Lipman Electronic Engineering Ltd. Announces Orders from Turkish Banks; Lipman Receives Orders to Deliver 89,000 Terminals in the First Half of 2004.

Business Editors/High-Tech Writers

ROSH HAAYIN, Israel--(BUSINESS WIRE)--April 19, 2004

Lipman Electronic Engineering Ltd. (Nasdaq, TASE: LPMA) today announced that it has received a follow-on order for its Nurit 8320 landline point of sale (POS) terminals from Akbank, the second largest bank in Turkey. The order is for approximately $6.4 million of Lipman products, with all products expected to be delivered during the second quarter of 2004. With this order, Akbank is increasing its total installed base of Lipman POS terminals by approximately 25%, to 190,000.

Additionally, the Company announced that it was recently awarded a $3.3 million tender by Isbank A.S., Turkey's largest public bank, and a $2.4 million tender by Yapi Kredi Bank, another major Turkish bank. These orders were supplied in full during the first quarter of 2004.

Isaac Angel, President and CEO of Lipman said, "These orders from three of the most prominent banks in Turkey further strengthen Lipman's leading position in the Turkish market. Since our initial sales to YKB in 1998, Akbank in 1999 and Isbank in 2002, all have selected our solutions over competing solutions for several large deployments. Following these orders, over 90% of all Point of Sale terminals currently in use by Akbank and YKB and also nearly half of those used by Isbank will have been supplied by Lipman."

Mr. Angel continued, "When we first approached the Turkish market several years ago, we viewed it as key to our long term growth initiatives and believed that it presented numerous opportunities for penetration at every level. Customers in the region have acknowledged the many advantages offered by our products, from innovative technology to ease of use and lower total cost of ownership. While our position in the Turkish market is very strong, we believe that additional growth opportunities exist and are confident in our ability to continue successfully competing for all potential tenders in the region, growing our installed base and further adding to our market share."

About Lipman

Lipman is a leading worldwide provider of electronic payment systems. Lipman develops, manufactures and markets a variety of handheld, wireless and landline POS terminals, electronic cash registers, retail ATM units, PIN pads and smart card readers, all under the NURIT(R) brand name. In addition, Lipman develops technologically advanced software platforms that offer comprehensive and customized transaction processing solutions for its customers.

Lipman's corporate headquarters and R&D facilities are located in Israel. Lipman also maintains offices and subsidiaries in the US, Turkey, China, Spain, Russia, Italy, Canada and Latin America.

Statements concerning Lipman's business outlook or future economic performance; product introductions and plans and objectives related thereto; and statements concerning assumptions made or expectations as to any future events, conditions, performance or other matters, are "forward-looking statements" as that term is defined under U.S. Federal securities laws. Forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results to differ materially from those stated in such statements. These risks, uncertainties and factors include, but are not limited to: our dependence on distributors and customers; the competitive market for our products; market acceptance of new products and continuing products; timely product and technology development/upgrades and the ability to manage changing market conditions; manufacturing in Israel; compliance with industry and government standards and regulations; dependence on key personnel; and other factors detailed in Lipman's filings with the U.S. Securities and Exchange Commission. Lipman assumes no obligation to update the information in this release.