XTec to provide smart cards to DoS

Miami, Florida, January 2, 2003 -- BearingPoint, formerly known as KPMG Consulting, Inc., (NASDAQ: BE), one of the world's largest business consulting and systems integration firms, along with its team members, XTec, Incorporated, Oberthur Card Systems, Inc., and Datakey, Inc. has been awarded a contract to manufacture 16,000 SmartCards for the United States Department of State (DoS). This is the start of implementation of DoS's new Department-wide smart identification card. BearingPoint is the systems integrator and consulting firm that will manage the project. The smart cards will be a core element in a new identification card program that is expected to require between 20,000-30,000 thousand cards annually.

Under the contract, XTec will provide 10,000 Integrated Circuit Chip (ICC) Microprocessor SmartCards (with 32 kilobytes (KB) of EEPROM storage and a cryptographic processor) manufactured by Datakey Inc. for secure computer and network authentication applications as well as for physical access to buildings and facilities. These cards will be used in combination with XTec's SmartCard reader technology presently deployed throughout the DoS's buildings in Washington, D.C.

Oberthur Card Systems will manufacture 6,000 Mediametric© ICC cards for a pilot program at the DoS. Oberthur was selected by XTec, Incorporated, creator of the Mediametric© technology that will be used to secure information in the IC Chip.

The U.S. Department of State, Bureau of Diplomatic Security, Office of Domestic Operations (DS/CIS/DO) is seeking to enhance the security posture of DoS through the use of smart card technology for physical and logical access control. ICC Card technology provides a method to streamline the daily operations and needs of other Bureaus within DoS.

The DoS ICC Cards will combine elements such as the access control technology Wiegand Wire, biometrics, Public Key Infrastructure (PKI) for electronic verification (including digital signature and document encryption), and Biometrics. The cards will provide both positive identification and authentication for employees and others who require facility and computer/network access. The DoS ICC Cards will provide positive identification and authentication for employees and others that require facility and computer access.

The Datakey cryptographic ICC cards and Oberthur ICC memory cards, using Mediametric© technology, manufactured under this contract will meet or exceed the General Services Administration (GSA) Smart Access Common ID Interoperability specification (GSC-IS) Version 2.0 which ensures interoperability and further requires that smart cards be electronically validated as authentic.


XTec, Incorporated, is an independent developer, producer, and licensor of security solutions for a wide range of government and commercial uses. Headquartered in Miami, Florida, the Company's premier breakthrough technology, Mediametric© and Magnetic Fingerprint© technologies.

Mediametric© technology is a peerless, non-algorithm dependent technology founded on the premise that it will always be possible to measure a physical quantity more precisely than it can be duplicated. The Magnetic Fingerprint©, enables business and organizations in the public and private sectors to securely process, store, and manage proprietary information. Key areas of focus for XTec include electronic commerce, domain and key management, transaction and data processing, access control, communications, and information systems. XTec holds a number of patents related to electronic security.


BearingPointing, Inc. (Nasdaq: BE), based in McLean, Virginia, is one of the world's largest business consulting and systems integration firms with approximately US$2.9 billion in annual revenues for the fiscal year ended June 30, 2001. Around the world, over 9,000 employees provide business and technology strategy, systems design and architecture, applications implementation, network and systems integration, and related services. We help our clients capitalize on information technology to achieve their business objectives and build real-time enterprises. Working with market leading hardware and software companies we serve more than 2,500 clients, including Global 2000 companies, small and medium-sized businesses, government agencies and other organizations. Our business and technology solutions are tailored to meet the specific needs of the industries we serve, and are delivered through global industry-focused lines of business, including communications and content companies, consumer and industrial markets, financial services industries, high technology companies, and federal, state and local governments.

For more information about BearingPoint, visit our Web site at http://www.bearingpoint.com.


Oberthur Card Systems, listed on the Euronext Stock Exchange (Euroclear code 12413) since July 2000 is one of the world's leading providers of card-based solutions, software and applications including SIM and multi-application smart cards and services ranging from consulting to personalization.

Innovative products and high quality services ensure Oberthur's strong positioning in its three main target markets: payment systems (Oberthur is the world leader and number one supplier for Visa and MasterCard); mobile communications (including open and interoperable solutions based on Java™ technology; and authentication and network security.

Close to its customers, Oberthur Card Systems benefits from an industrial and commercial presence across all five continents. Oberthur Card Systems is a subsidiary of the François-Charles Oberthur Group. For more information, visit www.oberthurusa.com and www.oberthurcs.com.


Datakey Inc. (www.datakey.com) focuses on delivering smart card-based solutions that assure identity and protect the integrity and privacy of data shared over public and private networks. Datakey cryptographic smart cards, client software, desktop applications and card management products enable organizations to reliably identify users and open doors in both the physical and online worlds.

Customers and partners alike rely on Datakey technology in a full range of enterprise applications, including password management, host authentication, Windows log-on, VPN access, web authorization, desktop security, corporate badge and building access, biometric integration, public key encryption, digital certificates and digital signatures.