26.10.2006 – 10:12

SMARTRAC N.V.

SMARTRAC ePayment inlays obtain MasterCard CQM-Certification

- Certification acknowledges SMARTRAC’s commitment to quality, secure
production environment and capability of quick turnaround of high 
volume   orders - SMARTRAC established as market leader full range in
segment

  ots.CorporateNews transmitted by euro adhoc. The issuer is responsible for
  the content of this announcement.

Amsterdam, 26 October 2006. SMARTRAC, a leading supplier of inlays
for contactless credit cards (ePayment) today announced that its Pay
Pass inlays obtained a MasterCard CQM-Certification. SMARTRAC’s
facility, process and products have successfully completed
MasterCard’s Card Quality Management scheme (CQM) audit - a
corresponding CQM-Label has been granted to SMARTRAC’s PayPass
inlays.

"As a leading manufacturer of inlays for PayPass and VISA Wave,
SMARTRAC is committed to highest quality, secure production
environment and quick turnaround of high volume orders," said Manfred
Rietzler, CEO of SMARTRAC N.V. "In the same way  as SMARTRAC is
committed to quality, it is committed to security and capacity",
Rietzler added. With a capacity of over 12 million units per month,
SMARTRAC is the biggest manufacturer in the field of secure RFID
inlays.

SMARTRAC got actively involved into MasterCard’s Card Quality
Management scheme, CQM, in early 2005 in order to support the card
manufacturers in the rapid creation of new ePayment products at lower
cost. By simply entering SMARTRAC’s CQM-Code into the product matrix,
mandatory to all ePayment products, the card manufacturer can
identify the inlay and its compliance to MasterCard’s quality
requirements.

With the MasterCard CQM Certification and the VISA Card certification
as Chip Embedder, which was completed early this year, SMARTRAC is
able to offer the full range of RFID inlay products for the Secure
Payment industry and is the ideal manufacturing partner for the
rapidly growing market of contactless ePayment.

About SMARTRAC N.V.  SMARTRAC is a leading supplier of inlays for
contactless credit cards (ePayment) and passports with integrated
contactless chips (ePassports). The company, which was founded in
2000, is incorporated under Dutch law and has its head office in
Amsterdam. SMARTRAC has its main production and R&D centre in Bangkok
(Thailand), as well as sales offices in Stuttgart and Singapore.
Through an agreement with Xytec Solutions (Kulim, Malaysia), in which
SMARTRAC holds a 30% stake, the company has exclusive access to
proprietary manufacturing equipment. In two product segments -
Standard and High Security - SMARTRAC manufactures components for
RFID applications in public transport, access control and logistics,
as well as in the high-security applications of ePayment and
ePassports.

end of announcement                               euro adhoc 26.10.2006 10:11:00

Further inquiry note:

Max Hohenberg
Media Relations SMARTRAC N.V.
Tel: +49 711 6569 2616
Email: max.hohenberg@smartrac-group.com

Branche: Technology
ISIN: NL0000186633
WKN: A0JEHN
Börsen: Frankfurter Wertpapierbörse / official dealing/prime standard
Börse Berlin-Bremen / free trade
Baden-Württembergische Wertpapierbörse / free trade
Börse Düsseldorf / free trade
Bayerische Börse / free trade