NW_20001024_en_VASCO'S PROTON-compatible DIGIPASS 800 launched at Cartes 2000

October 24, 2000

Paris and Brussels, October 24, 2000 -- At the Cartes 2000 exhibition and conference in Paris today, VASCO (NASDAQ & EASDAQ: VDSI), a global leader in enterprise-wide security solutions, launched the Proton-compatible version of VASCO’s Digipass 800 secure smart card device, which will be jointly marketed by Proton World. Using this device, any Proton cardholder worldwide can perform multiple-application smart card transactions anywhere, anyhow, and at any time, with complete security.

As a secure, intelligent, and fully portable smart card reader, Digipass 800 represents a breakthrough in the provision of value-added security and transaction functionality to the exploding e-purse smart card market. Proton cardholders simply insert their smart card into their Digipass 800 and enter their PIN, and then they are ready to perform transactions, such as Internet banking, without the need for any other smart card reader, terminal, or software.

Digipass 800 is slightly larger and thicker than a standard bank card, with a numeric keypad and two-line LCD display, and incorporates VASCO’s proven authentication and digital signature security technology, which is used by more than 500 organizations, including more than 150 banks, and 5 million individuals to protect sensitive information and safeguard transactions. It is fully compatible with all Proton-based smart cards.

“We’re pleased to introduce this outstanding product to our sales and marketing channels and thus to the millions of end-users of our smart card technology,” said Mr Frank Leyman, Marketing Manager at Proton World. “Digipass 800 provides immediate added-value to Proton cardholders by extending their capabilities to perform many different kinds of secure transactions.”

“Digipass 800 demonstrates our ability to extend VASCO’s authentication and digital signature technology to the smart card market, by providing real added value for cardholders and smart card issuers,” said Mr Jan Valcke, Vice President and General Manager of VASCO. “Our joint marketing agreement with Proton World opens new opportunities for us with our existing Digipass bank customers as well as any bank that issues Proton cards, and represents just one example of how we will aggressively leverage our security expertise to move into new, high-growth markets.”

Notes for Editors

PROTON WORLD was created by American Express, Banksys, ERG, Interpay and Visa International to promote and implement common smart card and electronic purse standards. Proton World delivers smart card solutions worldwide, continuing the development and licensing of Proton technology-based smart card applications, which have already been chosen by 24 countries. Proton is the world's most broadly implemented smart card technology in national roll-outs and is the most actively used worldwide: Proton-based smart card schemes have together performed more than 188 million e-purse transactions since their introduction. There are more than 290,000 Proton-compatible terminals installed worldwide. The Proton technology supports multiple
applications (e.g. e-commerce, access control, loyalty schemes, campus cards etc.) and is compatible with the Common Electronic Purse Specifications (CEPS) which will ensure the interoperability of electronic purse schemes worldwide.

For more information on Proton World, please visit our website at
http://www.protonworld.com or contact Ms. Dominique Hautain, Executive
Vice-President, Corporate Office.
Telephone + 32 2 724 5111 Fax + 32 2 724 5060
e-mail: [email protected]

VASCO secures the enterprise from the mainframe to the Internet with infrastructure solutions that enable secure e-business and e-commerce, protect sensitive information, and safeguard the identity of users. The company’s family of Digipass™, VACMAN®, and SnareWorks™ products offers end-to-end security through true Single Sign-On, access control and advanced entitlements, web portal security, strong user authentication, and PKI enablement, while sharply reducing the time and effort required to deploy and manage security. VASCO’s customers include hundreds of financial institutions, blue-chip corporations, and government agencies in more than 50 countries, among them John Hancock, ABN AMRO Bank, Shell, 3M, Ericsson, Rabobank, SEB, First Union, Liberty Mutual, Cable and Wireless, Nokia, DaimlerChrysler, Volvo, US Department of Defense, European Commission, US Coast Guard, University of Groningen, and Duke University. VASCO’s partners include Check Point Software Technologies, Computer Associates, Intel, Lernout & Hauspie, Novell, Proton World, and Ubizen. More information is available at www.vasco.com or
[email protected].

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.

For more information please contact:

Media: Kerry Roche, Bridgeman Communications, +1 617 742 7270, [email protected]
Investor Relations: Todd Fromer, KCSA Public Relations Worldwide, +1 212 682 6300, [email protected]
VASCO: Mike Lange, +1 630 932 8844, [email protected]

Media (Benelux): Bob Pieters, Anthonissen & Associates, +32 3 286 7777, [email protected]
Media (Europe/Asia): Sven Kersten, HBI, +49 89 99 38 87 33, [email protected]
Investor Relations: Annemieke Blondeel, LBConsult, +44 208 308 7080, [email protected]
VASCO: Ariane Bosmans, +32 2 456 9810, [email protected]