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LaserCard Corporation Announces Expansion of Middle East Project

Receives $2.3 Million Purchase Order

MOUNTAIN VIEW, Calif., Aug. 13 /PRNewswire-FirstCall/ -- LaserCard Corporation (Nasdaq: LCRD), a leading supplier of secure ID credentials used in biometric identification, today announced the expansion of the national ID card program for a Middle Eastern government.

A new centralized high-volume card issuance system which will personalize the smart chip, the optical memory and the eye-readable data of this state-of-the-art national ID card is being implemented by the prime contractor. LaserCard has received the $2.3 million purchase order for the supply of chip-ready optical memory cards, which include high resolution security printing and custom security features. Deliveries are scheduled to begin by September and continue through November 2007.

LaserCard has previously received orders totaling over $10 million in optical smart cards, personalization systems and services under a previously announced subcontract for the initial phase of this project, which saw the implementation of a number of distributed card issuance sites. The augmentation of this distributed infrastructure by the new centralized facility will greatly enhance the card issuing capacity of this important national ID program.

"We are proud that the government of this Middle Eastern country continues to rely on LaserCard for its expansion of this ID program critical to its national security," said Richard Haddock, President and CEO of LaserCard Corporation. "We are pleased to once again demonstrate our ability to deliver effective secure ID solutions around the world."

About LaserCard Corporation

LaserCard Corporation, a leader in secure ID solutions, manufacture

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