RFID Tire Tags: Major European Tire Manufacturer Purchases Advanced ID Tire Products

Advanced ID Corporation, a leading developer of radio frequency identification ("RFID") technology for livestock tracking, pet recovery and supply chain applications focusing on the tire management industry, recently announced that its Pneu-Logic Ltd. subsidiary has sold nine tire maintenance systems to a leading European-based original equipment manufacture ("OEM") of tires for passenger and commercial vehicles. The sales are part of an international test being conducted by the OEM on truck tires in Germany, Italy, and the United Kingdom. In addition, Pneu-Logic has entered into Latin America through this test program with tire maintenance systems sales for use on commercial tires in Brazil. The European-based OEM also is a leading producer of commercial truck tires in Brazil.

The name of the OEM will be released upon successful completion of the three month trial toward the end of the first quarter of 2008, at which time a significant purchase order will be placed for a global launch of the product through the customer's entire truck tire operations.

As part of Advanced ID's comprehensive tire technology platform, the Company also announced today the sale of an initial quantity of RFID UHF tire tags and accompanying readers to the European OEM customer for testing and analysis by a research center designated by the OEM. The purpose of this research is to determine the optimal approach for including the RFID tire tags in the manufacturing process, such as which layer within the truck tire rubber wall to place the tag. Advanced ID's tire tag and readers are available and working in the super high performance arena of NASCAR racing, and, therefore, utilization with other vehicle tires is presently available and in limited use in various testing phases.

"While we are encouraged by the recent media attention focusing on the use of our RFID technology on passenger tires for safety purposes, there are separate but important circumstances driving interest in our tire technology for commercial tires," said Laren Yeomans, Managing Director of Pneu-Logic. "Our tire maintenance systems enable improved management of tire assets for end users and fleet managers. There is tremendous value in having accurate information on tread depth, operating pressure and temperature that, along with the visual condition of the tire, allows for significant improvement in maintenance that will have a dramatic effect on optimizing tire longevity and performance. Keeping tires on the road for a longer period of time and in optimal performance condition are essential for service continuity and profits for businesses that use commercial tires, particularly in countries such as Brazil which have poor road conditions or in Europe where fuel costs are high.

"In addition to Pneu-Logic tire maintenance tools, we also provide a state-of-the-art RFID solution to track and identify tires. This is of vital importance to tire owners and fleet managers as theft of bus, truck and off-the-road/earth mover tires is common in many markets around the world. Tracking of tires also enables us to document the entire life of the tire – from point of origin through service repairs.

The RFID technology solution from Advanced ID will enable market participants to inexpensively track tires for passenger safety precautions as well as provide for automotive industry administrative benefits. The tire tag solution from Advanced ID is based on proprietary RFID tag readers developed by the Company and RFID tag technology obtained through a licensing agreement with Michelin for its 915 MHz tire tag for the transportation industry. Advanced ID provides both the tire tag that is embedded in the tire during the tire curing (manufacturing) process and also the tire patch, which is cold vulcanized on the tire after manufacture or for replacement tires already in the field. Both applications provide a life-of-tire, unique ID for the tire which can be used for inventory purposes, tire maintenance with the Company's Pneu-Logic tire inspection tools division, theft prevention, and as a resource in tire recall situations.

About Pneu-Logic Corporation Ltd.
Pneu-Logic has become the world's leader in electronic data capture for the commercial tire industry. Pneu-Logic tools have been approved by major tire manufactures and are used by professional tire management companies worldwide. Pneu-Logic tools reduce the overall vehicle inspection process by up to 50%, improve customer satisfaction, reduce cost and complexity, and improve overall business efficiency. Additional information is available on the Internet at www.pneu-logic.co.uk. Pneu-Logic is a wholly owned subsidiary of Advanced ID Corporation.

About Advanced ID Corporation
Advanced ID Corporation is a complete solutions provider in the RFID market with a focus on the tire management industry. The company is also a major factor in the tire inspection business through its UK based Pneu-Logic subsidiary. The Company is active in the pet recovery business through its AVID Canada subsidiary in Calgary, Alberta, and has developed a UHF RFID reader product line through its Advanced ID Asia Engineering technical support and business development partner in Chiang Mai, Thailand.

SOURCE: Advanced ID Corporation