VIQ Solutions Announces Second Quarter 2005 Results

Revenues of $3.2 million, a sequential increase of $0.7 million or 26%

MARKHAM, ON, Aug. 29 /CNW/ - VIQ Solutions Inc. ("VIQ Solutions" or the
"Corporation") (TSX Venture: VQS) today reported its financial results for the
three and six month periods ended June 30, 2005.
Net sales were $3,211,594 for the three-month period ended June 30, 2005,
up 26% from the previous quarter. Net sales for the six-month period ended
June 30, 2005 were $5,756,428. Net loss for the three and six-month periods
were $577,422 and $2,193,337 respectively. Net loss per common share was $0.01
and $0.04 for the three and six month periods respectively.
"During the period, we have seen increased interest and activity in the
marketplace for our solutions" said David Outhwaite, VIQ Solutions' Chief
Executive Officer. "We believe that a continued increase in revenues, combined
with the operating cost reductions that we have implemented, will accelerate
our path to profitability," added Mr. Outhwaite.
VIQ Solutions also announced the appointments of John G. Haag, C.A. and
George Kempff C.M.A. to the Corporation's Board of Directors and Audit
Committee. Mr. Haag is a Charted Accountant with in-depth expertise in
international tax planning for public and private corporations with a focus on
global tax minimization. George Kempff is a Certified Management Accountant
with an established record of implementing and upgrading financial systems in
fast growth companies and business expansion in the international
manufacturing sector.
VIQ Solutions also announced the resignations of Gary Perron and Lawrence
E. Davis, C.A. from the Board of Directors due to other business and
regulatory commitments.
"The Board of Directors has been well served by Mr. Perron and Mr. Davis"
noted Mr. Norman Inkster, Chairman of the Board of Directors. "We shall miss
their expertise and wish them well on their future endeavours. Meanwhile, we
are pleased to welcome two new independent directors who, together, offer a
valuable blend of financial and business experience that will serve us well as
we pursue our business strategy. The composition of our Board continues to be
one of independence, in keeping with regulatory requirements and our corporate
philosophy of transparency in governance" added Mr. Inkster.
In conjunction with the appointment of the new directors to the
Corporation's board of directors, and the subsequent cancellation of incentive
stock options originally granted to the directors that have resigned, the
Corporation is pleased to announce that it is granting 87,500 stock options at
a price of $0.26 to each of the new directors.

VIQ Solutions also announced that effective August 25, 2005, certain
provisions of the Corporation's secured convertible were amended for no
additional consideration including:

-  The maturity date of the secured convertible debenture was extended
   from January 14, 2006 to April 2, 2007;

-  The expiry date of the warrants issued on conversion of the secured
   convertible debenture was extended from July 2006 to
   September 30, 2007; and

-  The conversion price for the secured convertible debenture was
   increased from $0.18 to $0.20 per Unit for all periods from and after
   January 14, 2007.

Significant business developments in the second quarter:

-  During the quarter, the Corporation announced a new VAR partnership
   with WUSF, a public broadcast organization in the state of Florida,
   received certification as a supplier to the state of Florida and
   finalized an integrated solutions contract for 15 hearing rooms in
   Florida;

-  During the quarter, the Corporation announced a new VAR partnership
   with DECA-AMR Business Products Inc., a Georgia-based company focusing
   on business recording solutions for medical, legal and corporate
   customers;

-  Subsequent to the quarter, VIQ Solutions completed the development,
   testing and deployment of its RecordIAB product, a new innovative
   enclosed recording console for the recording, playback and storing of
   digital audio, and secured a contract for 15 high courts in the Delta
   States in Nigeria;

-  Subsequent to the quarter, VIQ Solutions announced that its
   wholly-owned subsidiary Spark & Cannon had secured a five-year,
   Aus$2.5 million contract with the South Australian Industrial
   Relations Commission; and

-  Subsequent to the quarter, the Corporation announced that Netsound
   Pty. Limited has been appointed regional distributor of VIQ Solutions'
   products and services for the Asia-Pacific region.

Selected Restated Financial Information

Certain selected financial information included in this release is
qualified in its entirety and should be read together with the unaudited
consolidated financial statements for the three and six-month periods ended
June 30, 2005, including the notes thereto.

Forward-looking Statements

This press release contains forward-looking statements that involve risks
and uncertainties, which may cause actual results to differ materially from
the statements made. When used in this press release, the words "anticipate,"
"believe," "could," "estimate," "expect," "intend," "may," "plan," "will," and
"would" and similar expressions are intended to identify forward-looking
statements. Such statements reflect VIQ Solutions Inc.'s current views with
respect to future events and are subject to such risks and uncertainties. Many
factors could cause our actual results to differ materially from the
statements made including those factors detailed from time to time in filings
made by VIQ Solutions Inc. with Canadian securities regulatory authorities.
Should one or more of these risks or uncertainties materialize, or should
assumptions underlying the forward-looking statements prove incorrect, actual
results may vary materially from those described herein as intended, planned,
anticipated or expected. VIQ Solutions Inc. does not intend and does not
assume any obligation to update these forward-looking statements.

The TSX Venture Exchange has neither approved nor disapproved of the
contents of this press release.