Cedara Software Announces Partnership with Surgiview

• Cedara to assist in commercialization and worldwide distribution of Surgiviews measurement and analysis software for Spine Imaging and electronic clinical records • Sophisticated biomechanical analysis of Spinal diseases

TORONTO, September 10th, 2004 -- Cedara Software Corp. (TSX:CDE/OTCBB:CDSWF) a leading independent developer of medical software technologies for the global healthcare market, today announced a strategic partnership with Surgiview.

Under the terms of the partnership agreement Cedara will be the exclusive global channel for Surgiviews unique spinal analysis software as well as its electronic clinical records management system. Cedara will use its extensive industry contacts to promote and market this technology to medical imaging companies worldwide. Cedara will also market these directly with end-users such as hospitals, imaging centres, radiologists and physicians.
The companies will work together in completing and commercializing the technology. In particular, Cedara will assist with marketing; regulatory management; technical authoring and hot-line support services.

Cedaras contacts and relationships in the medical imaging market will help make our first two products widely accessible to the worldwide medical community. The integration of DICOM (PACS) and HL7 connectivity in our products is the very next step of our action plan," said Alexandre Templier, CEO of Surgiview. Our goal is to market a complete leading-edge range of software products in data management, decision making, and surgical planning, covering the most important orthopedic surgical procedures".

The partnership with Surgiview is another success of Cedaras Technology Partnership Program, announced in November 2003 as a mechanism for the selection of innovative companies and technologies, and their promotion and distribution through Cedaras worldwide channels.

Cedara Software has a unique position in the medical imaging community," said Abe Schwartz Cedaras President and CEO. We are independent, well-connected and respected as a committed partner and technology leader. This makes Cedara a tremendous commercialization partner for Surgiviews technology and success -- a success in which we will all share."

Chris Barlow, EurIng CEng CPhys
Director of Business Development,
CEDARA SOFTWARE CORP.
6509 Airport Rd
Mississauga,
Ontario L4V1S7
CANADA
Tel: +1 905 672 2101 (2230)
E-mail: chris.barlow@cedara.com

For investor-related inquiries, please contact:

Brian Pedlar, Chief Financial Officer and Corporate Secretary
(905) 672-2100 ext. 2015
Email: brian.pedlar@cedara.com

Alexandre Templier, Ph.D, MBA.
Managing director
SURGIVIEW
64, rue Tiquetonne
75002 Paris
France.
Tel: +33.6 0843-8281
E-mail: a.templier@surgiview.com

About Cedara Software:

Cedara Software Corp. is a leading independent provider of medical technologies for many of the worlds leading medical device and healthcare information technology companies. Cedara software is deployed in hospitals and clinics worldwide -- approximately 20,000 medical imaging systems and 4,600 Picture Archiving and Communications System (PACS) workstations have been licensed to date. Cedara is enabling the future of the healthcare industry with new innovative approaches to workflow, data and image management, integration, the web, software components and professional services. The Company's medical imaging solutions are used in all aspects of clinical workflow including the capture of patient digital images; the sharing and archiving of images; sophisticated tools to analyze and manipulate images; and even the use of imaging in surgery. Cedara is unique in that it has expertise and technologies that span all the major digital imaging modalities including angiography, computed tomography (CT), echo-cardiology, digital X-ray, fluoroscopy, mammography, magnetic resonance imaging (MRI), nuclear medicine, positron emission tomography (PET) and ultrasound.

About Surgiview:
Surgiview is a French Paris-based company specializing in the development of clinical information systems for orthopedics. Surgiviews team is composed of experts in musculoskeletal biomechanics, image analysis, information systems, and software development. The R&D team develops clinical data management, image analysis, decision making and planning solutions for the orthopedic market. Surgiview aims to significantly contribute to the improvement of the quality care in orthopedic surgery by enhancing productivity and reliability, while capitalizing surgical daily clinical experience.

Certain statements contained in this news release are forward-looking and are based on current expectations that are subject to a number of uncertainties and risks, and actual results may differ materially. These uncertainties and risks include, but are not limited to: the management of the growth of the Company, dependence on key personnel of the Company, competitive pressures (including price competition), changes in market activity, risks associated with international operations, the development of new products and services, the enhancement of existing products and services, the introduction of competing products having technological and/or other advantages, the dependence on key customers, regulatory changes to the health care industry, seasonality, economic and political conditions and adequate protection of the proprietary interests of the Company. Further information about these risks and uncertainties can be found in the continuous disclosure documents filed from time to time by Cedara with the securities regulatory authorities, which documents are available at http://www.sedar.com/.