Paxar Helps Retailers Shrink Shrinkage.

Company Joins Technology Partners thebigspace and Motorola to Showcase Innovative Solutions in the "LP Secure Store" at NRF Loss Prevention Conference 2007

WHITE PLAINS, N.Y. -- Paxar Corporation [NYSE: PXR], a global leader in providing identification and tracking solutions to the retail and apparel industries, will share insights on loss prevention best practices at the National Retail Federation's Loss Prevention Conference & Expo, which kicks off today at the San Diego Convention Center. Paxar, in partnership with thebigspace and Motorola, will demonstrate in the LP Secure Store solutions area cutting-edge capabilities for loss prevention using an interactive fitting room system and RFID mirror called the Magicmirror[TM].

According to the 2005 University of Florida study sponsored by the NRF, retailers lose $37.4 billion a year to shrinkage -- inventory loss due to employee theft, shoplifting, vendor fraud and administrative error -- or 1.6% of sales. It's a huge dilemma for the industry, with the rate of loss to retailers growing. In response, retailers are turning to more innovative approaches and tools to launch a powerful defense. One of the areas they are now exploring to reduce shrinkage is the fitting room. Considered an easy location for shoplifters, this private area is often poorly managed.

Visitors to the LP Secure Store in the Expo Hall, where numerous LP technologies will be integrated into a "mock" retail environment, will see first-hand how Paxar's turnkey solution is helping real-world retailers to better manage their fitting room processes and reduce theft. By combining Paxar's custom-designed RFID labels and tags with digital content from thebigspace displayed on a mirror surface, along with Motorola's RFID readers and handheld devices, the Companies have developed a unique RFID-enabled, interactive fitting room system that meets retailers' security, sales and customer service needs. In addition to participating in the LP Secure Store, Paxar will be showcasing its 24/7X Loss Prevention Solutions focused on apparel source tagging at booth #1440.

"The traditional thinking of retailers has been to protect their products from theft only at certain points of store operations, but there are a number of strategic opportunities to reduce shrinkage," explained Susan Guerin, president of Paxar's Americas Apparel Group. "One such opportunity comes with transforming the fitting room, an often overlooked space, into a vital area for detection, deterrence and defense. At Paxar we're always looking for innovative ways to help our retail customers better identify and track their products, so it seemed only natural for us to team up with industry leaders like thebigspace and Motorola to create an end-to-end, plug-and-play LP solution such as the Magicmirror."

The system can facilitate the automatic registration of merchandise entering and leaving the fitting room. When a customer or sales associate brings an RFID-tagged item into the fitting room and in front of the Magicmirror, it immediately displays information on the touch screen including total item count, total dollar amount and a detailed product description (color, size, style, stock position, etc.). The system can track time spent in the fitting room and communicate alerts to sales associates, floor management as well as security personnel.

For retailers, every action on the interactive fitting room system is captured and data analysis can provide a wealth of information. With this intelligence, it is possible to correlate stock loss with items tried in fitting rooms, for instance, so that staff can be alerted to be vigilant. Further, the system can interface with a closed circuit television infrastructure and manned security when certain alerts are triggered.

"Retailers today have many new ways to mind their stores thanks to next-generation technologies such as RFID," said Jim Burger, president of Burger Consulting and former vice president of loss prevention for J. Crew. "What's interesting is that retailers are not only turning to these solutions to combat theft and prevent losses but from a more holistic approach, they are relying on technologies and best practices to streamline store operations and meet customer requirements in order to increase sales. It's clear that the industry is paying more attention to the importance of balancing service with theft prevention."

NRF's Loss Prevention Conference & Expo is the one industry event for retailers working to protect their company assets, reduce shrinkage and prevent loss. The conference features executive leaders and top technology and solutions vendors addressing every possible loss prevention need of the retail market. This year's show is expected to bring together more than two thousand LP professionals and decision-makers to exchange ideas on issues such as internal theft, organized retail crime and homeland security, and to find new ways to solve LP problems.

About Paxar Corporation

Paxar Corporation is a global leader in providing identification and tracking solutions to the retail and apparel industries. It delivers solutions and services that help its customers sell more products and reduce their cost of doing business.

Paxar has 103 facilities in 40 countries with 12,000 employees worldwide. It turns out the most complete spectrum of apparel labels and tags, and manufactures printers with scanners that display and track data across the supply chain. Its web-based information services drive the exchange of vital customer information throughout the world. Paxar designs eye-catching brand identification labels for apparel and its comprehensive bar code and RFID solutions help wring more efficiency from inventory and supply-chain management. Paxar's security solutions help retailers and brand owners protect their merchandise from theft and counterfeit. And it makes the systems that enable manufacturers to print their own labels.

For more information on Paxar visit www.paxar.com.