NW_20050628_en_VASCO Strengthens Indirect Sales Network in Brazil by Signing Leading Distributor, CNT

June 28, 2005

OAKBROOK TERRACE, Illinois and BRUSSELS, Belgium – June 28, 2005 -VASCO Data Security (NASDAQ: VDSI: www.vasco.com), a global provider of enterprise-wide security products that support e-business and e-commerce, today announced that it has reinforced its indirect sales network by partnering with leading Brazilian distributor CNT (www.cntbrasil.com.br). CNT has been selected with the invaluable help of VASCO’s Brazilian partner, UserID (www.userid.com.br).

CNT will sell VASCO’s Digipass Pack consisting of Digipass tokens and VACMAN Middleware to its network of resellers. CNT already sells the products of VASCO’s solution partners Novell, Citrix and Watch Guard. VASCO’s Digipass acts as an add-on for these products.

“We are glad to add VASCO’s Digipass products to our portfolio,” says Ana Guimaraes, Marketing Manager of CNT. “Digipass is a proven security product, cost effective and very easy to use. We are convinced that VASCO will be successful in the Brazilian Corporate Network Access market.”

“We welcome CNT as a distributor for the Brazilian market,” said Jan Valcke, VASCO’s President and COO. “Brazil is of strategic importance for VASCO. Together with our high-level local partners, we’ll make Corporate Network Access in Brazil truly secure.”

To become a VASCO distributor, companies must meet a number of criteria. First, a distributor must have one or more products of VASCO’s solution partners (Citrix, Novell, F5 Networks, SonicWALL, Watch Guard, Juniper, etc.) in its portfolio. Secondly, VASCO distributors need to have thorough knowledge of the local market and of VASCO’s products by having their staff trained and certified by VASCO. Thirdly, they need to share with VASCO the business spirit and focus on quality.

To learn more about CNT, please visit: www.cntbrasil.com.br

About VASCO: VASCO designs, develops, markets and supports patented user authentication products for the financial world, remote access, e-business and e-commerce. VASCO’s user authentication software is delivered via its Digipass hardware and software security products. With over 15 million Digipass products sold and delivered, VASCO has established itself as a world-leader for strong User 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:
VASCO: Jochem Binst, +32 2 456 9810, [email protected]