The certification includes level 1, level 2 and CAST (Chip Assessment Security Testing) certification from MasterCard for use as a dual application card, supporting both MasterCard PayPass and Visa PayWave applications making it the first fully certified solution to support both MasterCard and Visa contactless applications on a single chip. ST, a semiconductor manufacturer and specialist in smart card microcontrollers for financial and transportation applications, will supply the contactless microcontroller and On Track Innovations Ltd, (OTI) , a provider of contactless microprocessor-based smart card solutions for homeland security, payments, petroleum payments and other applications will provide the operating system and application and the contactless card technology including the inlay technology. The solutions will be presented at OTIs booth #200 at the 17th annual CardTech/SecurTech show in the Moscone Center in San Francisco, May 15-17, 2007.

With the new product, card manufacturers can create single inventory to support both MasterCard and Visa contactless programs. Once an order is received, a card manufacturer can program the card to support either MasterCard or Visa programs.

The combined OTI and ST solution offers card manufacturers with the ability to:

  -- Optimize card manufacturers inventory management by supporting

     MasterCard and Visa on a single chip.

  -- Reduce time to market

  -- Improve cost structure

  -- Acquire a flexible and modular solution

  -- Deliver better economies of scale

OTI provides proprietary hardware and software to enable complete inlay and key life cycle and management solutions so that card vendors are able to perform application selections. OTIs inlay solution leverages unique intellectual property and design so that it can be seamlessly integrated into existing operations. OTI also offers quality assurance and quality control tools to ensure the best products are brought to the market. OTIs production facilities meet the most stringent quality and industry requirements. The facilities are MasterCard CQM certified and have a current capacity of 1.5 Million card units per week.

OTI and STMicroelectronics have already successfully delivered commercial quantities of card solutions to the US market and OTI has successfully integrated its inlay technology and products with leading U.S. card vendors and is providing key fob and other form factors to support MasterCards PayPass and Visas PayWave initiatives.

"With more than 20 years of smart card experience, in addition to a world- class manufacturing capability, ST is making dramatic progress in introducing the secure products the industry needs for leading-edge payment applications," said Andreas Raschmeier, Director of Smart Card Sales and Marketing. "These new products are optimized to offer the security, performance and features to suit important high-security banking programs."

"One solution supporting multiple applications on a single chip provides flexibility, all of that while providing a cost effective, reliable and secure way to implement contactless cards," said Oded Bashan, Chairman, President and CEO of OTI. "The combination of OTI and ST provides card issuers and manufacturers with a strong delivery channel, from financially solid, experienced providers."

The combined OTI and ST solution is based on the ST19WR02, an advanced silicon product, specially designed for contactless payment applications. The ST19WR02 has an optimized analog RF interface and dedicated security features, offering high data rates (424 Kbit/s) and fast transaction times.