Allegiance Acquires National Hotline Services to Create Ethics Reporting Powerhouse

Allegiance Continues Rapid Growth; Unites SilentWhistle With Industry's Leading Phone-Based Ethics Hotline to Deliver Unmatched Ethics Reporting Suite

SALT LAKE CITY, UT and WASHINGTON, DC -- (MARKET WIRE) -- November 14, 2006 -- Allegiance, Inc. and National Hotline Services, Inc. have joined forces to create the strongest ethics reporting company in the industry. The acquisition brings together the leading web-based ethics reporting and case management solution, SilentWhistle, with the industry's foremost phone-based ethics hotline services provider. Allegiance will now serve a growing customer base of more than 1,500 businesses, government agencies and educational institutions, as well as more than 20 percent of U.S. hospitals.

In addition to SilentWhistle, customers of National Hotline Services will benefit from a much broader set of enterprise feedback management solutions offered by Allegiance. The Allegiance Active Listening System is a suite of enterprise feedback management tools that help organizations to collect, manage, analyze and respond to customer, employee and partner feedback. National Hotline Services' phone service and operations center will be integrated into the Allegiance suite of products and services, and will continue to be led by Carrie Kusserow and Michael Newchok who have managed day-to-day operations for National Hotline Services since 1999. Richard Kusserow, former owner and chief executive officer of National Hotline Services, will continue as an executive consultant to the company.

"For the past several years, we have worked closely with National Hotline Services supporting mutual customers and cross-selling our product offerings," said Adam Edmunds, president and chief executive officer of Allegiance, Inc. "Because of our complementary solutions, Allegiance and National Hotline Services determined that it would be ideal for our current and prospective customers to be able to leverage a more comprehensive ethics reporting solution in a cohesive package. Together, we provide organizations with a complete suite of hotline and feedback tools that protect their businesses, improve communications inside and outside the organization, and meet industry and government compliance standards, including SOX 301. Our recent partnership with Thomson Financial and now the acquisition of National Hotline Services clearly positions Allegiance as the leading provider of corporate governance hotlines, ethics reporting and whistle-blowing solutions."

"The combination of National Hotline Services' phone hotlines, and the advanced Web-based tools from Allegiance, surpass anything that is available on the market today," added Richard Kusserow. "As a result of the merger, we can offer organizations a much broader and more powerful collection of tools that will help them capitalize on the power of feedback. We look forward to working with the Allegiance team to continue to protect our clients from fraud and mismanagement with first-class service and solutions."

Current customers of Allegiance and National Hotline Services, as well as organizations interested in enterprise feedback management and/or whistle-blowing and ethics reporting solutions, can find additional information at and

About National Hotline Services

National Hotline Services is the leading phone-based ethics hotline services provider. Since 1992, the company has helped clients in meeting regulatory, legal and corporate objectives through customized Compliance, Human Resources, Sarbanes-Oxley and HIPAA hotlines. National Hotline Services has extensive experience providing prompt responses to ethics violations that have prevented potentially adverse economic consequences. Based in Fredericksburg, Va., National Hotline Services operates 24 hours a day, 365 days a year and offers services in more than 150 languages.

About Allegiance, Inc.

Allegiance is a leading provider of enterprise feedback management solutions. The company's Active Listening System operates as a CRM accelerator, providing a suite of centrally managed feedback tools proven to help organizations capture, manage, analyze and respond to real-time feedback from multiple sources, ultimately impacting growth, profits and lasting value. The suite includes StudentVoice, EmployeeVoice, CustomerVoice and PartnerVoice, advanced Web-based feedback solutions proven to help organizations better understand and react to the needs of employees, customers and partners; and SilentWhistle, an anonymous ethics reporting and whistle-blower solution proven to mitigate risk and fulfill compliance with Sarbanes-Oxley section 301. The Allegiance solutions help organizations establish an ethical culture, build loyal relationships, and make more informed business decisions. For more information, please visit

Contact Information: Company Contact: Allegiance, Inc. Russ Losee VP Marketing (801) 617-8003 Email Contact PR Contact: Kevin Wilson (513) 898-1008 Email Contact