NW_20030218_en_VASCO Adds New Distributors in Germany (DNS) and South America (Orion 2000) to its Indirect Sales Network

February 18, 2003

OAKBROOK TERRACE, Illinois and BRUSSELS, Belgium – February 18 , 2003 – VASCO (Nasdaq NM & Nasdaq Europe: VDSI; www.vasco.com), a global provider of enterprise-wide security products that support e-business and e-commerce, today announced that Germany based DNS (www.DNS-gmbh.de ) and Chile based Orion 2000 ( www.orion.cl ) have joined its worldwide distributor network. Both companies will focus on the introduction of Digipass Pack in their home markets.

Germany and Southern America are important growth markets for VASCO. The introduction of Digipass Pack in those markets creates huge opportunities for VASCO. The core market for Digipass Pack consists of Small and Medium Sized Enterprises (SME). The German economy, for example, counts over 3 million SME’s, totalling more than 20 million employees. All of these are potential Digipass Pack users.
At this moment, the training of DNS’ and Orions resellers is in due course. Over thirty have been trained yet. Several hundreds are to follow. Currently, VASCO has 19 distributors worldwide, representing several hundred resellers offering Digipass Pack to their local markets.
With this agreement, Orión 2000 becomes a Master Distributor and Certified Training Center of VASCO products for whole Latin America, improving the support and service to customers in the entire region.

“Our distributor network is a crucial part of our indirect sales structure,” said Jan Valcke, VASCO’s President and COO. “This means that we are very glad to add two high-standard companies as DNS and Orion to our network. We are convinced that, due to their skills, enthusiasm, experience and expertise, both companies will contribute importantly to the breakthrough of the Digipass Pack products in Germany and South America. “

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 security products, small “calculator” hardware devices carried by an end user, or in a software format on mobile phones, other portable devices, and PCs. For user access control, VASCO’s VACMAN products guarantee that only designated Digipass users get access to the application. VASCO’s target markets are the applications and their several hundred million users that utilize fixed passwords as security. VASCO’s time-based system generates a “one-time” password that changes with every use, and is virtually impossible to hack, or break. With 8 million current users of its Digipass products, VASCO has established itself as a world-leader for strong Identity Authentication with 180 international financial institutions, approximately 800 blue-chip corporations, and governments representing more than 50 countries.

About DNS Germany, DNS Austria:
DNS Deutschland GmbH is headquartered in Fuerstenfeldbruck near Munich in Germany and DNS Oesterreich Ges.m.b.H. is based in Vienna. Both companies work together with technology suppliers such as Citrix, Extreme Networks, F5 Networks, Neoware Systems, Sun Microsystems, Vasco, Veritas Software, WatchGuard and Wyse. Their product range includes servers, intelligent network components, thin clients, server-based computing, Unix desktops, workgroup and enterprise Unix servers, network security, middleware and data management software. In addition DNS clients have access to exclusive services, including project consultancy and support, technical support, evaluation products, product tests and a fast and easily accessible flow of information about products, markets and market developments.

About Orión 2000
Orión 2000 is a leader supplier in information security in Chile and Latin America. From its foundation, its activity has been centered in the risks management in the information security, offering one complete range of specialized solutions, through its four units of businesses: Professional Services, Education, Monitoring and Management Security Services (SGMS) and Integration of Security Technologies.
Their vast experience and solid reputation in the market, allow Orión 2000 to serve and to provide prestigious solutions for an important Chilean companies and institutions, in industrial and services sectors, mainly in the financial area, government, defense, mining, health, telecommunications, e-business and services suppliers. Furthermore, Orión 2000 develops direct and indirect businesses with important Latin American companies.

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.
More information is available at www.vasco.com.

For more information contact:
Media: Jochem Binst: +32 2 456 9810, [email protected]
Investor Relations: Tony Schor, President, Investor Awareness, Inc.: 847-945-2222, [email protected]

Press contact DNS:
Evelyn Seeger , Tel.: +49-(0)8141-3536-822, Fax: +49-(0)8141-3536-869
E-Mail: [email protected]

Press contact Orion:
Nathalie Massis, Tel: (562) 6403900
E-Mail: [email protected]