Re Agreement

ADVANCED SMARTCARD TECHNOLOGIES PLC SIGNIFICANT NEW MARKET CHANNEL 14 February 2007 Advanced Smartcard Technologies plc (RIC: SMRT/L, the "Company"), the Scottish based software group specialising in smartcard technology, through its wholly owned subsidiary Ecebs Ltd. ("Ecebs"), is delighted to announce that it has reached an agreement with Hitachi Ltd. ("Hitachi") for the use of the Company's core smartcard technology. Under the agreement, Hitachi, one of the world's largest suppliers of secure smartcards for banking and other applications, has taken a licence to incorporate the Company's MultefileTM technology into their chips that are loaded with the MULTOS high security operating system. This will be an added benefit to Hitachi's customers, as the addition of MultefileTM will greatly increase the utility of the Hitachi smartcard chip as far as application flexibility is concerned. David Braddock, Chief Executive of Advanced Smartcard Technologies commented: "We are most pleased and excited to have this co-operation with a global player of such standing. This is akin to putting MultefileTM on the shelves of a worldwide retail chain. This arrangement represents another strategic step in developing our channels to market. It creates a channel where users of Hitachi cards can easily procure and deploy Ecebs' core product, Multefile, thus gaining all the benefits of enhanced security and flexibility and consequently protecting their investment." Peter Jones, Business Manager of Systems Solutions Division, Hitachi Europe Ltd. stated: "We see the inclusion of Multefile in our secure MULTOS package smartcard offerings as a differentiator in winning new business in many different markets such as banking, retail, security and public sector. We are delighted to have an association with Ecebs and have access to their excellent technology." -ends- For further information contact: Advanced Smartcard Technologies plc 01355 813430 David Braddock, Managing Director Stephen Naylor, Finance Director SVS Securities plc 020 7638 5600 Ian Callaway Peter Manfield ARM Corporate Finance Limited 020 7512 0191 Nick Harriss NOTES TO EDITORS About Advanced Smartcard Technologies plc Advanced Smartcard Technologies plc, through its wholly owned subsidiary Ecebs Limited, is a profit making, software company operating in the dynamic and expanding smartcard arena. SMRT listed on AIM in December 2005. The Company provides smartcard technology to a wide range of user markets including transport, ID, healthcare, finance and local and national government departments and blue-chip companies. Additional Information Multefile™ enables smartcard issuers to add, delete, amend or modify applications even after the smartcard has been delivered to the user. This means that smartcards issued for any initial purpose on a mass basis can be individually reprogrammed after issue to tailor its needs to the person using the card. In this way niche requirements can be provided by Multefile™ smartcards where previously they may have been economically unviable with traditional smartcard technology. Moreover, Multefile™ can be managed and operated by individuals without detailed smartcard programming expertise. Multefile™ licence holders are able to simultaneously update the front office components of their smartcard system - smartcards, and terminals and so are in direct control of their own smartcard schemes. MULTOS is the world's highest security, open standard smartcard platform. It allows card issuers and application providers to share space on a single chip platform. A range of applications ranging from payment, authentication, digital identity, biometrics, loyalty, and contactless ticketing may securely reside on a MULTOS powered chip. More than 50 million MULTOS smartcards have been issued in more than 30 countries, in projects ranging from banking, national identity, campus security, secure ID and transit. About Hitachi Ltd Hitachi Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 356,000 employees worldwide. Fiscal 2005 (ended March 31, 2006) consolidated sales totalled 9,464 billion yen ($80.9 billion). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials and financial services. For more information on Hitachi, visit http://www.hitachi.com. About Hitachi Europe Ltd Hitachi Europe Ltd., is a wholly owned subsidiary of Hitachi, Ltd., Japan. Headquartered in Maidenhead, UK, it has operations in 15 countries and employs 500 people across Europe, the Middle East and Africa. As a 'Best Solutions Partner' Hitachi Europe tailors its services and solutions to meet the specific needs of its customers. Hitachi Europe comprises ten key business areas: power and industrial systems; rail; industrial components & equipment; information systems; digital media; display products; air-conditioning and refrigeration systems; procurement and sourcing; corporate technology group (research & development) and the Hitachi Design Centre. For more information about Hitachi Europe Ltd., visit http://www.hitachi-eu.com.
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