meaning of the federal securities laws. Statements regarding future

events, developments, the Company’s future

performance, as well as management’s

expectations, beliefs, intentions, plans, estimates or projections

relating to the future (including, without limitation, statements

concerning revenue and net income), are forward-looking statements

within the meaning of these laws and involve a number of risks and

uncertainties. Moreover, these forward-looking statements are subject to

a number of risks and uncertainties, some of which are outlined below.

As a result, actual results may vary materially from those anticipated

by the forward-looking statements. Among the important factors that

could cause actual results to differ materially from those indicated by

such forward-looking statements are: the volume and timing of systems

sales and installations; length of sales cycles and the installation

process; the possibility that products will not achieve or sustain

market acceptance; seasonal patterns of sales and customer buying

behavior; the timing, cost and success or failure of new product and

service introductions, development and product upgrade releases;

undetected errors or bugs in software; changing economic, political or

regulatory influences in the health-care industry; changes in

product-pricing policies; availability of third-party products and

components; competitive pressures including product offerings, pricing

and promotional activities; the Company’s

ability or inability to attract and retain qualified personnel; possible

regulation of the Company’s software by the

U.S. Food and Drug Administration; uncertainties concerning threatened,

pending and new litigation against the Company including related

professional services fees; uncertainties concerning the amount and

timing of professional fees incurred by the Company generally; changes

of accounting estimates and assumptions used to prepare the prior periods’

financial statements; general economic conditions; and the risk factors

detailed from time to time in Quality Systems’

periodic reports and registration statements filed with the Securities

and Exchange Commission. A significant portion of the Company’s

quarterly sales of software product licenses and computer hardware is

concluded in the last month of the fiscal quarter, generally with a

concentration of such revenues earned in the final ten business days of

that month. Due to these and other factors, the Company’s

revenues and operating results are very difficult to forecast. A major

portion of the Company’s costs and expenses,

such as personnel and facilities, are of a fixed nature and,

accordingly, a shortfall or decline in quarterly and/or annual revenues

typically results in lower profitability or losses. As a result,

comparison of the Company’s period-to-period

financial performance is not necessarily meaningful and should not be

relied upon as an indicator of future performance. The Company

undertakes no obligation to publicly update any forward-looking

statements, whether as a result of new information, future events or