For Immediate Release

NEW YORK CITY, January 11, 2001 -- VeriTouch Ltd. announced today the introduction of a revolutionary data encryption technology, reprise™, which features a 21,000 bit symmetric key that is locked through the user’s fingerprint or voice patterns.

Fully 125 times more powerful than the widely used Triple-DES standard, reprise™ integrates data protection and biometric security on a common platform. The reprise™ cryptographic engine is a significant scientific breakthrough, and raises the standard for symmetric key bit strength while providing dramatic speeds in processing.

The user’s self-generated reprise™ key is stored on a smart card running the Microsoft™ Windows™ for Smart Cards operating system, and may only be accessed through a biometric verification of the user’s fingerprint or voice. Once a successful verification sequence has occurred, the user may then encrypt or decrypt any file, from a few characters to an entire hard disk using their unique key, including graphical images, digital video, MP3, voice, and text files including electronic mail.

The 32 Kilobyte EEPROM Windows Powered Smart Card is used with VeriTouch’s vr-3 (U)™ USB Biometric Smart Card Reader, which contains a fingerprint sensor from Infineon Technologies AG and an integrated PCSC reader. By storing the user’s private encryption key on the Windows Powered Smart Card, it may be used as a portable token anywhere in the world to unlock encrypted data.

The user’s biometric data, including their voice pattern used with VeriTouch’s CipherVOX™ voice verification engine provided under license from Motorola, Inc., is stored securely within the card memory. Therefore, the user may unlock their unique reprise™ key by providing live fingerprint or voice scans to verify their identity.

“We are proud to offer this breakthrough encryption technology for securing Corporate Networks and e-Businesses to our customers worldwide,” stated VeriTouch’s CEO Gary E. Brant in an official release, “reprise™ offers for the first time an extremely powerful dynamic encryption tool that is tightly integrated with the best of breed in biometric readers and advances in smart card technology from Microsoft.”

”Windows Powered Smart Cards are a prime example of Microsoft’s commitment to enable secure computing for our customers,” said Mike Dusche, product manager for the smart card group at Microsoft Corporation, “We are excited to be working with VeriTouch to show how the Windows for Smart Cards operating system and reprise™ technology can push the security capabilities of smart cards to new heights.”

For further information, kindly contact:

Gary E. Brant, CEO

mobile: (917) 378-2525

email: gb@veritouch.com

Microsoft and Windows are Trademarks of Microsoft Corporation

CipherVOX is a Trademark of Motorola, Inc.