Department of Homeland Security Awards Blanket Purchase Agreement to XTec Incorporated for HSPD-12 Technology

RESTON, Va., February 20, 2008 --(BUSINESS WIRE)--XTec Incorporated has been awarded a Blanket Purchase Agreement (BPA) by the Department of Homeland Security for its HSPD-12 program. The contract is a significant step in the agency's plan for compliance with Homeland Security Presidential Directive-12 (HSPD-12), the mandate which requires all federal workers and contractors to use a standard biometric identification card for access to government buildings and resources. Core Team members for this contract include: Lockheed Martin, Mount Airey Group, Aquilent, and JRD & Associates.

XTec was able to capitalize on the standard of excellence that they set throughout the Federal Government in achieving HSPD-12 "End-to-End" compliant programs. Based on data compiled for OMB for the most recent quarterly report, XTec has issued 76% of all PIV II cards in the Federal Civilian Government space. By utilizing its proven COTS Solution, XTec is able to quickly deliver a compliant solution to both large and small agencies. Their modular approach to HSPD-12 compliance helps shorten the time it takes to enroll an entire organization.

"The XTec AuthentX™ solution we have in production in over 10 Federal Agencies is able to be implemented in a short period of time allowing DHS to meet its aggressive timeline for HSPD-12 integration," said Kevin Kozlowski, Vice President of Government Initiatives, XTec Incorporated. Albert Fernandez, President and CEO of XTec Incorporated, added, "Because of the practical lessons learned by being a leader in HSPD-12 Card issuance, XTec has been able to streamline the enrollment and card issuance process while maintaining the highest level of security."

Utilizing a unique modular approach, XTec's AuthentX product line helps decrease the time it takes to make an entire organization compliant. This includes the issuance of credentials as well as the immediate capability of implementing physical and logical access control by using PIV enabled cards with the NIST High Security profile.

While PIV Card Issuance is just the beginning of the HSPD-12 process, card utilization remains the end goal for the Federal Government. It is in this capacity where XTec excels in this industry. At the State Department alone, XTec currently has over 4,000 FIPS 201 HSPD-12 PIV II card readers in operation processing well over 100,000 access control transactions daily. Add to that, PIV II readers at GSA, US Navy, and other agencies and the XTec solution is handling over 1,000,000 transactions daily. "With our experience with production systems as opposed to test environments, XTec is able to repeatedly demonstrate a technically sound, complete solution including access control integration," said Tom Murphy, Director of Sales, XTec Incorporated. "We feel it's our responsiveness and knowledge of the standards that help set us apart from our competitors."

About XTec

XTec is a leader in secure, interoperable authentication and verification systems. XTec develops, produces, and licenses enterprise level security solutions for Credentialing, Access Control, Information Systems, and Electronic Commerce for a wide range of government and commercial uses. XTec's focus is on providing a secure foundation from which customers can build secure enterprise web-based applications and cryptographic systems. XTec has a long-standing relationship with the Department of Homeland Security (formerly the United States Secret Service or USSS) for document security using XTec equipment to assist in the forensic tracing of counterfeit cards. XTec is a recognized leader in both government and commercial circles for its expertise and products for credentialing, identity, secure payment, and access control.