Precise Biometrics’ Fingerprint Algorithm Chosen by

Precise Biometrics AB (http://www.precisebiometrics.com/) and Fingerprint Cards AB (http://www.fingerprints.com/) (FPC) have entered into an agreement where FPC will license Precise Biometrics’ fingerprint algorithm to further enhance the performance of FPC world leading capacitive sensors. FPC will bundle the algorithm into existing sensor products, primarily targeting mobile phones and tablets. The bundle will further enhance the performance of FPC sensors in terms of accuracy and speed which are important criteria especially in the fast growing mobile and tablet markets. The integration of Precise Biometrics’ algorithm to FPC products is successfully completed and FPC will start offering the bundled product to its partners and OEM customers in Q3 2013. Johan Carlström, CEO of FPC said, “FPC selected Precise Biometrics as algorithm partner due to impressive performance of their algorithm in combination with our sensors. We strive to offer the best user experience possible for embedded sensors in mobile phones and tablets.  Driven by the largest mobile manufacturers in the world, several hundred million users are, in the next two years, expected to purchase smartphones and tablets with built-in fingerprint sensors. It is of paramount importance to ensure these users a smooth, convenient, and secure user experience, thus the selection of Precise Biometrics as partner in algorithms.”  “We are very pleased to work closely with Fingerprint Cards,” said Thomas Marschall, CEO of Precise Biometrics. “Our evaluation shows that Fingerprint Card’s sensors have outstanding performance, including image quality, power consumption and footprint. Their position as market leader in the mobile phone and tablet space and their many design wins are also impressive. Forecasts by leading analysts of +1.5 billion smartphones being sold already in 2015, as well as clear signs that major players currently are working to include fingerprint sensors in their upcoming products, boosts our positive view on the market in the coming years. We also expect that widespread deployment of fingerprint sensors will positively impact our opportunities within the Match-on-Card business.” Precise Biometrics AB (publ) may be required to disclose the information provided herein pursuant to the Securities Markets Act. The information was submitted for publication at 8:00 am on August 20, 2013. Point of contact Thomas Marschall, President and CEO, Precise Biometrics AB Tel. 46 46 31 11 10 or 46 734 35 11 10 E-mail thomas.marschall@precisebiometrics.com Patrik Norberg, CFO, Precise Biometrics AB Tel. 46 46 31 11 47 or 46 734 35 11 47 E-mail patrik.norberg@precisebiometrics.com Precise Biometrics is a market leading supplier of solutions for fingerprint recognition that guarantee the identity of people. With the highest level of competence in fingerprint biometrics, Precise Biometrics offers fast, precise and secure verification of a person's identity. This technology can be used for ID, company and bank cards, and for access to mobile solutions, computers and networks. Precise Biometrics delivers its solutions to companies and government agencies all over the world, and the Company's technology is licensed to almost 160 million users. For further information go to www.precisebiometrics.com