LaserCard and Gemalto Sign Card Supply Agreement

LaserCard Corporation announced the execution of a Card Supply Agreement with Gemalto for the supply of chip-ready optical memory cards for issuance as Saudi Arabian National ID Cards.

The agreement, valued at approximately $6 million, marks the start of a new phase of the program where card issuance is expected to migrate from the regions of Saudi Arabia to a new centralized personalization facility in the Kingdom’s capital city, Riyadh. Gemalto previously supplied and installed the centralized card personalization system in Riyadh and is responsible for processing the optical cards to embed a Gemalto supplied contact chip.

“We are pleased to team with the world’s leading supplier of smart cards on this key Saudi national security program,” said Bob DeVincenzi, President and CEO of LaserCard Corporation. “The combination of LaserCard’s optical memory and Gemalto’s contact chip solution makes the Saudi card one of the most secure credentials in the world.”

The agreement calls for purchase order releases for shipments beginning immediately and continuing through December 2009. LaserCard anticipates combined deliveries this calendar year of $11.2 million of Saudi Arabian National ID Cards for this and a previously announced contract.