BSI2000 Updated on INS Contract Award.

Business Editors

DENVER--(BUSINESS WIRE)--April 29, 2003

BSI2000 Inc. (OTCBB:BSIO), a developer of optical card-based secure identification systems, reported today the following update relative to its contract with the Immigration and Naturalization Service (INS).

On Sept. 20, 2002, the INS awarded BSI2000 a contract to deliver its SIGABA 2000 secure identification and border crossing/tracking system to the INS for evaluation in a pilot testing program. BSI2000, a first-time INS contractor, is required to receive an INS security clearance prior to delivering its SIGABA 2000 system. The INS security clearance process has been ongoing since the date of the contract award. The BSI2000's SIGABA 2000 system both reads and validates the authenticity of the 10 million secure optical Green Cards and Border Crossing Cards ("Laser Visas") that have been issued by the INS to date.

On April 16, 2003, the INS informed BSI2000 that the INS Office of Security has granted security clearances to the BSI2000 staff. BSI2000 expects to receive INS clearance of its physical facilities shortly, thereby completing the security clearance process. Upon granting the security clearance, the INS will authorize BSI2000 to purchase the INS specially configured optical drives for incorporation into the SIGABA 2000 system.

The optical Green Cards are issued to permanent resident aliens and the Boarder Crossing Cards are issued to visitors from Mexico that travel frequently to the United States. SIGABA 2000 enables INS officers to verify the identity of border crossers and resident aliens by a combination of biometrics, including fingerprints, cardholder photographs and other biometric identification stored in encrypted digital form on the optical cards.

About BSI2000 Inc.

BSI2000 Inc., a manufacturer of hardware products and developer of software, has developed a proprietary application of optical card technology for the homeland security market using LaserCard(R) products.

Company Web site: www.bsi2000.com (English, German, French, Russian, Arabic)

NOTE: Laser-Card(R) is a registered trademark of LaserCard System Corp. (www.lasercard.com).

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Statements contained in this document which are not historical fact are forward-looking statements based upon management's current expectations that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements.