SQS Software Quality Systems AG 03 January 2006 SQS Software Quality Systems AG (the "Company") Director Shareholding The Company was notified on 30 December 2005 that Rudolf van Megen, a director of the Company, has transferred 1,865 ordinary shares of EUR 1 each in the Company ("Ordinary Shares") to employees for nil consideration on 30 December 2005 pursuant to prior trust arrangements. Following this transfer, Mr Van Megen's interest is 4,671,538 Ordinary Shares representing approximately 29.64 per cent. of the Company's current total issued ordinary share capital. The Company was also notified on 30 December 2005 that Heinz Bons, a director of the Company, has transferred 86,279 Ordinary Shares to employees for nil consideration on 30 December 2005 pursuant to prior trust arrangements. Following this transfer, Mr Bons' interest is 4,260,212 Ordinary Shares representing approximately 27.03 per cent. of the Company's current total issued ordinary share capital. Finally, the Company was notified on 30 December 2005 that Rene Gawron, a director of the Company, has been transferred 2,289 Ordinary Shares for nil consideration on 30 December 2005 pursuant to prior trust arrangements. Following this transfer, Mr Gawron's interest is 2,289 Ordinary Shares representing approximately 0.01 per cent. of the Company's current total issued ordinary share capital. 3 January 2006 This information is provided by RNS The company news service from the London Stock Exchange