Issuer Cease Trade Order

The Nova Scotia Securities Commission issued an issuer cease trade order Monday, July 22, stating that all persons and companies shall cease trading in securities of Knowledge House Inc. The order is in effect until the commission orders otherwise.

The order was issued as a result of Knowledge House Inc.'s failure to file its audited annual financial statements for the fiscal year ended Dec. 31, 2001, and its interim financial statements for the quarter ended March 31, 2002, as required by Nova Scotia's Securities Act.