Department of Defense Selects BearingPoint for Third Phase of Biometric Demonstrations

Department of Defense Selects BearingPoint for Third Phase of Biometric Demonstrations

BearingPoint to Develop Contactless Smart Card Technologies With Biometrics for Physical Access Environment

McLean, VA, January 28, 2003–BearingPoint, Inc., (NYSE:BE), one of the world’s largest business consulting and systems integration firms, announced today that it is the sole recipient of a $1.2 million contract by the Department of Defense (DoD) Biometrics Management Office (BMO) to develop technologies that could greatly enhance security at the Department’s facilities.

BearingPoint will work with the DoD Biometrics Fusion Center (BFC) located in North Central West Virginia to evaluate the potential use of “contactless” smart card and biometric technologies with the department’s Common Access Card (CAC) in a physical access environment. Contactless smart cards integrate a wireless antenna that eliminates the need for users to insert the cards in a card reader; instead, they can pass the card by a panel in close proximity. The contract is the third awarded in a series of three consecutive technology demonstrations conducted by the DoD to assess the value of biometrics integrated with the CAC. BearingPoint is the only prime vendor to be selected for all three contracts.

“This contract is very significant for the Department, as it takes a close look at futuristic technologies such as contactless smart cards and biometrics and how they can work together quickly and securely in a physical access environment,” said Mike Palmer, a managing director and project lead for BearingPoint. “Being selected once again to work on the biometric demonstrations speaks to our proven program management experience and the quality of our technical solution and capabilities.”

The Defense Department’s Common Access Card, or CAC, is a smart card with an embedded computer chip that is part of the DoD’s enterprise-wide effort to improve security at its installations worldwide. The CAC is intended to enable physical, authorized access to installations, buildings, and controlled spaces, as well as gain access to military computer networks and systems. The CAC is the standard identification card for all active-duty military personnel, Selected Reserve and National Guard, as well as the Department’s civilian employees and eligible contractors. Over one million cards have been issued to date, with distribution expected to exceed four million in the next year.

BearingPoint will develop and evaluate a variety of scenarios that will assist the government in selecting a contactless technology solution to be integrated with a biometric identifier on or with the CAC. Specifically, BearingPoint will develop four separate, interoperable solutions that satisfy the technical demonstration scenario requirements. These requirements include scenarios, which explore portable verification capabilities in a physical access environment using both contactless smart card and biometric technologies. The evaluation results are due to the department in 90 days.

BearingPoint was awarded two previous CAC biometric contracts in 2002 to demonstrate the integration of biometrics with CAC technologies. Under the first contract, BearingPoint explored the secure storage and matching of biometric templates by demonstrating that a biometric can be securely stored and/or matched on the server, the client, or the CAC. The second contract successfully demonstrated the use of a smart card paired with a biometric to replace a username and password to securely log on to applications such as the Microsoft Windows 2000 Active Directory Network and other secure web sites.

BearingPoint’s team members on this effort include SPYRUS, Inc., SAFLINK™ Corporation (OTC BB: SFLK), Precise Biometrics, XTec, NetVersant, and Datastrip. BearingPoint’s team will provide development, training, testing, and post-delivery support to the Department of Defense’s Biometric Working Group, Biometrics Management Office, and Biometrics Fusion Center.

About BearingPoint, Inc.

BearingPoint, Inc. (NYSE:BE), formerly KPMG Consulting, Inc., is one of the world’s largest business consulting, systems integration and managed services firms dedicated to aligning business processes and information systems to empower Global 2000 companies and government organizations to achieve their desired goals. BearingPoint’s global headquarters is in McLean, Virginia. For more information, visit the Company’s website at http://www.BearingPoint.com.

This press release may contain forward-looking statements relating to our operations that are based on our current expectations, estimates and projections. Words such as “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” and similar expressions are used to identify these forward-looking statements. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Forward-looking statements are based upon assumptions as to future events that may not prove to be accurate. Actual outcomes and results may differ materially from what is expressed or forecasted in these forward-looking statements. As a result, these statements speak only as of the date they were made and we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Our actual results may differ from the forward-looking statements for many reasons, including: the business decisions of our clients regarding the use of our services; the timing of projects and their termination; the availability of talented professionals to provide our services; the pace of technological change; the strength of our joint marketing relationships and the actions of our competitors. In addition, these statements could be affected by domestic and international economic and political conditions. For a more detailed discussion of these factors, see Exhibit 99.1 in our Form 10-Q for the quarter ended September 30, 2002.

Contact:

Angelique Rewers
BearingPoint, Inc.
angeliquerewers@bearingpoint.net
(703) 747-7436

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