Mr. Jim Wilson reports

SYLOGIST ANNOUNCES COMPENSATION UPDATE AND MANAGEMENT CHANGE

Sylogist Ltd.'s board, following the review and recommendations of its independent compensation committee, is undertaking changes to management and some of its compensation arrangements, with the agreement of the company's executive officers.

Compensation update

Over the past few months Sylogist's independent compensation committee has undertaken a review of current equity and executive compensation plans. The compensation committee has interviewed and received input from several institutional investment managers and larger individual investors to obtain current market views. It is the intention of the committee to establish processes for future executive positions in consultation with appropriate industry professionals.

The conclusions of the investment managers and investors discussions revealed the majority of institutional managers are seeking equity and executive compensation plans that are heavily weighted toward stock performance and prefer restricted stock units (RSUs) compensation versus the current cash bonus which is based on actual company operating performance.

As Sylogist evolves from its entrepreneurial beginnings to that of an established growth company, future executive compensation plans will align more closely with current market models provided they allow the company to attract the talent required for superior operating performance.

Updating the current chief executive officer and executive vice-president compensation plans to current market models would have a large one-time impact on earnings. Rather than creating and negotiating replacement employment contracts for these two positions the current contracts will remain in force. To address the key concerns of institutional managers, the CEO and executive VP have voluntarily committed to: 1) purchasing Sylogist stock using a percentage of their after-tax cash bonus compensation; and 2) reducing the change of control compensation. Details of these amendments, when finalized, will be described in the company's next annual management information circular.

As a company listed on the TSX Venture Exchange, Sylogist is required to have its stock option plan approved annually. At the May 1, 2019, annual general meeting of shareholders, the Sylogist stock option plan was approved. Sylogist has had a consistent and growing dividend record with low stock price volatility, small daily trading volumes and a large percentage of United States-based revenue. These characteristics make stock options the lowest cost, and a non-cash cost, form of equity compensation. Sylogist plans to continue with stock options as the preferred form of equity compensation as long as stock options provide the most economic form of equity compensation.

Management change

Effective Sept. 30, 2019, Andre Drouillard, vice-president of corporate development and investors relations, will be departing the company. The company appreciates Mr Drouillard's contributions and looks forward to observing his future successes.

About Sylogist Ltd.

Sylogist is a software company that, through strategic acquisitions, investments and operations management, provides comprehensive, mission-critical ERP solutions, including fund accounting, grant management and payroll to public service organizations.

We seek Safe Harbor.