/PRNewswire-FirstCall/–Gemplus, leading provider of smart card solutions and Sagem, leader in biometrics based identity applications, today announced the signing of a cooperation agreement with a view for both companies to jointly pursue development and activities in the field of biometrics and smart card technology for secure identity solutions. Sagem provides advanced biometrics technology and system integration technology and expertise, while Gemplus delivers smart card technology, as well as the related software and services required for identity programs. Smart card-based biometric recognition in the identity segment is expected to experience rapid growth in the future. This cooperation agreement will enable Gemplus and Sagem to benefit fully from the proven complementarities of each other’s technologies, and their combined know-how and experience in the field of secure identity projects. The cooperation derives from a recent joint national identity customer win in the Sultanate of Oman, where 1.5 million biometrics-enabled smart cards are to be issued to the local population by the end of 2003.

About Sagem

Groupe SAGEM is an internationally based high-technology group, and a leader among French groups in the field of telecommunications, among European groups in electronics for defence and security, and a world leader in fingerprint-based biometrics. SAGEM has operations in more than 20 countries.

For more information, please consult the SAGEM web site: http://www.sagem.com.

About Gemplus

GEMPLUS: the world’s leading provider of smart card solutions

Gemplus (Nasdaq: GEMP) helps its clients offer an exceptional range of portable, personalized solutions that bring security and convenience to people’s lives. These include mobile Internet access, inter-operable banking facilities, e-commerce and a wealth of other applications.

Gemplus is the only completely dedicated, truly global player in the Smart Card industry, with the largest R&D team, unrivalled experience, and an outstanding track record of technological innovation.

In 2001, Gemplus was the worldwide smart card leader in both revenues and total smart card shipments (source: Gartner-Dataquest and Frost & Sullivan). Gemplus was also awarded Frost & Sullivan’s 2002 Market Value Award for its exceptional performance.

Gemplus trades its shares on Euronext Paris S.A. First Market and on the NASDAQ Stock Market as GEMP in the form of ADSs. Its revenue in 2001 was 1 billion Euros. Gemplus: Beyond Smart http://www.gemplus.com.

Forward-Looking Information

The estimated results in this announcement constitute “forward-looking” information within the meaning of the United States securities laws. The matters discussed in this press release also involve risks and uncertainties described from time to time in Gemplus’s filings with the United States Securities and Exchange Commission (SEC). In particular, see “Risk Factors”, “Special Note Regarding Forward-Looking Statements” and “Quantitative and Qualitative Disclosures About Market Risks” in the most recent Annual Report on Form 20-F for the year ended December 31, 2001 and the most recent Reports on Form 6-K relating to quarterly periods, which are on file with the SEC. These documents contain and identify important factors that could cause the actual results to differ materially from those contained herein.

Gemplus and the Gemplus logo are trademarks and service marks of Gemplus and are registered in certain countries. Sagem and the Sagem logo are trademarks and service marks of Sagem and are registered in certain countries. All other trademarks and service marks, whether registered or not in specific countries, are the property of their respective owners. SOURCE Gemplus Web Site: http://www.gemplus.com.