NW_20041026_en_VASCO Reports Successful First Banking and Channel Summit

October 26, 2004

OAKBROOK TERRACE, Ill., and BRUSSELS, Belgium, October 26, 2004 - VASCO Data Security International, Inc. (NASDAQ: VDSI), (www.vasco.com), the global number one vendor of strong user authentication products to the financial sector, today announced that its First World Wide Banking Summit and its Channel Summit were successful events, attracting over 80 delegates representing financial institutions from 4 continents and over 40 representatives from European channel partners (Benelux + UK) to its European Headquarters in Wemmel (Brussels-Belgium).

During the banking summit, established and trusted VASCO customers discussed the benefits of strong user authentication with new customers and prospects. Due to the success of the event, VASCO has decided to add additional locations for the event. Starting in2005, regional VASCO banking summits will be organized in the USA, Australia, South America and Asia-Pacific.

The Channel Partner Summit brought over 40 representatives of VASCO’s Distributors and Resellers to Wemmel. Next to banking, the corporate network access market (C.N.A.) is the most important market for VASCO. Whereas VASCO tackles the banking market via direct sales, the C.N.A. market is addressed indirectly, via distributors and resellers. To stress the importance of a tight relationship with its channel, VASCO will start organizing worldwide channel events.

“Testimonials by our existing Digipass customers and partners are the best argument to convince prospects to start working with VASCO. Therefore, Banking and Channel Summits are of the utmost importance,” said Jan Valcke, VASCO’s President and COO. “VASCO has awarded three visionary banks that have shown their dedication to security by working with Digipass. The three awardees are Zagrebacka Banka (Croatia), ABN-Amro Singapore and Egnatia Bank (Greece). We awarded Export Vlaanderen, Flanders' Export Promotion Agency, for its outstanding contribution to VASCO’s worldwide growth. VASCO also appointed “Channel Partners of the Year” in the UK (Wick Hill), Belgium (DCB) and The Netherlands (E92 Plus). Together with our customers and partners, we will make online banking and logging into corporate accounts a secure and user friendly process.”

About VASCO: VASCO designs, develops, markets and supports patented “Identity Authentication” products for e-business and e-commerce. VASCO’s Identity Authentication software is delivered via its Digipass hardware and software security products. For user access control, VASCO’s VACMAN products guarantee that only designated Digipass users get access to the application. With over 12 million Digipass products sold and shipped, VASCO has established itself as a world-leader for strong Identity Authentication with more than 300 international financial institutions and over 1,400 blue-chip corporations and governments located in more than 80 countries.
Forward Looking Statements
Statements made in this news release that relate to future plans, events or performances are forward-looking statements. Any statement containing words such as “believes,” “anticipates,” “plans,” “expects,” and similar words, is forward-looking, and these statements involve risks and uncertainties and are based on current expectations. Consequently, actual results could differ materially from the expectations expressed in these forward-looking statements.
Reference is made to the Company's public filings with the US Securities and Exchange Commission for further information regarding the Company and its operations.

Jochem Binst
Phone: +32 245 69 810
[email protected]