Techmag

Generation of dynamic passwords ensures secure access to the distributor’s workstations, LAN and corporate database

OAKBROOK TERRACE, Illinois and ZURICH, Switzerland – February 27, 2012 - VASCO Data Security International, Inc. (Nasdaq: VDSI) (www.vasco.com), a leading software security company specializing in authentication products announces today that TechMag (www.techmag.com.br), distributor of VASCO’s solutions in Brazil has rolled out VASCO’sDIGIPASS technology to secure its infrastructure. To protect access to its local network and also to its database through strong authentication, TechMag chose to merge the use of two products of VASCO’s extensive product line: DIGIPASS GO 3 and DIGIPASS for Mobile 3.0, VASCO’s authentication solution for mobile platforms.

"Our commercial department employees use these devices to log on to Windows from their workstations, to access our local network, our VPN (virtual private network) and the business-critical information available in our database. The implementation of DIGIPASS into our corporate environment added an additional security layer by replacing fragile static passwords with dynamic one-time passwords (OTPs), "explains Daniela Gianconi, director of TechMag.

DIGIPASS GO 3 generates a single-use secure password at the touch of a button. For each new operation, the device generates a new password, preventing its interception by fraudsters and increasing the system security exponentially.

DIGIPASS for Mobile 3.0 is a software solution that delivers strong authentication using a mobile device. The technology leverages existing mobile platforms and eliminates the need of using additional hardware or software by end-users. It is independent of chip and is installed directly on the phone, eliminating the limitations of telephone provider coverage.

The deployment process, which went smoothly and was conducted in just one afternoon, avoided investments in end-user training. "The Brazilian corporate market is still not fully aware of the need to protect and control access to internal data. Proof is the widespread use of static passwords which are much more vulnerable and feed the growing number of attacks and information theft within organizations, "says Daniela Gianconi.

According to the Center of Studies, Response and Treatment of Security Incidents in Brazil (CERT.br), notifications related to fraud attempts in 2011 showed an increase of 3% over the second quarter and an increase of 35% compared the same period in 2010. Since then attacks on web servers grew 85% over the previous quarter and more than doubled over the same period last year.

Besides ensuring that its corporate network and its database can be accessed only by authorized persons, the director of TechMag mentions another benefit provided by the solution: it can be expanded in modular fashion and grows with the company's needs. "We currently have a universe of 15 users, but this quarter we will expand the use of authentication devices also to our management system (ERP) and DIGIPASS will be then used by all our employees," concludes Daniel Gianconi.

“We are very pleased that one of our leading distributors in Brazil has incorporated VASCO’s authentication technology to secure access to its corporate network, VPN and workstations”, said Jan Valcke, President and COO of VASCO Data Security. “It is a vote of confidence that VASCO offers best-of-breed authentication solutions for network and data protection.”

TechMag is specialized in selling security solutions, biometrics, data capture and auto attendant. With an integrated network of more than 220 dealers and 1,200 software houses throughout Brazil, the distributor has among its clients companies such as Bancob, BonusCred, Etna, Fleury Laboratories, Grupo Algar, GV, intermediate, Porto Seguro, Orizon, Tecban, Unimed, Unibanco and Vivara.

VASCO is a leading supplier of strong authentication and e-signature solutions and services specializing in Internet Security applications and transactions. VASCO has positioned itself as global software company for Internet Security serving a customer base of approximately 10,000 companies in more than 100 countries, including approximately 1,700 international financial institutions. VASCO’s prime markets are the financial sector, enterprise security, e-commerce and e-government.

Forward Looking Statements:

Statements made in this news release that relate to future plans, events or performances are forward-looking statements. These forward-looking statements (1) are identified by use of terms and phrases such as "expect", "believe", "will", "anticipate", "emerging", "intend", "plan", "could", "may", "estimate", "should", "objective" and "goal", "possible", "potential", and similar words and expressions, but such words and phrases are not the exclusive means of identifying them, and (2) are subject to risks and uncertainties and represent our present expectations or beliefs concerning future events. VASCO cautions that the forward-looking statements are qualified by important factors that could cause actual results to differ materially from those in the forward-looking statements. These risks, uncertainties and other factors have been described in greater detail in the Annual Report on Form 10-K for the fiscal year ended December 31, 2010 filed with the Securities and Exchange Commission and include, but are not limited to, (a) risks of general market conditions, including currency fluctuations and the uncertainties in world economic and financial markets, (b) risks inherent to the computer and network security industry, including rapidly changing technology, evolving industry standards, increasing numbers of patent infringement claims, changes in customer requirements, price competitive bidding, and changing government regulations, and (c) risks specific to VASCO, including, demand for our products and services, competition from more established firms and others, pressures on price levels and our historical dependence on relatively few products, certain suppliers and certain key customers. Reference is made to VASCO's public filings with the U.S. Securities and Exchange Commission for further information regarding VASCO and its operations.

This document may contain trademarks of VASCO Data Security International, Inc. and its subsidiaries, including VASCO, the VASCO "V" design, DIGIPASS, VACMAN, aXsGUARD and IDENTIKEY.

For more information contact: Jochem Binst , +32 2 609 97 00, [email protected]