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Xenos Launches Industry First Internet-Based, Fully-Automated, End-to-End eBusiness Transaction Solution

Xenos terminalONE™ Picks Up Where EDI Left Off, Delivering Seamless, Automated, Secure, and Reliable Transaction Processing Between Disparate Systems With Significant Cost Savings

TORONTO, Ontario, October 4, 2005 - Xenos Group, Inc. (TSX: XNS),
a leading provider of high-performance data, document and delivery solutions for e-Adaptability™, today announced the availability of Xenos terminalONE, an adaptable, end-to-end e-transaction solution that securely enables and expedites business over the Internet and across disparate platforms. Xenos terminalONE eliminates the need for proprietary and high-cost EDI networks by creating end-to-end, fully automated transaction workflows that deliver straight through processing over IP networks (STP/IP).

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"Xenos terminalONE simplifies our B2B transaction handling," said Tom Bailey of National Industrial Concepts, a leading U.S. precision sheet metal fabrication firm. "It strengthens our vendor and partner relationships by making it easier to do business with us and we can bring in new partners rapidly, easily integrating their data into our business processes. With fully automated transactions executed end-to-end over the existing IP network, our business processes are streamlined, our productivity soars and overhead costs are minimized."

Xenos terminalONE automates real-time transaction processing over IP networks using three distinct components: Xenos Announces terminalONE eBusiness Transaction Solution Pg. 2 of 2

• terminalONE TRANSPORT - guarantees secure delivery of validated transaction data to authenticated trading partners or recipients.
• terminalONE TRANSFORM - converts any transaction data format into any other, and manipulates the data so it can be repurposed for a variety of uses.
• terminalONE TRAFFIC - intelligently routes transaction data to the correct back office systems based on defined data parameters.

"Despite the significant investments organizations have made in back office systems to automate order management, invoicing, services and sales, many organizations still use manual data entry methods," said Patrick Smith, director of XML products at Xenos. "By automating these processes, Xenos terminalONE improves accuracy and greatly reduces transaction processing costs."

Xenos terminalONE is available now.

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About Xenos

Xenos has provided data and document management solutions for over 20 years. Its solutions are embraced worldwide, across a wide variety of industries, including healthcare, financial services and government. Xenos improves the efficiency of information and data management while preserving investments in existing IT infrastructure, systems, applications and procedures. Its solutions provide the capture, composition, transformation, enhancement, repurposing, storage, retrieval and distribution of documents across the enterprise. Xenos' data solutions are used to integrate incompatible applications, business processes, enterprise systems, partners, structured data, databases and Web services. Its product offering includes Xenos d2e, Xenos infoWEB and Xenos GoXML. Xenos has offices in Canada, the United States, the United Kingdom and France. Xenos trades on the Toronto Stock Exchange under the trading symbol "XNS." For more information visit www.xenos.com.

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Editorial Contacts:
Heidi Rosenberg
Nadel Phelan, Inc.
Tel: +1 (831) 440-2405
E-mail: heidi@naelphelan.com

Investor Relations Contact:
Cory Pala
Xenos Group, Inc.
416-657-2400
cpala@xenos.com

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