Wednesday June 7, 9:24 am Eastern Time
Company Press Release
Leapfrog Smart Products, Inc. Announces Association With Electronic Data Systems - EDS - Results In Award Of Major GSA Contract
Smart Access Common ID Contract Valued In Excess of $1.5 Billion Over 10 Years
ORLANDO, Fla.--(BUSINESS WIRE)--June 7, 2000-- Leapfrog Smart Products, Inc. (OTCBB:FROG - news), a recognized leader and innovator of Smart card and biometric applications and hardware solutions, today announced that it will serve as the Smart card biometric and hardware provider to Electronic Data Systems Corporation (NYSE:EDS - news), a global leader in providing e-business and information technology services, for the $1.5 billion Smart Access Common ID Contract recently awarded to EDS by the General Service Administration (GSA).
EDS was one of five prime contractors named in the Smart Access Common ID Contract, which is valued over $1.5 billion over the next ten years. The award has been classified ``indefinite deliver, indefinite quantity'' (IDIQ) by the GSA. Specifically, Leapfrog will provide the interoperable, multi-application software and hardware that will feature identification and authentication, physical and logical access control, and other value-added features. Full scale implementation of the proposed Smart Access Common ID program is expected to reduce cost and improve government productivity.
``This contract is a major step in transforming the government into E-government,'' said Al Edmonds, Vice President of EDS' Government Global Industry Group.
In addition, the Company reported that Lockheed Martin Corporation (NYSE:LMT - news) has been selected to serve as one of the team subcontractors to Leapfrog Smart Products in support of the GSA contract. With more than $18 billion of its $25.5 billion in sales made to the U.S. government in 1999, Lockheed Martin is distinguished as a recognized leader in Federal government systems integration.
Randolph Tucker, CEO of Leapfrog Smart Products, noted, ``Our alliance with EDS, and the awarding of this enormous government contract, marks a major milestone for Leapfrog. It truly demonstrates how promoting cooperation between large and small businesses can optimally suit the needs of the Federal government and create a win-win-win for everyone involved. Leapfrog has and remains steadfastly committed to the development of the Smart card industry; we are intent on leveraging our proprietary technology to promote rapid acceptance of Smart cards, their powerful capabilities and their ensuing benefits.''
``Smart cards will greatly enhance the security of government facilities and systems on a worldwide basis and have the potential of providing millions of Federal employees with a Smart card. They will use chip card technology and support many important applications, such as electronic signature, training certification and e-commerce,'' said Sandra N. Bates, Commissioner of GSA's Federal Technology Services.
Analysts predict that there will be one billion Smart cards in use in North America by 2005 and over 20 billion in circulation worldwide. This GSA contract represents the first significant use of Smart card technology that the Federal government has adopted and implemented using a large scale Smart card application. It is expected that State and local governments will soon follow with the application of Smart card technology as an electronic solution for managing driver's license registration, voter registration, tracking of government entitlements and the recording of medical benefits such as Medicare and Medicaid.
About Leapfrog Smart Products, Inc.
Leapfrog Smart Products, Inc. is a world class leader in Smart card software development, biometrics and system solution integration. Located in Maitland, Florida, Leapfrog is dedicated to creating wide sweeping applications for Smart cards. Smart cards are credit card-sized pieces of plastic with a computer microprocessor embedded within. Current applications of Smart card software include personal identification, e-purse transactions, loyalty point storage, physical and logical access, as well as portable storage of medical records. Leapfrog, through its General Services Administration (GSA) master contract, is also certified as a contractor with the United States Federal government. Leapfrog Smart Products, Inc. is publicly traded on the Over-the-Counter Bulletin Board under the symbol ``FROG''.
The Private Securities Litigation Reform Act of 1995 provides a ``safe-harbor'' for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made by or to be made by the company) contains statements that are forward-looking, such as statements relating to plans for future expansion. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future; and accordingly, such results may differ from those expressed in any forward-looking statement made by or on behalf of the company. For more information, review the company's filings with the Securities and Exchange Commission.
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Contact:
Leapfrog Smart Products, Inc., Maitland, Fla.
Dale Grogan, 407/838-0400
Email: daleg@leapfrog-smart.com
or
Continental Capital & Equity Corporation, Longwood, Fla.
Broker/Institutional Relations:
Larry Clark
Email: lclark@insidewallstreet.com
or
Investor Relations:
Jim Blackman
Email: jblackman@insidewallstreet.com
Telephone: 407/682-2001
Fax: 407/682-2544
or
Brennan, Dyer and Co., LLC
Investment Banking:
Jim Brennan, 423/265-5062 |
