NW_20040317_en_VASCO presents Anti-Phishing Platform for E-Commerce

March 17, 2004

CeBIT 2004, Hanover, Germany, March 17, 2004 - VASCO (Nasdaq: VDSI; www.vasco.com), a global provider of enterprise-wide security products that support e-business and e-commerce, Banksys (www.banksys.com), recognized by professionals worldwide as the leading expert in electronic fund transfers and secure payment systems, Element (www.element.be ), a leading European company offering IT security within the realm of secure payments and STMicroelectronics (www.st.com ), a global leader in developing and delivering semiconductor solutions across the spectrum of microelectronics applications, present an end-to-end secure e-Commerce solution for EMV authentication at CeBIT 2004 in Hanover, Germany (www.cebit.de). The joint solution will be showcased at VASCO’s booth in Hall 17 (Booth # D36).

The joint product platform is especially designed for issuing banks to tackle the emerging wave of “Phishing” fraud schemes. Phishing is the term coined by hackers who imitate legitimate companies in e-mails to entice people to share static passwords or credit-card numbers.

The end-to-end secure e-commerce solution consists of the following products:
- ST’s PROTON PRISMA Smart Card Platform;
- VASCO’s Digipass 800: Unconnected Smart Card Reader;
- Element’s 3D-Secure: E-Commerce Payment Platform;
- Banksys’ Data Encryption Peripheral (DEP): Hardware Security Module.

The four companies involved plan to actively promote the joint solution to banks and e-commerce firms all over the world, in order to allow their end-users to perform secure e-commerce transactions.

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 10 million Digipass products sold and ordered, VASCO has established itself as a world-leader for strong Identity Authentication with 250 international financial institutions, approximately 1400 blue-chip corporations, and governments representing more than 60 countries.

About Banksys: Banksys is a world leader in end -to-end secure payment systems. Founded in 1989, it has established the entire Belgian debit card system, from terminal design and manufacture to the complete management of the secure IP network and back-end. Today, Belgium is one of the world's most advanced electronic fund transfer markets.
Banksys continues to drive the market with high-end products. Its growing range of Java-based C-ZAM/SMASH and C-ZAM/SPIN terminals provides new levels of convenience, security and reliability to users across the globe. Banksys has earned a prime mover reputation with revolutionary solutions such as the banxafe concept for totally secure payment transactions over the Internet.
Banksys systematically follows the highest standards when it comes to product
specifications and security. Banksys' security technology is recognized sector wide and lies at the heart of each of its products and services.

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 contact:
VASCO: Jochem Binst, +32 2 456 9810, [email protected]
Banksys: Filip Bormans, +32 2 727 60 95, [email protected]
STMicroelectronics: phone +32 2 724 51 11 fax +32 2 724 50 60, [email protected]
Element: Ronny Leplae, +32 9 248 30 30, [email protected]