Rapid Reports Third Quarter January 31, 2008 Results


    CALGARY, March 31 /CNW/ - Rapid Solutions Corporation (TSX-V: RPD), an
enterprise data solutions software company whose principal focus is the
petroleum industry, today announced its financial results for the three and
nine months ended January 31, 2008.
    During the three months ended January 31, 2008, Rapid undertook a
restructuring of its US operations with a view to refocusing its US based
services business to provide higher value solutions for clients, diversify its
client industry base and position itself to take advantage of improved client
industry trends as it relates to Rapid's offering. As part of the
restructuring, the Company has repositioned itself to:

    -   reduce US division overheads through the resignations of three senior
    -   enter into a new solutions engagement with a Canadian based tier one
        integrated energy exploration and production company;
    -   enter into another new solutions engagement with a US based chemical
        producer; and
    -   renew its engagement with a large Gulf of Mexico based energy and
        production company

    The quarterly results for the three months ended January 31, 2008 reflect
the Company's actions with respect to repositioning its US business. Revenue
for the quarter is substantially lower than in the past. Although the reduced
revenue was caused in part by the cyclicality of the services business, it
also reflects the Company's focus on obtaining new engagements consistent with
its restructuring efforts. Operating expenses were held constant in
anticipation of the commencement of the new engagements awarded to the Company
and costs associated with management personnel reductions were incurred.
    "The energy and production industry is changing rapidly," commented
Michael Jones, Chief Executive Officer of Rapid Solutions Corporation. "We
have re-tooled the US organization to engage in business with a higher value
proposition and better leverage that business with our technology. We have
already reaped initial benefits from the restructuring, having entered into
new client engagements including a new industry vertical. We are confident
that over the longer term, the restructuring of the US division will continue
to reward the Company with improved margins and increased synergy with our
technology solutions."
    For the three months ended January 31, 2008, the Company reported a net
loss of $721,468 or $0.02 per share compared to $0.01 per share in prior year
comparable period.

    Highlights of the financial results for the third quarter ended
January 31, 2008 include:

    -   a $512,000 increase in net loss compared to the prior year resulting
        primarily from $365,000 less in gross margin on services as the
        Company transitioned to new engagements and $217,000 of restructuring
    -   software license revenue of $218,600, representing a 27% increase on
        a year over year basis; and
    -   a continued increase in product development costs of 81% year over
        year as the Company seeks to accelerate its product development in
        response to client demand.

    Revenue for the third quarter was $748,493, a sequential decline of 32%
from the immediately preceding second quarter ended October 31, 2007 and 45%
lower than the previous year period. As noted earlier, the Company completed a
significant assignment during the second quarter and reorganized its resource
base to enter into new client engagements that commence in the fourth quarter
ending April 30, 2008.
    Total expense for the third quarter was $1,517,613 including $217,000 of
restructuring costs. Reported total expense was level with the previous year
period. Anticipating the re-engagement of the Company's resources into new
contract wins, the resources to meet new client engagements were kept in place
during the quarter.
    "The steps taken in the third quarter have already begun to translate
into positive results," remarked Michael Jones. "Our resources are now 90%
deployed and with two new significant engagements we are confident the changes
to our organization, in spite of the transition costs, were timely and will
better support our strategic plan to provide technology based solutions for
our clients seeking improved information structures based on real time
enterprise data integration."
    The complete Financial Statements and Management Discussion and Analysis
may be found under the Company's Profile on www.sedar.com.

    About Rapid Solutions

    Rapid Solutions Corporation is the leading developer of Business Process
Solutions whose principal focus is the petroleum industry. Rapid implements
solutions based on the workflow, integration, and notification cycle, enabling
companies to optimize business processes, enhance productivity and improve
data management. Rapid's professional services business provides operations
assurance, maintenance management and safe operating conditions solutions to a
range of clients in Canada and the United States.

    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.

    Forward Looking Information

    This press release may contain forward-looking statements which may
include estimates, plans, expectations, opinions, forecasts, projections,
guidance or other statements that are not statements of fact; including
without limiting the generality of the foregoing, statements made by the Chief
Executive Officer relating to the prospects of the reorganization and new
engagements. Although the Company believes that the expectations reflected in
such forward-looking statements are reasonable, it cannot give any assurance
that such expectations will prove to be correct. Results of Rapid may be
affected by a variety of variables and risks associated with the software and
technology services industry such as loss of market, competition from other
software and technology and service providers, ability to access sufficient
debt and equity capital from internal and external sources, ability to expand
in the marketplace and to maintain present clientele, ability to generate
sufficient cash flow from operations to meet current and future obligations
and risks associated with potential future lawsuits and regulatory actions
made against the Company. Rapid's business is focused principally on the oil
and gas industry and is therefore subject to all of the risks associated with
such industry, including the highly cyclical nature of its economic returns.
Forward-looking statements are subject to certain risks and uncertainties and
may be based on assumptions that could cause actual results to differ
materially from those anticipated or implied in such statements. The Company's
forward-looking statements are expressly qualified in their entirety by this
cautionary statement. Unless otherwise required by applicable securities laws,
the Company does not intend nor does it undertake any obligation to update or
review any forward-looking statements to reflect subsequent information,
events, results or circumstances or otherwise.
    For further information on Rapid, go to www.rapid.com.

    %SEDAR: 00022777E

For further information:

For further information: Michael Jones, President and CEO, Rapid
Solutions Corporation, Telephone: (403) 451-3105 or (713) 996-7979

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