SATO America Positioned to Help Customers Integrate RFID/EPC Solutions

CHARLOTTE, NC - November 17, 2003 - SATO America, Inc., a leader in barcode printing since introducing the first thermal transfer barcode printer in 1979, announced support for the Uniform Code Council's (UCC) Electronic Product Code (EPC) initiatives. With the accelerated attention focused on RFID (radio frequency identification) technology
and the recent DoD initiative and Wal-Mart mandate, requiring their Top 100 suppliers to embed RFID tags at the case and pallet level by 2005. SATO is well positioned to support their customers' RFID requirements.

Many of Wal-Mart's Top 100 suppliers are also longstanding SATO customers who will look to SATO to help satisfy their RFID printing needs. With the previously announced availability of SATO's RFID Kit for SATO CL408e and CL412e printers and the partnership agreement with CCL Label Inc. to be a manufacturer of RFID tags and labels for SATO and
resell SATO RFID-enabled printers, SATO is demonstrating its continued commitment to provide reliable and innovative products today and in the future.

"RFID is now attracting tremendous attention as manufacturers and retailers alike require improved visibility and tracking throughout the supply chain, commented Bob Karr, VP of marketing at SATO America. "We recognized the incredible benefits of barcodes back in 1979 when SATO
introduced the world's first thermal transfer barcode printer and we're positioning our resources and expertise to be a leader in the RFID arena, too."

In addition to carton and pallet tagging, SATO's RFID Kit offers a convenient and inexpensive way to produce labels and tags with RFID capability for a wide variety of new applications including:

* Asset Tracking
* Anti-Theft
* Factory Automation
* Process Control
* Industrial ID
* Healthcare
* Baggage Tags

Utilizing high frequency chips embedded in the labels, the SATO RFID Kit enables the CL408e and CL412e printers to print on the label and program the chip inside the label simultaneously. The SATO RFID Kit allows these "smart labels" to be read even if the label is not in the line of
vision of the reader that enables the labels to be read even through packaging. Additionally, the information encoded in the label or tag can be changed during its lifetime, which avoids removing and re-labelling items.

The SATO RFID Kit consists of an interface card and transmitter module and currently works with chips that operate at high frequency (in the 13.56 MHz range). Compatible products include TagIt® from Texas
Instruments and I-Code® from Philips. SATO is also currently demonstrating working units that are capable of using the UHF frequencies that EPC Global and Wal-Mart are considering for use in their standards.
SATO America offers innovative printing products that are convenient, reliable, cost-effective and easy to use, enabling users to recognize new ways to track their products and assets.

SATO America is one of SATO Corporation’s Group Member Companies and is supported by Barcode SATO International, an overseas sales headquarters.

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About Barcode SATO International (BSI)

Barcode SATO International (BSI), the global sales headquarters of SATO Corporation, is a world leader of automatic identification products including barcode printers. BSI was incorporated in 2001 to oversee and support sales, marketing and customer service activities at all group member companies. As part of its expansion plans, BSI is rapidly strengthening its own team, as well as that of its overseas group member companies. BSI is the driving force behind SATO Corporation’s global branding strategy and expansion into new markets and territories.


About SATO

SATO is a pioneer in the Automatic Identification and Data Collection (AIDC) industry, and the inventor of the world’s first electronic thermal transfer barcode printer. It revolutionised the barcoding industry by introducing the Data Collection System (DCS) and Labelling concept – a total barcode and labelling solutions approach providing high quality barcode printers, scanners/hand held terminals, label design software and consumables. SATO is a public listed company in Japan and has worldwide offices in United States, Germany, United Kingdom, Poland, Belgium, Singapore, Malaysia, Thailand and China. SATO reported revenues of US$445 million in 2002. SATO stock is traded on first section of Tokyo Stock Exchange. More information can be found at www.sato.co.jp.