New US Government Contract

Intercede Group PLC
16 November 2006

16 November 2006

                              INTERCEDE GROUP plc
                         ('Intercede' or 'the Company')


          US Government Department Selects Intercede's MyID Technology


Intercede, in collaboration with Cybertrust and other partners, has been
selected to deliver a solution to enable an executive US Government Department
to meet the deadlines for Personal Identity Verification (PIV), as specified in
Homeland Security Presidential Directive 12 (HSPD-12). The first fully compliant
PIV card using this solution was successful produced by the Agency on October
26, 2006.


The Department's decision to use Intercede's MyID technology in its HSPD-12
solution follows the similar selection by the US Environmental Protection
Agency, announced on 9 October 2006. Intercede is currently working with a
number of partners, including a large HSPD-12 service provider, for the
provision of additional PIV solutions to a range of other US Federal agencies.



'We are delighted to be teaming with acknowledged market leaders to deliver one
of the first, fully operational HSPD-12 deployments to a significant US Federal
Government Agency. Along with our partners, Intercede is committed to making
HSPD-12 a success across US Government,' said Richard Parris, Chairman & Chief
Executive of Intercede. He further added 'I was pleased to be in Washington last
week to celebrate with a number of Agencies who used Intercede's MyID technology
to meet their HSPD-12 deadlines'



'This is a perfect example of a federal agency that, by combining
government-approved products with leading solutions providers, has met its
compliance challenge head-on,' said Stijn Bijnens, senior vice president of
identity management, Cybertrust.  'We're pleased to work with partners like
Intercede on this project.'


About HSPD-12

HSPD-12 is one of the most important and high profile security directives of
recent years. It  required, firstly, the creation of an official federal
standard (FIPS-201) for Personal Identity Verification (PIV), which would
prescribe technologies and processes for the effective vetting and access
control of all federal employees and contractors. The second requirement of
HSPD-12 was for every US Federal Agency to have implemented a PIV solution by
October 27, 2006, with all employees and contractors required to have a personal
FIPS-201 compliant, smart card based, PIV identity card one year later. Each of
these cards will be issued and managed using a management system such as MyID.

All HSPD-12 solutions must by mandate only incorporate products that have been
exhaustively tested against by the US General Services Administration (GSA), and
included in the GSA's Approved Product List for PIV products. Intercede
announced on 4 October 2006 that it had become the first product in its category
to achieve this coveted status.

It is estimated that almost 8 million identity cards will be issued under this
programme.  Industry analysts Stanford Group estimate the total value of the
programme to be worth approximately US$1.3 billion.


About Intercede


Intercede Group plc is a leading developer and supplier of smart card and
identity management software listed on the London Stock Exchange (IGP LN)
(IGP.L). The Group's MyID software manages the secure registration, issuance and
lifecycle of digital identities for a wide range of uses. This requires the
integration of multiple technologies and products from many different vendors,
including smart cards, biometrics, digital certificates and Open Platform
applets.


Intercede works with a number of market leading OEM, re-seller and technology
partners that supply MyID technology including: Athena Smartcard Solutions,
Gemalto, RSA Security, SafeNet, Thales, VeriSign and a variety of systems
integrators and other security product and service providers. For more
information, visit www.intercede.com


Intercede and MyID are registered trademarks or trademarks in the UK, US and/or
other countries.


ENQUIRIES

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

Pelham Public Relations                             Tel.     [phone]
Archie Berens
Kate Catchpole                                      Tel:    + 44 (0)7803 033 431


                      This information is provided by RNS
            The company news service from the London Stock Exchange