Trading Update

Intercede Group PLC 27 March 2007 27 MARCH 2007 INTERCEDE GROUP PLC ('Intercede' or 'the Company') Trading Update for the Full Year to 31 March 2007 Following the announcement of a number of contract wins during the final quarter of 2006, Intercede has continued to work closely both with its partners and with major systems integrators and service providers on an increasing number of US Federal Government opportunities. These opportunities have arisen as a result of HSPD-12, a Presidential Directive which requires all US Federal Government employees and contractors to have a state-of-the-art smart card based identity card complying with a new standard of Personal Identity Verification. Most recently, we can report that Intercede's MyID technology has been selected though our partner network for the next phase of the Transportation Worker Identification Credential (TWIC) program. In parallel with HSPD-12, the TWIC program requires the issuance of a smart card containing biometric information to specified maritime workers at ports and vessels regulated by the US Transportation Security Administration and the US Coast Guard. This is a multi-year contract with more than 750,000 individuals forecast to require TWIC smart cards. In addition, we have also been informed that Intercede's MyID technology is to be adopted by two further major systems integrators in support of specific funded programs in the aerospace and defense sectors. The timelines for product procurement and delivery of the above programs have yet to be fully established. Thus, although Intercede's technology is rapidly gaining traction, the financial impact of all of these activities is not yet clear. In addition to the success Intercede is enjoying in relation to the US Federal Government market, the Group is also experiencing a growing interest in the use of its technology in other areas and territories, notable examples being the healthcare and financial markets. Following the progress made during the year, the Board expects revenue for the full year to 31 March 2007 to be no less than 20% higher than last year, which does not take into account the possible reporting of any late partner wins. The Group has also been cash generative since 30 September 2006. Intercede expects to announce its full year results for the year ended 31 March 2007 by the end of May/early June 2007. 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). Intercede'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, Oberthur Card Systems, RSA Security, SafeNet, Thales, VeriSign and a variety of systems integrators and other security product and service providers. Intercede and MyID are registered trademarks or trademarks in the UK, US and/or other countries. For more information visit http://www.intercede.com ENQUIRIES Intercede Group plc Tel. +44 (0)1455 558111 Richard Parris, Chairman & Chief Executive Andrew Walker, Finance Director Pelham Public Relations Archie Berens Tel. +44 (0)20 7743 6679 Kate Catchpole Tel. +44 (0)7803 033 43 This information is provided by RNS The company news service from the London Stock Exchange
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