Electronic Identification, Inc. (fka EISQ)

[Theo]

NEWS:
Electronic Identification, Inc. Readies For
Participation In The U.A.E. Identification Smart Card
Project

VANCOUVER, B.C.--(BUSINESS WIRE)--Aug. 23--Electronic Identification, Inc. (OTCBB:EISQ - news), developer of
Smart ID Card(TM) technology supported by a state-of-the-art Intranet framework, has been apprised that the selection of the
consultant for the ``United Arab Emirates Identification and Residency Card Program'' has been confirmed by the UAE
Ministry of Interior.

The selected consultant is scheduled to commence its duties on September 1st, 2000. It is anticipated that the consultant will
issue a formal announcement of the award on or shortly after that date.

With the selection of the consultant confirmed, EI2 will be working strenuously with its Smart Card Consortium team members
under the direction of ITC to secure pre-qualification status with the UAE Ministry of Interior.

EI2 Chairman and CEO, Terry Kirby, remarked, ``With the awarding of the consultancy contract by the United Arab Emirates'
Ministry of Interior for the UAE Identification and Residency Smart ID Card program, EI2 and its consortium can now
proceed to and make the required submissions toward obtaining and securing this prestigious contract.''

EI2's Smart ID Card system uses patented, proprietary compression technology to store high resolution enhanced imagery,
fingerprint and vital information on a chip embedded in a smart card, thus eliminating the need for a photograph on the face of
the card and the resultant potential for fraudulent use and forgery. Orientation of the Smart ID card would be facilitated at
Embassies, customs checkpoints and government departments as part of the EI2 Smart ID Card program.

EI2 (www.eisq.com) develops and markets electronic identification issuing and authentication systems. It also provides an
Intranet based framework for the issue of fraud and tamperproof ID cards via its flagship product line, the Electronic Personnel
Identification and Control Systems (e*PICS). e*PICS and Smart ID Card allow the rapid development of customer specific
applications that include the integration of legacy systems.

Forward-looking statements in this release are made pursuant to the ``safe harbor'' provisions of the Private Securities
Litigation Reform act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties
including, without limitation, continued acceptance of the company's products, competition, new products and technological
changes, intellectual property rights and other risks.

Contact:

David Crawford, Ardent Communications
tel. [phone] (toll free)
fax [phone]