LaserCard Corporation Announces the Retirement of CEO Richard Haddock; Bernard C. Bailey to Assume Role as Chairman of the Board of Directors

LaserCard Corporation (NASDAQ:LCRD), a leader in highly secure multi-biometric ID cards, today announced a series of organizational changes, including the planned retirement of CEO Richard Haddock effective March 31, 2008. Additionally, effective immediately, director Bernard C. Bailey will assume the position of Chairman of the Board of Directors. In this capacity, Mr. Bailey will play a more active role in certain operational activities of the company in order to effect a smooth transition as Mr. Haddock approaches his retirement. Current Chairman Don Mattson will step into the newly created role of Vice-Chairman, and the Company will begin a formal search for a replacement CEO. Mr. Haddock, age 56, has been with LaserCard Corporation for over 26 years, serving the corporation in numerous executive positions, culminating in his role as the Chief Executive Officer for the past three years. Pursuant to a Planned Retirement Agreement described in more detail in our concurrent Form 8-K filing, Mr. Haddock will continue to serve as CEO until March 31, 2008, after which he will consult for the Company during the remainder of calendar 2008 and receive certain severance benefits. During his career at LaserCard, Mr. Haddock has played a key leadership role in the creation and development of the core optical memory card business, beginning with the responsibility for the design and development of the optical card manufacturing operations, followed by the development of the related hardware systems and software solutions, and implementation of the sales and marketing organization. The Company’s original secure ID credentialing product line started with the flagship US Green Card in 1997, and has been augmented with more than ten other US and foreign government programs to date, many of which involve hybrid cards, combining optical memory with smart and RFID chips and holograms. "I have enjoyed working with the company throughout the history of the optical memory card business, taking it from concept to production, into the marketplace, and finally overseeing the adoption of the technology by governments globally as the basis of the most secure ID credentials available today,” commented Mr. Haddock. "Never has the security of credentials been more important than in the world we now live in, and the future of the company is bright. I, along with the LaserCard Board, realize that the company now needs to act to expand on the existing business base to build the kind of internationally prominent and profitable corporation expected by the shareholders. I am pleased to have been part of the team that has built the company to what it is today, and now feel secure in stepping down that the company is in good hands to move it to the next level of success. For myself, I have numerous personal goals to accomplish, and am thankful to the company in supporting me in achieving my retirement plans. I wish the company great success in the coming years.” Mr. Bailey noted, "We are pleased that Richard has played a pivotal role in making LaserCard a much stronger company since taking over as CEO three years ago. During this period, the company developed into a SOX compliant, ISO 9000 certified, and more efficient manufacturing operation, with broader global operational and sales capabilities. This has culminated in several significant international wins for the company, most notably the Italian national identification card which is expected to provide significant revenues for the company beginning in calendar 2008.” Mr. Mattson added, "I have personally enjoyed working with Richard and am greatly appreciative of his service and leadership to LaserCard during the past twenty six years and especially during his tenure as President and CEO. His commitment and dedication to LaserCard have positioned the company very well for its future growth. We are pleased that Bernard has agreed to take a more active role while we search for a new CEO who can help us execute on our strategic vision for the Company.” About LaserCard Corporation LaserCard Corporation, a leader in secure ID solutions, manufactures and markets LaserCard® optical memory cards, LaserPASS™ Optical/RFID cards and chip-ready Optical/Smart™ cards, all featuring Optical IDLock™ technology, and other advanced-technology secure identification cards. The Company’s secure ID cards are used in countries around the world, including the United States, Canada, Italy, India and the Middle East for demanding security credentialing requirements such as border security, immigration and national identification. In addition, the Company provides optical card read/write drives, optical card system software, card-related ID subsystems and card issuance enabling services. The Company operates a wholly-owned German subsidiary, Challenge Card Design Plastikkarten GmbH, which manufactures specialty cards, and markets cards, system solutions, and card personalization printers under the CCD and Cards & More brands. Forward-Looking Statements All statements contained in this press release that are not historical facts are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and are not historical facts or guarantees of future performance or events. Rather, they are based on current expectations, estimates, beliefs, assumptions, and goals and objectives and are subject to uncertainties that are difficult to predict. As a result, our actual results may differ materially from the statements made. Often such statements can be identified by their use of words such as may, will, intends, plans, believes, anticipates, visualizes, expects, and estimates. Examples of forward-looking statements in this release include that Mr. Haddock will remain as CEO through March 31, 2008, and thereafter will consult through December 31, 2008; that the Company will begin a formal search for a CEO; that the Italian national identification card will provide significant revenues for the company beginning in calendar 2008; the Company’s growth strategy; and that the future of the Company is bright and that the Company can become internationally prominent and profitable. These forward-looking statements are based upon our assumptions about and assessment of the future, which may or may not prove true, and involve a number of risks and uncertainties including, but not limited to whether Mr. Haddock will choose to resign earlier than March 31, 2008, or not to consult for the Company; that the Company will be able to locate a replacement CEO; that the Italian citizen ID card will get fully implemented and place and not reschedule or cancel orders for material numbers of cards during the first six to nine months of fiscal 2007; that the Company does not have production issues in timely filling those Italian card orders that materialize; that the Company will be able to expand its business either organically or through acquisitions; that larger competitors may dominate the Company’s markets and prevent the Company from gaining prominence; and that the Company can obtain prices for its products which enable it to become profitable and sustain profitability as well as the risk factors detailed in the Company's Form 8-K, 10-K, and 10-Q filings with the Securities and Exchange Commission. Due to these and other risks, future actual results could differ materially from the Company’s expectations. These forward-looking statements speak only as to the date of this release, and, except as required by law, the Company undertakes no obligation to publicly release updates or revisions to these statements whether as a result of new information, future events, or otherwise.