Oregon's Largest Public Utility Protects Sensitive Data with Aladdin eToken

CHICAGO, December 11, 2007 - Aladdin Knowledge Systems Ltd.
(NASDAQ: ALDN), an information security leader specializing in authentication, software DRM and content security, today announced that the Eugene Water & Electric Board (EWEB), Oregon's largest public utility, selected the Aladdin eToken smart card solution to provide strong authentication for employees who access the organization's data network. Aladdin eToken is set to play an important role in ensuring compliance with security standards mandated by the North American Electric Reliability Corporation (NERC).

In light of ever-increasing concerns surrounding security for the nation's power and water providers, EWEB began in May to reinforce its information security arsenal. By the second quarter of 2008, EWEB expects to provide employees with a combination of Aladdin eToken smart card types - USB-based tokens, as well as credit card-like smart cards that also provide proximity technology for building access. By combining physical and logical access in a single device, EWEB ensures that only authorized users can enter its facilities, log on to the network, and access their business data and applications from remote locations - further strengthening its compliance with NERC guidelines, which all bulk power system operators must meet.

Mark Ellister, EWEB's senior security specialist who leads its IT security initiatives, said combining both physical and logical access into one device increased the efficiency and reliability of EWEB's security, delivering a single multi-purpose device for each user that remains easy to control and maintain.

"As a large public utility that prioritizes the safety of our water and power supply, EWEB evaluated several options that would allow us to further enhance our overall security and NERC compliance," Ellister said. "We selected the Aladdin eToken strong authentication device due to its proven level of security and flexibility, as well as its simple integration with proximity technology for facility access. In a multi platform environment, being able to select a single product that functions with multiple OS models is highly advantageous. Aladdin eToken doesn't lock you into one vendor or one technology. We see EWEB's implementation of Aladdin eToken as a powerful step toward boosting our overall security and protecting access to sensitive data that our community's water and power supplies rely upon."

"Helping to protect vital services such as water and power, Aladdin eToken has proven itself as a highly reliable protection tool that withstands rigorous testing for security, dependability and longevity," said John Gunn, General Manager of Aladdin North America. "We are honored to assist EWEB in maximizing its IT defenses in such a way that complements its physical security measures as well. Aladdin eToken continues to experience significant growth, especially among organizations that see security as one of their most precious duties."

About Aladdin eToken

Aladdin eToken is the world leader for USB-based authentication solutions. It provides strong user authentication and cost-effective password management solutions enabling organizations to easily and effectively expand business opportunities with secure network access, improve data security through enhanced encryption and digital signing, and reduce costs and vulnerabilities through superior password management. For more information, visit www.Aladdin.com/eToken.

About Aladdin

Aladdin Knowledge Systems' Software Rights Management products are the #1 choice of software developers and publishers to protect intellectual property, increase revenues, and reduce losses from software piracy. laddin eToken is the world's #1 USB-based authentication solution. The Aladdin eSafe secure Web gateway provides the most advanced protection against the latest Web-based threats and attacks. Aladdin has offices in 12 countries, a worldwide network of channel partners, and has won numerous awards for innovation. For more information, visit the Aladdin Web site at www.Aladdin.com.

©2007 Aladdin Knowledge Systems, Ltd. All rights reserved. eToken, Aladdin Knowledge Systems and the Aladdin logo are trademarks or registered trademarks of Aladdin Knowledge Systems, Ltd. All other product and brand names mentioned in this document are trademarks or registered trademarks of their respective owners.

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