NW_20050520_en_Banka Koper (Slovenia) to Use Digipass 800 for EMV-CAP Application

May 20, 2005

OAKBROOK TERRACE, Ill., and BRUSSELS, Belgium, May 19, 2005 - 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 the Slovenian bank Banka Koper, principal member of the national card scheme Activa will use VASCO’s Digipass 800 for EMV-CAP secure smart card reader to secure its internet banking application and electronic commerce. In the short term, Banka Koper will distribute several thousand Digipass 800 for EMV-CAP secure readers to its retail customers.

EMV is the leading standard chip protocol used by the world’s leading smart card companies, including MasterCard. Digipass 800 for EMV-CAP is offered as an authentication solution to worldwide financial institutions as a part of MasterCards’ “Chip Authentication Program” (CAP). Banka Koper is one of the first financial institutions in its region to offer its customers online banking services secured by Digipass 800 for EMV-CAP.

With over 5 million Digipass 800 and 820 units sold and delivered, VASCO is the global number one vendor of secure unconnected smart card readers to the financial sector. Its customers in the smart card reader sphere include some of Europe’s leading banks. VASCO’s Digipass 800 for EMV-CAP and 820 for EMV-CAP are EMV-CAP certified and piloted by a number of financial institutions, including Banka Koper.

“Banka Koper is a pioneer with regards to EMV-CAP deployments,” said Jan Valcke, VASCO’s President and COO. “We are honoured that Digipass 800 is a part of BANKA Koper’s project. As the world-leading vendor of secure smart card readers, we will put our experience and know-how at Banka Koper’s disposal. We believe that our joint efforts will result into a very successful EMV-CAP project for Banka Koper and other 7 banks, composing Activa card System.”

“Security, quality and user friendliness are of the utmost importance to Banka Koper. Our customers deserve the highest level of service,” said Gojmir Nabergoj, Smart Card Migration Manager of Banka Koper. “Current fraud schemes have made the use of cutting-edge security products indispensable in an e-banking and e-commerce environment. For that reason, we opted for VASCO’s Digipass 800.”

Fikret Ates, VP Product Management at MasterCard’s Chip Center of Excellence stated “We are delighted to be working with Banka Koper and with VASCO on this exciting OneSMART Authentication Deployment. This is exactly the type of initiative the CEE OneSMART Club was set up for to foster and we expect many more to come. ”

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 15 million Digipass products sold and delivered, VASCO has established itself as a world-leader for strong Identity Authentication with over 370 international financial institutions and approximately 1,700 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.

For more information contact:
Jochem Binst, +32 2 456 9810, [email protected]