EISQ

Electronic Identification, Inc. (EI2) Joins Forces with CPI Card Group Inc. for the Smart Card Boom

VANCOUVER, British Columbia--(BUSINESS WIRE)--March 28, 2000-- Electronic Identification, Inc. (OTC BB: EISQ - news) today announced that a strategic alliance agreement between EI2 and CPI Card Group Inc. (``CPI'') and Smart Card Integrators Inc. (``SCI'') has been signed.

CPI is one of the world's largest leading card technology companies. Headquartered in Los Angeles, California, CPI Card Group has two major centers of competence: California Plasticard, Inc. in Los Angeles and Colorado Plasticard, Inc. in Littleton, Colorado. The facility in Los Angeles is focused on production of high quality non-secure magnetic stripe and smart cards. The Colorado center specializes in high quality magnetic stripe cards and is accredited with ISO 9002 and VISA/MasterCard certification. CPI is currently in the final stages of establishing an additional manufacturing facility in Latin America.

SCI focuses on developing secure smart card applications and is the world leader in smart card gaming systems. Company headquarters are in Los Angeles, with locations in Northern California and Nevada. Sharing the same facility in Los Angeles and being the firm of choice for smart card integration has resulted in a strong, symbiotic relationship with CPI.

This partnership brings together a team of industry leaders capable of providing end to end smart card solutions for electronic identification, access control systems and many other high security applications. ``Our partnership with EI2 is at the core of our strategy of providing complete solutions to specific markets. This team, together with other EI2 partners, is well positioned to provide smart card identification and security solutions from the concept phase to complete manufacturing and delivery on a worldwide basis,'' stated Antonio Accornero, CEO & President of CPI. ``Our 10 years of experience will help add a new level of smart card security to current and future EI2 technology and requirements,'' declared Francois Allal, President of SCI.

EI2 will work together with Smart Card Integrators Inc., CPI Card Group Inc. and other EI2 strategic partners to unveil a new generation of Smart Cards that will address the universal problems encountered with connectivity. The EI2 led initiative will bring together a group of industry leaders with a like mind to produce a solution that will become ubiquitous within a very short time frame. The companies will use the EI2 - Electronic Passport Access Control Systems (e*PACS) and the EI2 - Electronic Personnel Identification and Control Systems (e*PICS) as the platform for this new industry initiative.

``With a presence in North America, South America and Southeast Asia, CPI is in a position to service the EI2 clients globally,'' said Terry Kirby, Chairman & CEO of EI2. ``EI2, CPI and SCI will have a major effect on two technical areas currently lacking a single robust solution; the ability for flexible universal connectivity in the WAP (Wireless Application Protocol) arena and the ability to interface with various international government legacy systems.''

EI2 develops and markets electronic identification issuing and authentication systems. It also provides an Intranet based framework for the issue of fraud and tamperproof SMART ID cards via its flagship product line, the Electronic Personnel Identification and Control Systems (e*PICS). E*PICS allows for the rapid development of customer specific applications that include the integration of legacy systems.