Complying With TheSarbanes-Oxley Act

St. Paul, MN, May 2004 - The SEC provisions contained in the Sarbanes-Oxley Act (Section 404) have now made it mandatory for senior management of all public companies to evaluate and certify the effectiveness of their internal controls. This Act has broad implications and clearly raises the bar on the level of management's direct responsibility and liability for compliance. This includes ensuring that:

• Transactions are properly authorized
• Assets are safeguarded against unauthorized or improper use
• Reliable processes are in place
• Transactions are properly and accurately recorded

API Outsourcing, Inc., the leading provider of billing and accounts payable financial processes and business transformation outsourcing services to Fortune 1000 companies, provides solutions which assist client companies in their efforts to comply with this important regulation.

API's workflow controlled process, combined with an image archival system, effectively control both billing and accounts payable activities. This control includes recording, tracking and reporting according to a company's specific business rules to ensure that established approval protocols are consistently followed. Additionally, an audit trail is created for each step throughout the process. Each billing or payable item logged is electronically linked to all of the associated support documents to essentially create a central data depository for comprehensive and quick access.

All of this information is logged and linked by transaction so that an order, invoice or payment can not be completed without satisfying 100% of the business conditions that management has established. This ensures that all transactions are properly authorized prior to execution.

API's process automation offers an important foundation to establish reliable processes for data accuracy. API's business intelligence assists in both the prevention and detection of business fraud. Logging all information associated with a transaction - whether it represents an asset purchase or commodity purchase - allows for extensive testing and comparing. This testing and comparison of the API log with the customers ERP or legacy system matches the respective information and provides for utilization reviews of assets. Such reviews are extremely helpful in identifying under utilized or missing assets, as well as highlight unauthorized or improper transaction requests.

API's workflow process electronically records every step of every transaction and stores the associated support documents, which in turn provides insight to unlock hidden business trends and compare the operating performance of various business units.

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