AuthentiDate Announces Availability Of The Next Generation United States Postal Service Electronic Postmark.

Business Editors

SCHENECTADY, N.Y.--(BUSINESS WIRE)--March 17, 2003

Customer Agreements for Initial Specific Applications to Generate over $300,000 in Revenues for AuthentiDate

AuthentiDate, Inc., a subsidiary of AuthentiDate Holding Corp. (NASDAQ: ADAT), and provider of the USPS Electronic Postmark(R) (EPM) announced the availability of the next generation of the USPS Postmark(R) service with initial customers including the State of Indiana, Microsoft (NASDAQ: MSFT), Social Security Administration (SSA) and PostX.

AuthentiDate's share of the transaction fees to be paid over the next three years from these agreements for these initial specific applications exceeds $300,000. We expect these initial purchases and minimum commitments to lead to further EPM usage for both current and future applications adding significantly to the revenue generation opportunities.

The USPS Electronic Postmark(R) brings to the electronic world a high level of security similar to that which the standard USPS Postmark(R) brings to the paper world. Backed by the U.S. Postal Service, the EPM provides evidence that the content of a document or a file existed at a specific date and time, and the EPM ensures the integrity of the document or file by detecting if an alteration has been made. The USPS EPM is a web-based service made available as a software developer's toolkit (SDK) enabling developers to easily incorporate non-repudiation services within any application.

The U.S. Postal Service requires consistently high levels of security and reliability of their partners' data center operations. Consequently, Postal Service technology and security teams subjected AuthentiDate's data center to a thorough and extensive security audit before launch. As a result, people who use Electronic Postmarks can trust that these EPMs are carefully and reliably maintained in a secure environment.

"The State of Indiana believes this is a very important process to be added to the flow of electronic information and electronic transactions. It is completely consistent with Indiana's move to more e-Gov initiatives as a strategic move under the direction of Governor Frank O'Bannon," said Kenneth L. Miller, Commissioner of Revenue for the State of Indiana and a member of the Governor's Task Force on e-Government. Mr. Miller added, "Indiana's first application will involve a Bureau of Motor Vehicles program which will have an immediate impact in terms of saving time, dollars and increased efficiency. The State plans to roll out this USPS EPM service in many more applications over the next few months."

"PostX is, of course, happy to continue our long standing relationship with the USPS," said Thampy Thomas, Chairman and CEO of PostX Corporation. "And as one of the original licensees of this innovative technology, we are pleased that AuthentiDate has taken a leadership role in the management and hosting of the USPS EPM. One of the key features they bring to the table is the ability to provide a trusted environment for the verification and security of electronic documents protected by the USPS EPM."

"The Postal Service believes the EPM offers significant value to online correspondence," said Nicholas Barranca, Vice President of Product Development for the U.S. Postal Service. "We are optimistic that our strategic alliance with AuthentiDate will continue to be mutually beneficial."

John Botti, Chairman and CEO of AuthentiDate Holding Corp., stated, "This is a very exciting event for electronic transactions and information exchange. We believe this will help remove concerns about electronic alteration or the authenticity of electronic information that were major impediments to the full acceptance of electronic transmissions. Now, in conjunction with the U.S. Postal Service and our other partners, these stumbling blocks are being removed. We anticipate the rapid acceptance of the USPS EPM service as these new customers and others like them incorporate the EPM's benefits into their business practices."

About AuthentiDate Holding Corp.

AuthentiDate Holding Corp. (AHC) is the holding company of five business units: DocSTAR, AuthentiDate International AG, AuthentiDate, Inc., DJS Marketing Group/Computer Professionals International and Trac Medical Solutions, Inc. AuthentiDate and AuthentiDate AG provide the authentication of digital data through its proprietary and patent pending technology. AuthentiDate is establishing itself as the authority on "content security," a growing sector of the electronic network security infrastructure market Trac Medical uses the AuthentiDate service to improve speed, accuracy and security in processing medical forms. These three business units comprise the AuthentiDate Segment for financial reporting purposes. DocSTAR sells a complete line of document imaging products and DJS delivers professional services centered on systems integration projects, staff augmentation, out-tasking and outsourcing services, and resells computer related products.

This press release contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Act of 1934. When used in this release, the words "believe," "anticipate," "think," "intend," "plan," "will be," "expect," and similar expressions identify such forward-looking statements. Such statements regarding future events and/or the future financial performance of The Company are subject to certain risks and uncertainties, which could cause actual events or the actual future results of the Company to differ materially from any forward-looking statement. Such risks and uncertainties include, among other things, the availability of any needed financing, the Company's ability to implement its business plan for various applications of its technologies, the impact of competition, the management of growth, and the other risks and uncertainties that may be detailed from time to time in the Company's reports filed with the Securities and Exchange Commission. In light of the significant risks and uncertainties inherent in the forward-looking statements included herein, the inclusion of such statements should not be regarded as a representation by the Company or any other person that the objectives and plans of the Company will be achieved.