Press Release

Minneapolis, MN – August 24, 2006

Sig-Tec Corporation and 123ID combine their technologies to provide the strongest, most reliable, “one to many” secure access identity management software solutions for enterprises of all sizes

Minneapolis, MN (August 18, 2006) Sig-Tec Corporation, has announced today that it is forming a business relationship with 123ID, Inc., of East Grand Forks, ND. Sig-Tec is an industry leader in developing security software that specializes in strong authentication. 123ID is a leading software developer specializing in pattern analysis and the matching of fingerprints (biometrics) based on Vector Field principles.

Biometrics is the science and technology of establishing the identity of an individual by measuring the person’s physiological or behavioral features. 123ID products are built on the patented Code Vector Technology for fingerprint matching with No False Accepts. Biometrics provides secure login for many solutions such as time and attendance, password management and digital enrollment.

About Sig-Tec Corporation

Sig-Tec is an emerging leader of secure access, secure identity management software solutions. The company’s security software can either ENHANCE existing user id(s) and password(s) or, if a client chooses, ELIMINATE the need for traditional barriers (user ids and passwords) to secure data access through the use of proximity, biometrics and/or token systems and devices. Sig-Tec is a respected developer of security software that features strong authentication including true multifactor authentication, auto-password generation and enterprise-wide synchronization. Sig-Tec has designed its products to assist clients in their compliance with regulatory data security requirements such as HIPAA, Gramm-Leach-Bliley, and Sarbanes-Oxley.

About 123ID, Inc.

123ID is one of only two providers of "one-to-one and one-to-many matching" technologies and is the only matching algorithm technology company that can compare fingerprints across different biometric readers and sensors while creating verification and matching between ink and scanned images. The "one-to-many matching" technology for identification is commonly used to prevent multiple entries of the same fingerprint template into a customer’s information database.

The scaleable architecture of 123ID technology can support large projects and unlimited CPUs for parallel searching. 123ID tools are also uniquely operable in Windows, UNIX and embedded environments, as well as built upon the versatile Code Vector Technology (CVT). Additionally, having tested at the highest level offered by the National Institute of Standards and Technology (NIST), with zero tolerance for errors, 123ID technology meets stringent standards of quality required in the financial, medical and business markets.

Sig-Tec and 123ID will develop new markets for their secure access, security identity management solutions for clients in the healthcare, financial services, government, manufacturing, POS, retail, transportation and other sectors worldwide.

For more information please visit Sig-Tec at www.sig-tec.com and 123ID at www.123id.us or call John Sherman of Sig-Tec at (952) 294-3050 and Pino Baldassarre of 123ID at (321) 984-8858.