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Marine Log

May 9, 2007

Savi to license e-Seal technology

Savi Technology, a Lockheed Martin Company [NYSE: LMT], has announced a "QuickStart" licensing program for its intellectual property (IP) now incorporated into ISO 18185, the new standard for electronic cargo seals (e-Seals). The licensing program includes a reduced licensing fee for orders received by June 30, 2007.

Savi Technology anticipates that licensing its IP for the tag-to-reader communication requirements in ISO 18185 will accelerate the worldwide use of e-Seals, improve interoperability among RFID networks, and drive greater affordability of basic e-Seals.

"Savi Technology's IP licensing programs are designed to energize market momentum around the deployment of active RFID e-Seals based on international standards for both government and commercial applications," said Bob Kramer, Savi Technology. "ISO 18185, combined with our licensing program, will ensure that a wide range of e-Seals from multiple vendors can communicate with multiple information networks that monitor and manage the location, security status and even condition of cargo containers transported throughout the global supply chain."

Approved in mid-April, the ISO 18185 standard addresses technical and application standards for e-Seals, which ISO describes as "non-reusable freight container seals" that "electronically evidence tampering or intrusion through the container doors."

The e-Seals are a class of active RFID devices that incorporate both a mechanical locking mechanism and an active RFID module to provide wireless alerting and location capabilities not currently possible with traditional bolt seals, which are easily breached.

Containerized cargo accounts for 90 percent of world trade, and some 200 million containers move through the world's ports each year. The SAFE Port Act of 2006 calls for the U.S. Department of Homeland Security to define the voluntary use of container security devices in accordance with international standards, specifically referencing ISO, to potentially achieve faster clearance through U.S. Customs and Border Protection.

Savi Technology has a separate licensing program for intellectual property used for non- e-seal products based on the ISO 18000-7 standard, with seven licensees to date

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