RICHMOND, Calif. – July 30, 2002 – QRS Corporation (Nasdaq: QRSI), a leading provider of adaptive commerce solutions for the extended supply chain, announced today a multi-year agreement with IBM to enhance QRS Exchange™ through IBM's Business Exchange Services. QRS Exchange is the retail industry's most widely used suite of solutions for electronic communication and transaction delivery. The enhanced QRS offering gives retail businesses a greater level of global commerce interoperability and business process integration with their trading partners.

With this new agreement, QRS Exchange gives retail businesses more freedom of choice in transmitting critical data and forms-based documents with all of their business partners globally, whether through traditional value-added-network (VAN) or real-time, Internet-based data transport.

The deal enhances QRS Exchange by providing an IP-based transaction network that supports a range of transport protocols, including AS1 and AS2, allowing for real-time information exchange over the Internet. QRS Exchange also features automated data translation services for electronic data interchange (EDI), extended markup language (XML) and other formats. In addition, QRS will continue to provide the retail industry's leading EDI-based VAN services supported by IBM.

From data transformation to business process integration with Web services, retail companies now have access to a comprehensive suite of hosted and enterprise solutions that allow companies to manage electronic communication with trading partners, regardless of company size, communication preferences or technology infrastructure. QRS Exchange also enables shared business operations by transmitting requests and results that heighten extended supply chain efficiency.

"QRS Exchange bridges legacy and Internet environments, so retail customers can conduct commerce in a reliable, compatible way with the data transport solution that best suits their business," said Liz Fetter, president and CEO of QRS Corporation. "Our longstanding business relationship with IBM provides the continued assurance that we are incorporating the best services from a leading technology partner to derive the most value for our customers," added Fetter.

This agreement with IBM follows an agreement inked earlier this spring whereby QRS will incorporate IBM CrossWorlds business process integration technology within the QRS product line to accelerate the implementation of QRS software solutions and enhance the return on investment for QRS customers.

About QRS

QRS (Nasdaq: QRSI) has been building, automating and managing retail trading relationships through innovative software applications and services since 1988. Today, QRS is an established leader in providing adaptive commerce solutions for the extended supply chain. QRS offers scalable trading community connectivity; reliable product content management; real-time, synchronized transaction delivery; and Web-enabled sourcing and procurement. QRS solutions are used by more than 8,000 retail industry customers* representing the world's top retailers, vendors and manufacturers, including Federated Department Stores Inc., Selfridges plc, Sears, Roebuck and Co., LVMH LLC, Group Clarins USA and Jones Apparel Group Inc. With QRS adaptive commerce solutions, retail industry customers can transform their extended supply chain in response to marketplace dynamics, drive process efficiency and achieve superior profit. Learn more about QRS Corporation at www.qrs.com.

*Based on total, unique QRS corporate customers that purchased or licensed QRS products and services between April 2001 and May 2002.