AlphaShield Inc. and London Drugs Ltd. Announce Distribution Partnership.

Business Editors/High-Tech Writers

BURNABY, British Columbia--(BUSINESS WIRE)--Aug. 13, 2002

Leading Canadian Retailer Now Offers the AlphaShield Internet Privacy

Protection Device to Consumers Concerned About Internet and

Computer Security

AlphaShield Inc., a global provider of the award winning Internet privacy protection device for consumers, AlphaShield, today announced a partnership with London Drugs Limited a leading retail chain in Canada.

Under the new agreement, 55 stores will sell the AlphaShield in British Columbia, Alberta, and soon to be open Saskatchewan store. This is AlphaShield's first major Canadian retail distribution agreement.

The partnership also demonstrates both companies' commitment to educating consumers about Internet privacy protection and the vulnerabilities of "always-on" broadband connections. London Drugs worked with AlphaShield to train London Drug's staff about Internet security risks and how the AlphaShield product protects consumers.

Broadband connections, considered to be "always on," are becoming rapidly adopted according to Nielsen/Net ratings, which stated in November 2001 that the total number of home broadband users surpassed 21 million and is a staggering 20% of the market. Small businesses and consumers realize the convenience of an "always on" Internet connection, and need education to understand outside security threats. Additionally, the government and large to medium size corporations are increasingly aware of the importance of securing critical data. In fact, according to IDC, Internet and Network Security will grow from $5 billion today to more than $11 billion in 2004.

"London Drugs continues to be the leader in providing for the ever changing needs of our customers. Internet Security is one area that requires efficient and effective solutions. Alphashield, a BC product, fits that need and we are proud to bring this to our customers," says Cedric Tetzel, Merchandise Manager -- Computer Division, London Drugs Limited.

"This partnership supports AlphaShield's strategy to develop a strong retail channel while educating consumers," says Paul Prade, president of AlphaShield Inc. "London Drugs has always understood the value in providing its customers with high-quality technology solutions. London Drug's decision to name AlphaShield as the preferred Internet privacy protection device further validates the quality of our product and the consumers growing demand for an easy-to-use security product."

About London Drugs Limited

Founded in 1945, Richmond-based London Drugs currently has 55 stores in more than 31 major markets throughout British Columbia and Alberta, and is scheduled to open its first store in Saskatchewan in the summer 2002. Renowned for its creative and innovative approach to retailing, the company employs more than 6,500 people and carries a diverse range of health and consumer electronic products. With its strong commitment to innovation and customer appreciation, London Drugs has established itself as a reputable and caring company and continues to position itself for future growth and development.

About the AlphaShield Device

AlphaShield is an Internet privacy protection device, which conceals your computer's IP address, allows control of information in and out of your PC and automatically disconnects the computer if there is no activity. Designed for high-speed Internet and wireless connections, AlphaShield requires no set-up, no configuration and no maintenance, giving the user total peace of mind. AlphaShield incorporates three of the latest Internet security and privacy technologies:

-- AlphaGAP(TM) technology, which, when initiated, stops all malicious attacks directed to the computer;

-- Real-time Packet Authorization(TM) (RPA) Technology applies stateful packet inspection and only allows back user requested information;

-- Stealth IP, which makes the computer invisible to others on the Internet.

About AlphaShield

AlphaShield Inc. is the leading global provider of Internet security and privacy solutions ensuring data integrity, Internet and network privacy protection for today's consumers. AlphaShield is committed to setting a new standard for security integrity by providing consumers who utilize "always on" broadband Internet access with an easy-to-use, completely secure Internet privacy protection device. Founded in June 2000, AlphaShield is headquartered in Burnaby, British Columbia. For more information, please visit www.alphashield.com.