Tel Aviv, Israel - 29 November 2005 - The PowerID Division of Power Paper, a leading provider of next-generation printable microelectronic devices and thin and flexible batteries, announced today an alliance with LogicaCMG, a major international force in IT services and wireless telecoms. The companies will initially focus on the aerospace, automotive and logistics markets to deliver RFID solutions that offer customers industry-leading performance.

The companies have integrated PowerID hardware into LogicaCMG's back-end software. PowerID battery-assisted labels provide high reliability reading even in the presence of metal, liquids, foils and in environments that render passive label solutions much less reliable. Combined with LogicaCMG's fully integrated RFID-SAP solution, the system enables wireless tracking at very high levels of performance, but without the high level price of active tag solutions.

Paul Stam de Jonge, Group Director RFID Solutions, LogicaCMG said: "We have a proven RFID solution that we know can improve the performance and capabilities of businesses in those sectors such as the aerospace industry that has a need for RFID but so far has been disappointed by the performance offered. By linking our knowledge and solutions to Power ID's hardware we have a compelling proposition for these vertical markets."

Hagai Ram, Vice President, PowerID Division of Power Paper said: "LogicaCMG's customer base includes numerous companies that could utilise the PowerID solution. Together, we are well positioned to serve these customers and markets that passive tags can not adequately address."
As part of the agreement, LogicaCMG will demonstrate PowerID hardware at its RFID demonstration facilities in Rotterdam.

About LogicaCMG

LogicaCMG is a major international force in IT services and wireless telecoms. It provides management and IT consultancy, systems integration and outsourcing services to clients across diverse markets including telecoms, financial services, energy and utilities, industry, distribution and transport and the public sector. The company employs around 21,000 staff in offices across 35 countries and has more than 40 years of experience in IT services. Headquartered in Europe, LogicaCMG is listed on both the London and Amsterdam stock exchanges (LSE: LOG; Euronext: LOG).