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SCM Microsystems Supports the First Nationwide Retail Loyalty Program For Students

FREMONT, Calif., Sept. 23 /PRNewswire-FirstCall/ –SCM Microsystems, Inc. (Nasdaq: SCMM; Neuer Markt: SMY), a leading provider of

solutions that open the Digital World, today announced a $500,000 deal with
Student Marketing, Inc. to provide smart card terminals for the first
nationwide retail loyalty program for students. Student Marketing’s Crew Card
program allows college and high school students to receive 5-15% discounts
from participating U.S. retailers as well as earn reward points redeemable for
thousands of products available on the company’s Web site.

Student Marketing, under the name Student Crew, provides its members with
cards embedded with computer chips to use at local retail outlets on, or near,
school campuses throughout the U.S. These smart cards will then calculate
reward points and provide crew points from purchases made on merchandise.
SCM’s terminal technology will be supplied to retailers and independent
franchise partners, such as Dominos, Subway and U-Haul, to award, track and
redeem the loyalty points.

Student Crew anticipates 500,000 student members and over 27,000 retail
merchants to participate by the end of the 2002-2003 school year. Launched in
mid-August of this year, the Crew Card program will roll out through
December 2002 in five phases, beginning in southeastern US and moving west.

“The Crew Card is the first of its kind to offer rewards and incentives to
students across the US,” said Shawn Andreas, vice president of marketing at
Student Crew. “We chose the SCM terminals for our mass distribution standard
packages because we found that they are reliable and capable of storing
thousands of transactions, so merchants can easily track points earned and
monitor the success of the program.”

“Student Crew is leading the way for adoption of smart card loyalty
programs across the U.S.,” said Jason Schouw, vice president of PC Security
for SCM Microsystems. “In selecting SCM’s terminals, Student Crew has
confirmed that SCM is a leading provider of cost efficient and reliable
terminal solutions. We believe the popularity of this program will prove how
beneficial loyalty card programs are for vendors and consumers alike.”

SCM’s Student Crew terminal is designed specifically to enable and
leverage multifunctional smart card applications in a retail environment. The
programmable device can be connected through a modem to a telephone, through a
serial port to the cash register or PC, or can be used in standalone mode.
The terminal’s design facilitates rapid transactions for management of bonus
points awarded through merchant loyalty programs, as well as the downloading
of new applications and programs.

About Student Marketing

Student Marketing, Inc. is a privately held company that is classified as
a marketing/sales organization that targets the student demographic. This
focus entails an extensive network of hundreds of college and high school
campuses around the country. Based in Melbourne, Florida, the company has
over 300 representatives, the majority of which comprise the outside sales
forces stationed at regional offices around the nation. Student Marketing
promotes the membership and fundraising programs at selected campuses under
the name Student Crew. For more information, visit or
call 321-724-9971.

About SCM Microsystems

SCM Microsystems is a leading supplier of solutions that open the
Digital World by enabling people to conveniently access digital content and
services. SCM’s Security business provides smart card reader technology for
the PC platform and conditional access modules for the digital TV platform to
OEM customers in the government, financial, enterprise and broadcasting
markets worldwide. The Company’s Digital Media and Video business provides
hardware, software and silicon solutions for creating and sharing digital
media content to the worldwide retail market under the Dazzle(TM) brand.
Global headquarters are in Fremont, California, with European headquarters in
Ismaning, Germany. For additional information, visit the SCM Microsystems
website at

NOTE: All trade names are the property of their respective owners.

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