Letter of Intent Signed

Intercede Group PLC
29 April 2003


                       Intercede Group plc ('Intercede')


                            Letter of intent signed


THALES e-Security and Intercede announce a collaboration to introduce a Secure
Authentication and ID Management system for financial transactions. This
collaboration will provide the ability to combine multiple levels of
authentication, privileges, and identities through a single middleware product
using Intercede's edeficeTM identity management product and the Thales
AssureTransactionTM advanced authentication server.


Visitors to the Infosec Show in London will be able to see a demonstration of
the integrated product suite on the THALES booth. The integration will
demonstrate the use of the Thales Watchword token, a Watchword smart card with
connected and unconnected readers, and various PKI certificates and Trust
environments, all of which are issued and managed by Intercede's edefice system.


THALES will sell the resulting integrated offering as a THALES product
displaying an 'edefice enabled' logo. Prime commercial prospects will be from
the Transaction Authentication market in Europe, Asia and the Americas.
Intercede will have reciprocal rights to sell THALES enabled edefice via its
international distribution network. The full commercial basis of this
relationship is subject to ongoing negotiation and market testing.


Intercede, Chief Executive, Richard Parris, said, 'We are delighted to have the
opportunity to extend the interoperability of the edefice identity management
system to include support for the THALES range of e-Security products. As a
leading provider of transaction security products, THALES provides Intercede
with a number of exciting new channels to market'.


THALES e-Security Managing Director, Phil Naybour, said, 'THALES Transaction
Security products are the core components of our global offering for end-to-end
security to major financial institutions. Edefice completes this core platform
by adding comprehensive identity management capability to the THALES range of
security devices and advanced authentication server.'

ENQUIRIES:
Intercede Group plc                                        Tel. [phone]
Richard Parris, Chairman & Chief Executive
Andrew Walker, Finance Director



About Intercede


Intercede Group plc is a leading developer and supplier of digital identity
management software and is listed on the London Stock Exchange (IGP LN) (IGP.L).
Intercede's edeficeTM provides OEM partners, service providers and end-user
organizations with the tools required to quickly deploy, maintain and manage
smart cards, hardware and software tokens, biometrics, Public Key Infrastructure
(PKI) technology, applets and other digital credentials. Intercede's customers
cover a range of industries and include ActivCard, AIB, Bank of Ireland,
Barclays Bank, Colt Telecommunications, Datakey, Dexia Bank, Fujitsu Services,
Lloyds TSB, the NHS and a number of US Federal Government agencies.


For more information, visit Intercede's home page at http://
www.intercedegroup.com/ or call [phone].


About Thales and Thales e-Security


Thales is a world leader and front-runner in professional electronics in three
key markets: Aerospace, Defense and Information Technology & Services (IT & S).
The Group employs 60,000 people in nearly 50 countries worldwide, and generated
revenues of over €11 billion in 2002.

Operating in three main markets covering e-security, card payment and network
security, Thales e-Security addresses the business, government and finance
industry's need for cryptographic security products and solutions. Over half of
the world's banks, together with the majority of the busiest exchanges,
currently use Thales technology. For more than 20 years the company has been at
the forefront of security and payment technology, co-operating and contributing
to set the industry standards used for financial transactions and e-commerce
globally. Thales e-Security offers a wide range of security solutions to protect
Government and Defense critical information infrastructures, thereby positioning
the company as a leading worldwide supplier of certified network security
products. Visit Thales e-Security on the Web.

About Thales in Security


Thales, one of the globe's leading suppliers of integrated security solutions,
addresses the business security needs of corporations and governments alike,
protecting transactions, networks, identification documents and sensitive sites.
Thales' security capability extends to security and payment technology for
financial transactions, networks and e-commerce. An acknowledged expert in smart
card technology and applications, Thales is a European leader in security
critical electronic payments, integrated Electronic Fund Transfer (EFT), e-purse
payment and secured keyboards, as well as being the UK's leading supplier of
electronic card payment terminals.






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