The document summarizes the VP-II X biometric scanner which uses hand vascular pattern recognition to verify users. It can verify 99.98% of users in 0.4 seconds with an accuracy rate of 0.0001% FAR and 0.1% FRR. The scanner contains dual CPUs, memory, an LCD screen, keypad and integrated card reader. It provides access control and time/attendance functions over a network and can store up to 50,000 users and 500,000 events.

1. VP-II X Hand Vascular Pattern Recognition (HVPR) Presented by Ayal Vogel Executive Vice President of Global Sales Identica Holdings Corporation July 30, 2009 www.identicacorp.com

2. VP-II X Specification Overview VP-II X is a biometric scanner which verifies users individually unique vascular patterns extracted from the hypoderm below the surface of the skin of the back of the hand using an infra-red based sensor device. | Utilized Technology: HVPR (Hand Vascular Pattern Recognition) | Usability: 99.98% | Accuracy: FAR: 0.0001%, FRR: 0.1% | Verification Speed: 0.4 sec / person | Hardware Overview Dual CPUs (400MHz DSP, 180Mhz ARM Processor) 65K Color 2.8” TFT LCD / 16 Keys / IR Sensor / Speaker TCP/IP Ethernet, Wiegand In/Out, Serial ports, Digital I/O, USB 2.0 512MByte NAND Flash Memory (Up to 50,000 users and 500,000 logs) Built-in card reader module & antenna (125Khz Prox. card / 13.5Mhz Smart card)

3. Raw Image Extracted Vascular Pattern Hand vascular extracting processing flow Binary image Advantages of Hand Vascular Pattern Uniqueness - Even twins’ hands are different Stability - No changes over long period Excellent accuracy over long period Large scale features - High performance even with scars and contamination Advantages of VP-II X HCD (Human Criteria Decision) algorithm Vascular Pattern not visible – Eliminate spoofing Harsh environmental robustness User privacy protected Excellent user perception and convenience Vascular Biometrics Adaptive algorithm Noise removal algorithm

4. Advantages over finger scanners Better usability : 5% of adults can’t use finger scanners More robust to environment : Contamination, Humidity More secure against forgery : Spoofing, Copy of residuals Better accuracy Sensor cleaning not required : No physical contact to the sensor More robust to physical feature damage : Scars, wear No privacy concerns to the users Technology comparison Biometrics Technology Comparison Technology VP-II HVPR Fingerprint Hand Geometry IRIS Advantages/Disadvantages √ Non-contacting Sensor √ High Usability & Accuracy √ Non-Intrusive/User Privacy √ Small size applications X Low Usability X Difficulty in use with a physical damages like scars. √ High Usability X Low Accuracy (High FAR) X Hygienic problem by physical contact √ High Accuracy X Difficulty in use with small eyes like oriental users. X User inconvenient by eye positioning (intrusive)

5. Performance Usability Accuracy – FAR / FRR Enrollment / Verification Speed (throughput) Robust Poor environment - contamination / humidity Physical feature damages – scars / wear Ease of setup and maintenance User convenience User perception Hygiene problems Non-invasive Easy to use Integrated networking User Interface and management No privacy concerns General Factors in Choosing biometrics Useable for whole population (user group) It is known that more than 5% of the adult population cannot use fingerprint systems. This is mainly due to the absence or weakness of their fingerprints. About 2% of people do not have proper fingerprints, and many people who use their hands intensively for work generate a very weak signal to fingerprint scanners. The VP-II provides 99.98% usability, which means almost all of the general population can use the system without any problems. Does not leave a trace of residual features after use If a biometric system leaves residual features after physical contact, the features would be easily duplicated and/or forged. It is known that fraudulent fingerprints can be easily made by the residual fingerprint on the surface of the sensor. Be able to reject non-human features from enrollment Non-human features should not be allowed to be enrolled by a biometric, for it to be considered a true biometric system. VP-II recognizes non-human features at enrollment. Biometric systems should be: Biometrics Systems

6. VP-II X Functions | Basic functions Administration Test Mode – Factory set to allow an installer to setup the system initially Managers – Administrator, Enroll/Delete users, System setup Enrollment / Verification Users can be enrolled with a PIN, Proximity card or Smart card HID iCLASS, Mifare, DESFire, PIV, TWIC cards supported (Built-in card reader) Password or Bypass users can be assigned (Without verifying vascular patterns) Up to 50,000 users supported Up to 2 templates per user allowed, i.e., Right and Left hand Event & Logs Stores up to 500,000 access events and system logs Time and attendance 4 function keys – Programmable for attendance, leave, job transfer, etc Customized firmware to be provided for high-level time and attendance solutions Firmware field upgrade

7. VP-II X Functions | Networking TCP/IP network (10/100 Mbps Ethernet) DHCP or Static IP supported Each VP-II X stores all user information (timezone, access area, etc) in internal memory along with vascular data – Can fully function when network is not connected. IONcontrol-X (Server Application Software) Provides access control and time & attendance functions VP-II X can run with or without IONcontrol-X Database Management Master/Slave operation – All user data is automatically distributed by the Master VP-II X to all Slaves in the network Database backup and recovery function by network or by using USB memory port

8. VP-II X Functions | Access control functions Timezone and Access area control Up to 200 timezone/holiday tables Timezone and/or Access area control per users and/or units Relay output, Door status monitoring, Remote open, Exit button Automatic door release when a fire-alarm detected (Optional by a digital input port) Electric door lock controller VP-II XG (Optional) A separate controller (VP-II XG) to be installed at a secure place (inside the door) Serial communication between X and XG (Optional use of RS485)

9. VP-II X Functions | Access control functions Interface to an ACU (Access Control Unit) Up to 128bit Wiegand output to PACS Digital In/Out ports Clock & Data output (Optional) Interface to internal/external card readers (CR) Up to 128bit Wiegand input from an existing external card reader Clock & Data input for Magnetic card reader Optional built in Card Readers: 125 MHz Prox, Smart Card Readers including: iCLASS, Mifare, DESFire, PIV, TWIC Tamper-proof Security screw applied Tamper switch installed on the rear cover – Alarm and/or report to a server

10. VP-II X Functions | User interface Display and Keypad User friendly GUI with color TFT LCD Multi-language capability Programmable function keys, Keypad enable/disable function Backlight for keypad and LCD Other Adjustable sound/beep User detection with an IR sensor RTC (Real Time Clock), Time/Date synchronization with a time-server Logo replacement Customized logo offered upon business agreement

11. VP-II X/VP-II S Comparison | Improved Biometric Performance No light interference from 0 to 20,000 LUX, unlike limited range of other biometric modalities Widened hand viewing area – Extracts more vascular features Less sensitivity in positioning hand  Minimize user training effort  Lower FRR | Controller Built-in Scanner Card module & Antenna (125Khz/13.56Mhz) built-in HID MCM module for Proximity / OEM50 module for iCLASS GemProx module for Mifare, DESfire, TWIC and PIV Controller functions Internal database memory up to 50,000 users DB and 500,000 events/logs Direct network communications between VP-II X units and/or Server via TCP/IP Simplified configuration & Easier installation Enhanced Sensor Two templates per user Improved Algorithm

12. VP-II X/VP-II S Comparison (Cont.) | Upgraded functions External interface capability Extended PIN digits (From 8 to 24) Extended Wiegand in/out bits (From 48 to 128bit) Clock & Data interface added Strong time and attendance capability 2.8” color TFT LCD for interactive user interface Programmable 4 functions keys for time and attendance use Tamper-proof OEM Capability Customer logo can be applied Flexible firmware customization