Caliente has acquired the infrastructure to utilize the technology for a web-based alphanumeric short-text messaging ("SMS") solution and its text-to-speech ("TTS") solution in Canada for disease management applications under the name "MedReminder Canada" and is negotiating the rights to expand the application into a broadly based CRM market throughout North America.

Together SMS and TTS form the basis for an entirely new class of service client enhancement services, which is currently close to completion.

Caliente is finalizing arrangements with Telus Mobility for setting up its server in a secure Telus co-location site. Using wireless communication (cellular phones, digital pagers and PDAs), the system will "follow" the user as they travel, also ensuring that scheduled messages are delivered at the correct local time.

These and other innovations ensure Caliente's continuing position to stand out and provide unique benefits to its clients.