ETC Expands Toll Interoperability Connecting Central United States Interoperability (CUSIOP) Hub and the South-East Interoperability (SEIOP) Hub

Rhea-AI Summary

Quarterhill Inc. (TSX: QTRH, OTCQX: QTRHF) announced a significant milestone in the tolling industry via its subsidiary, Electronic Transaction Consultants (ETC). ETC facilitated the connectivity between the Central United States Interoperability (CUSIOP) hub and the Southeastern Interoperability (SEIOP) hub, improving toll payment convenience across multiple states. This collaboration involves key agencies from Texas, Kansas, and Florida, enhancing customer service through interoperability. ETC aims to expand its network further with its upcoming Inter Agency Group E-ZPass hub, expected to streamline over $5.2 billion in transactions. This initiative reflects ETC's commitment to improving infrastructure and user charging systems.

Positive

• ETC's successful development of the CUSIOP hub enhances toll interoperability across multiple states.
• Partnership with major toll agencies strengthens the customer base and expands service capabilities.
• ETC's pending E-ZPass hub contract promises to process over $5.2 billion in transactions, increasing revenue opportunities.

Negative

• None.

RICHARDSON, Texas, April 4, 2023 /PRNewswire/ - Electronic Transaction Consultants, LLC (ETC), a Quarterhill Inc. company (TSX: QTRH) (OTCQX: QTRHF) and a leading provider of tolling and ITS solutions, is proud to announce a significant achievement in the participation of a major milestone in the tolling industry. For several years, agencies across the country have worked to provide an interoperable network to facilitate the convenience of using one toll account to pay for travel across multiple states and toll roads.

ETC played a major role through its contract to develop the Central United States Interoperability (CUSIOP) hub which facilitates the exchange of transactions between interoperable toll agencies. In early March, four agencies of the CUSIOP hub including North Texas Tollway Authority (NTTA), Central Texas Regional Mobility Authority (Mobility Authority), Kansas Turnpike Authority (KTA), and Oklahoma Turnpike Authority (OTA), became interoperable with the Southeastern Interoperability (SEIOP) hub. The SEIOP hub is comprised of four major Florida toll agencies including, Florida Turnpike Enterprise (FTE), Lee County (LCF), Miami-Dade Expressway Authority (MDX), and Tampa Hillsborough Expressway Authority (THEA).

The CUSIOP hub acts as a clearinghouse for toll transactions providing customers the ability to pay for travel across all participating roads using their TollTag^® K-Tag, PikePass, or SunPass transponders. Using ETC's cloud-based solution, the successful implementation of comprehensive business rules and technology provides for the exchange and reconciliation of financial transactions between agencies.

"ETC is proud to be such an integral part of tolling interoperability in the United States," said Kevin Holbert, ETC President. "Tolling and transportation in general is facing a huge inflection point as the need for sustainable infrastructure continues to grow and funding continues to diminish. Interoperability amongst user charging programs is tantamount to the success of these projects. ETC's work is a major contributing factor to that success, and I'd like to thank the CUSIOP and SEIOP stakeholders as well as the ETC team for all their hard work."

In addition to the CUSIOP hub, in April 2022, ETC was awarded a contract to develop the Inter Agency Group E-ZPass hub which includes 38 member agencies across 19 states, collecting over $5.2 billion transferred between interoperable agencies. Once complete, the IAG hub will join the CUSIOP and the SEIOP hubs to create an even broader network of interoperable roads across the Central, Southern, & Northeastern states and participating toll roads. Processing over 3 billion combined transactions across multiple clients, ETC's experience developing the most robust Back Office and clearinghouse solutions has paved the way for the next generation of its Mobility Commerce Platform. These innovative solutions are the quintessential next step to providing consumer payments across multiple modes of transportation, through one account. As such, our hub development includes interfaces and the ability for 3^rd party payment providers to access this interoperable network.

About Electronic Transaction Consultants, LLC
ETC is a leading U.S. intelligent transportation systems provider, developing and delivering best in class solutions for tolling, congestion management, urban mobility, and multimodal transportation needs. ETC's passionate and innovative team has been driving the future of mobility since 1999, with several industry firsts, including all electronic tolling (AET), dynamic pricing, agency interoperability, hosted mobility solutions and machine learning.

For over two decades, ETC has delivered sophisticated solutions to many of the U.S.'s largest toll authorities, including state-wide programs, county networks and tolling-specific authorities. ETC's solutions process over two billion transactions annually totaling over $3 billion in revenues for our customers, incorporating the latest in evergreen open-source and SaaS technologies and Big Data architecture through our innovative riteSuite™ products.

About Quarterhill
Quarterhill is a leading provider of tolling and enforcement solutions in the Intelligent Transportation System (ITS) industry, as well as, through its Wi-LAN Inc. subsidiary, a leader in Intellectual Property licensing. Our goal is global leadership in ITS, by organic growth of the Electronic Transaction Consultants, LLC and International Road Dynamics Inc. platforms and by continuing an acquisition-oriented investment strategy that capitalizes on attractive growth opportunities within ITS and its adjacent markets. Quarterhill is listed on the TSX under the symbol QTRH and on the OTCQX Best Market under the symbol QTRHF. For more information, please visit www.quarterhill.com. For more information, visit www.quarterhill.com.

Forward-Looking Information
This news release contains forward-looking statements regarding ETC, Quarterhill and their businesses. Forward-looking statements are based on estimates and assumptions made by ETC and/or Quarterhill in light of their experience and perception of historical trends, current conditions, expected future developments and the expected effects of new business strategies, as well as other factors that ETC and/or Quarterhill believe are appropriate in the circumstances. The forward-looking events and circumstances discussed herein may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting ETC and/or Quarterhill, including: potential risks and uncertainties relating to the ultimate geographic spread of the novel coronavirus ("COVID-19"); the severity of the disease; the duration of the COVID-19 outbreak; actions that may be taken by governmental authorities to contain the COVID-19 outbreak or to treat its impact; the potential negative impacts of COVID-19 on the global economy and financial markets and any resulting impact on ETC and/or Quarterhill and/or their businesses. Other factors include, without limitation, the risks described in Quarterhill's March 22, 2023 annual information form for the year ended December 31, 2022 (the "AIF"). Copies of the AIF may be obtained at www.sedar.com. ETC and Quarterhill recommend that readers review and consider all of these risk factors and notes that readers should not place undue reliance on any of ETC's forward-looking statements. ETC has no intention, and undertakes no obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

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SOURCE Quarterhill Inc.

FAQ

What milestone did Quarterhill Inc. achieve on April 4, 2023?

Quarterhill Inc. announced the successful connection of its Central United States Interoperability (CUSIOP) hub with the Southeastern Interoperability (SEIOP) hub, enhancing toll payment interoperability.

Which agencies are involved in the CUSIOP hub project?

The CUSIOP hub involves the North Texas Tollway Authority, Central Texas Regional Mobility Authority, Kansas Turnpike Authority, and Oklahoma Turnpike Authority.

How much transaction volume is expected from the E-ZPass hub contract awarded to ETC?

The E-ZPass hub is expected to streamline over $5.2 billion in transactions between 38 member agencies across 19 states.

What is the significance of the interoperability achieved by ETC?

The interoperability allows customers to use a single toll account across multiple states, improving convenience and efficiency in toll payments.

What is the stock symbol for Quarterhill Inc.?

Quarterhill Inc. is listed under the stock symbols QTRH on the TSX and QTRHF on the OTCQX.