Document Security Systems Announces Partnership with Spain's Indra Systems S.A. to Produce Passport Certificates for the Panama Canal Authority.

Ongoing Partnership with the Leading Spanish Information Technologies and Defense Systems Company Formed with DSS and Its Licensee, the Ergonomic Group

ROCHESTER, N.Y. -- Document Security Systems, Inc. (AMEX: DMC) ("DSS"), a leader in proven, patented protection against counterfeiting and unauthorized copying, scanning and photo imaging, announced today that its alliance with The Ergonomic Group (EGI) has been selected by Indra Sistemas, S. A. (Indra), winner of the contract for the Panama Maritime Authority's systems modernization, to develop passport certificates. Likewise, both companies are developing agreements for cooperation in future business opportunities.

Indra is Spain's main IT company and has developed projects in over 80 countries. Among the projects the company has implemented for Spain's Public Administration is the development of an electronic national identification card, one of the most ambitious identification projects in the world. The company is also involved in the implementation of secure visas and passports in Portugal. The first project where Indra and DSS will cooperate involves the development of passport certificates that cannot be copied or scanned and that contain information which also can be authenticated at the Panama Canal. Certificates passing through the Panama Canal are regulated by the Panama Canal Authority (ACP) in order to control traffic, assess tolls, maintain security and safety and combat illegal traffic. The Canal's passage is managed by the Maritime Operations department.

According to Indra's Homeland Security manager, "The security technology and delivery systems being offered by Document Security Systems and The Ergonomic Group, especially those delivered in the on-demand world, are far superior to the others on the market and have multiple uses throughout our divisions. This is our first effort with the Panama Canal Authority and these technologies will be an integral part of Indra's global growth strategy."

Mr. Peter Ettinger, DSS's President, noted, "The agreement with Indra presents a strong opportunity for DSS and The Ergonomic Group as we begin to present and deliver our on-demand technologies throughout the globe. The Panama Maritime Authority project, in association with Indra, illustrates the strength of our agreement with EGI and the opportunities presented in 2007 and beyond. Indra will become a strong partner and we look forward to expanding our success with them throughout the world."

Mr. Robert T. Girards, Executive Vice President and Chief Operating Officer of The Ergonomic Group, noted, "This project readily demonstrates the power of the combination of our IT capabilities and DSS's security technologies. DSS's ability to create, secure, and deliver highly secure and verifiable documents over the Internet is an extremely powerful offering that has many applications. We have only just begun to market our combined services and already have received very positive responses from the customers and prospects to which we have introduced our capabilities."

The Panama Canal project will be developed over the next few months and implemented in a test manner by March 2007. Pricing terms of the agreement were not disclosed.

About Document Security Systems, Inc.

A rapidly growing security technology company, Document Security Systems is a world leader in the development of optical deterrent technologies that help prevent counterfeiting and brand fraud from the use of the most advanced scanners, copiers and imaging systems in the market. The Company's patented and patent-pending technologies protect valuable documents and printed products from counterfeiters and identity thieves. Document Security Systems' customers, which include international governments, major corporations and world financial institutions, use its covert and overt technologies to protect a number of applications including, but not limited to, currency, vital records, brand protection, ID cards, internet commerce, passports and gift certificates. Document Security Systems' strategy is to become the world's leading producer of cutting-edge security technologies for paper, plastic and electronically generated printed assets. More information about Document Security Systems can be found at its websites: www.documentsecurity.com and www.plasticprintingprofessionals.com.

About Indra Sistemas, S.A.

Indra is the leading Spanish Information Technologies and Defense Systems company with estimated revenues of 1.9 billion Euros on closure of the current fiscal year. A solid technology base, permanent innovation, quality in processes and results, demanding management and the high degree of qualification of more than 19,000 professionals that work for the company contribute to its expertise in Information Technologies, Simulation and Automatic Test Systems, and Defense Electronic Equipment.

About The Ergonomic Group

The Ergonomic Group (EGI) is a technology solutions provider with over $250 million in annual revenues and a satisfied and expanding client base in the financial, manufacturing and healthcare sectors. Over twenty years' experience in providing diverse business solutions has prepared EGI with the foundation necessary to be an essential asset in any technical partnership. The Ergonomic Group's dedication to customer satisfaction is ensured through providing best-of-breed technologies coupled with our unique personal approach. The EGI service-centric strategy helps every organization solve their most pressing business and IT challenges with integrated state-of-the-art solutions. EGI's technical expertise spans the desktop to the data center, with successful solutions incorporating the implementation and development of robust Information Technology in six focus areas: Networking, Storage, Security, Compliance, Capacity Planning and Lifecycle Management. To find out more, view detailed information about the Ergonomic Group at www.ergogroup.com.

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