AuthentiDate Introduces CareFax(TM), a Fax Workflow and Authentication Solution for Healthcare Providers and Payors; New Solution Improves Efficiency and Integrity of Fax-Intensive Work Flows.

SCHENECTADY, N.Y. -- AuthentiDate Holding Corp. (NASDAQ:ADAT) today announced the introduction of CareFax(TM), a web-based, HIPAA-compliant fax automation and work flow solution that addresses compliance needs associated with document processing in the healthcare sector. The new solution was unveiled today in Atlanta at Medtrade 2005, the largest trade show for the Home Medical Equipment industry.

CareFax enables Healthcare organizations, such as medical equipment or service providers and insurance payors, to automate the work flow associated with the creation, sending, receiving and handling of faxed documents in a secure and efficient manner. The solution also incorporates automatic authentication of faxed content to improve the auditability and verification of the information flow. This allows for process efficiencies and lowers the cost of adhering to compliance policies and procedures, such as for Medicare and state Medicaid agencies.

"Today the healthcare industry continues to rely on traditional fax technology as the backbone for managing documentation essential to compliance, billing and reimbursement processes," said Suren Pai, President and CEO, AuthentiDate Holding Corp. "CareFax allows enterprises to automate these complicated work flows, and increase their confidence in the integrity of the information sent and received via fax. Our customers have the opportunity to significantly lower their costs today by easily integrating this solution into their paper- and fax-based business processes, even as they plan for a transition towards a digital future."

About AuthentiDate Holding Corp.

AuthentiDate Holding Corp. (AHC) is the holding company which operates its software and services businesses in three segments: the Security Software Solutions Segment (fka Authentidate Segment, including AuthentiDate, Inc., Trac Medical Solutions, Inc. and Authentidate International AG), the Document Management Solutions Segment (fka Docstar Division) and the Systems Integration Segment (fka DJS). The Company is a worldwide provider of secure enterprise workflow management solutions that incorporate its proprietary and patent pending content authentication technology. AuthentiDate's offerings include the United States Postal Service(R) Electronic Postmark(R) Service (USPS(R) EPM(R)), electronic signing solutions, and electronic forms processing solutions. AuthentiDate also provides secure document management solutions, and enterprise network security products and services.

For more information about AuthentiDate and the USPS EPM, please see:

http://www.authentidate.com , http://www.tracmed.com/ , and http://www.uspsepm.com, or email [e-mail].

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, related decisions by the USPS, 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.