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ActivIdentity Lights Up Tobacco Group’s ID Assurance Strategy

London, UK, May 17, 2006 - Gallaher Group Plc, an international tobacco manufacturing and wholesale group headquartered in the UK, has today announced it is investing in ActivIdentity’s identity assurance technology to provide its employees and business partners secure access to its systems whether they are in its offices or out in the field.

The company has selected ActivIdentity reseller Sysec’s consulting services to roll out ActivIdentity’s Enterprise Access Card solution based on the integration of secure remote access, single sign-on and card management system combined with the use of smartcards and tokens to deliver a complete security solution. This will ensure that only users with authorized devices are able to access Gallaher’s data.

Gallaher will issue its remote employees with smartcards and integrated single sign-on technology to provide them access to key applications via a SSL (Secure Socket Layer) Virtual Private Network as well as the ability to encrypt emails. Business partners, such as field consultants looking at new tobacco plantations or sales people, also require access to certain information. They will use tokens, a more mobile client-less solution than smartcards, to access information on the Gallaher network, from any where in the world.

"Although we started off looking to replace only a rather antiquated dial-up system, we ended up thinking about a number of other problems and have embarked upon quite a shift in the company’s mobility strategy," said Blandine Marcelin, group chief technical architect at Gallaher.

"ActivIdentity and Sysec joined forces to provide a complete identity assurance solution, which is being rolled out gradually according to our requirements. It’s also scaleable, ensuring it can grow with our business."

"Gallaher is the perfect example of a company that looked at the bigger security picture, rather than looking at one problem in isolation," said Marc Hudavert, Vice-President & General Manager at ActivIdentity EMEA. "The resulting solution addresses the fact that passwords are no longer enough to protect sensitive data as well as the issue of quick and secure remote access."

The ActivIdentity Enterprise Access Card solution is being rolled out in phases at Gallaher’s data centre. When the project is complete, there will be over 2,500 remote users.

"The roll-out will affect a large proportion of Gallaher’s staff, who will benefit from a new system that is easy to use, brings efficiency benefits and allows them to access relevant information wherever and whenever they wish to," added Andy Bryars, business development manager at Sysec.

The ActivIdentity solution:

• ActivIdentity Card Management System (CMS) merges the issuance, support and administration of authentication devices, digital credentials and the associated user data into a single, intuitive, Web-based management interface. The Web-based architecture enables geographically-dispersed locations to easily and securely provide the same issuance, management and maintenance functions to appropriate people across the entire organization.
• ActivIdentity AAA Server is a strong, scalable authentication server offering full authentication, authorization and administration services that integrate into your existing network infrastructure. These services protect enterprise assets by ensuring and tracking user identity across a network accessed from anywhere. ActivIdentity AAA Server is RADIUS, TACACS+, and 802.1X compliant and enables deployment of two-factor authentication devices including tokens, soft tokens, USB keys and smart cards.
• SecureLogin Single Sign-On protects corporate information and boosts employee productivity by solving the problem of user identity proliferation in the organisation. It removes credential management from users by leveraging their network authentication to provide them automated access to information. It enforces proof of identity and strict credential management policy to ensure only authorized users access information, enhanced network security and compliance with regulatory legislation; while its automated credential management function improves employee productivity and drives down operational costs.

About Gallaher Group

Gallaher Group Plc, the international tobacco manufacturing and wholesale company with headquarters in the UK, has leading positions in Austria, Germany, Kazakhstan, Republic of Ireland, Russia, Sweden and the UK. Gallaher’s strategic brand portfolio encompasses Benson & Hedges, LD, Mayfair, Memphis, Ronson, Silk Cut, Sobranie, Sovereign, Hamlet and Old Holborn. The Group employs over 11,000 people, with manufacturing plants in Austria, Canary Islands, Kazakhstan, Poland, Romania, Russia, South Africa, Sweden, Ukraine and the UK. For further information, please visit www.gallaher-group.com.

About Sysec

Sysec offers a full range of IT security products and services to ensure that we are able to offer our clients protection and peace of mind for a safe and successful business. Our core aim is to provide our partners and clients niche IT security services and products. We provide comprehensive design, support and consultancy services addressing all aspects of IT Security. With a unique balance of specialist consultancy services and products we have the experience to execute security projects on time and within budget.

About ActivIdentity

ActivIdentity Corporation is a global leader in strong authentication and credential management, providing solutions to confidently establish a person's identity when interacting digitally. For more than two decades the company's experience has been leveraged by security-minded organizations in large-scale deployments such as the U.S. Department of Defense, Nissan, and Saudi Aramco. The company's customers have issued more than 100 million credentials, securing the holder's digital identity. ActivIdentity is headquartered in Silicon Valley, California. For more information, visit www.actividentity.com.

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ActivIdentity is a registered trademark in the United States and/or other countries. All other trademarks are the property of their respective owners in the United States and/or other countries.

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The statements in this press release that are not historical facts are forward-looking statements that involve risks and uncertainties. These risks and uncertainties include risks relating to our history of losses and need for revenue growth and cost containment, the integration of acquired business and technologies, the variability of our quarterly results, and other risks identified under the caption "Risk Factors" in our most recent Annual Report on Form 10-K, and in subsequent Quarterly Reports on Form 10-Q, which are filed with the United States Securities and Exchange Commission (SEC). There can be no assurance that we will achieve targeted levels of revenues for fiscal 2009 or that our strategic initiatives will result in the anticipated benefits. Copies of our SEC filings, which have more information about these and other risks, are available from the Company and on the SEC website at www.sec.gov. Actual results, events and performance may differ materially from our forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company disclaims any intention to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

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