com.

About Loansoft

Loansoft, Inc., founded in 1993 and headquartered in Berkeley, Calif., is the exclusive provider of the LS Studio suite of mortgage automation software solutions. Today, the privately held company works with four of the top ten mortgage lenders in the United States, representing more than 10,000 software users.

The LS Studio suite automates loan origination from sales through processing, underwriting and closing, and can be configured for stand-alone laptops, client-server centralized database or 100 percent browser-based Web/VPN operation. LS Studio also automates the distribution and updates of files and software changes to all user groups, and it allows clients to customize virtually any part of the system. LS Studio enables lenders to leverage their investment with rapid expansion into new channels, users groups and locations with overall low cost of ownership and operation.

For more information on Loansoft, Inc. and its mortgage origination solutions, contact Loansoft at 2930 Shattuck Avenue, Suite 206, Berkeley, CA 94705, call 888.LOANSOFT (562.6763), or email sales@loansoft.com. Visit its Internet site at www.loansoft.com.

Media contact:
Contact Tricia Schafer-Petrecz at (484) 595-2125, write GHR Systems, 640 Lee Road, Wayne, PA 19087, or e-mail tricia_petrecz@ghrsystems.com.

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