ImageWare Systems Selected to Provide Multi-Biometric Identity Management System for Colombian Banking Industry

Business Wire, Nov 3, 2006

SAN DIEGO -- ImageWare Systems, Inc. (AMEX:IW), a leading developer of identity management solutions, today announced that the company has been selected to develop a multi-biometric identity management system for an undisclosed financial institution in Colombia.

The initial pilot project is valued at approximately $100,000 and is expected to be completed in first quarter of 2007. The system will be initially deployed at its main branch in Bogota with additional implementations in each of its facilities throughout the country.

Under the terms of the contract, ImageWare will develop a customized multi-biometric identity management system to include three biometric identifiers - what is believed to be the first in the banking industry. The customized solution will leverage a combination of the company's IWS[TM] Biometric Engine[TM] and investigative solutions, enabling the enrollment, management and verification of personal identities to eliminate identity fraud and financial loss. The system will utilize face, fingerprint and signature biometric identifiers as well as provide real-time duplicity check upon enrollment to avoid multiple enrollment attempts and confirm that account holders are who they claim to be.

About IWS Biometric Engine

The IWS Biometric Engine is a biometric identity management platform for multi-biometric searching and matching. Its multi-biometric enrollment, management and authentication platform allows users to biometrically search and match populations of unlimited sizes for identity confirmation. Searches can be 1:1 (Verification), 1:N (Identification), X:N (Investigative) and N:N (Population Management). IWS Biometric Engine is technology agnostic, enabling users to employ biometric devices and algorithms from virtually any vendor, as well as support the combination of the following biometric types, including: single fingerprint, Livescan fingerprint, 2D face, 3D face, iris, palm scan, finger vein, palm vein, hand geometry, palm, DNA, signature, voice, and retina. The IWS Biometric Engine currently supports more than 100 devices and methods of biometric acquisition and 70 biometric algorithms.

About ImageWare Systems, Inc.

ImageWare Systems, Inc. (AMEX:IW) is a leading developer and provider of identity management solutions, providing biometric, secure credential, law enforcement and digital imaging technologies. Scalable for worldwide deployment, the Company's biometric product line includes a multi-biometric engine that is hardware and algorithm independent, enabling the enrollment and management of unlimited population sizes. ImageWare's identification products are used to manage and issue secure credentials including national IDs, passports, driver licenses, smart cards and access control credentials. ImageWare's digital booking products provide law enforcement with integrated mug shot, fingerprint Livescan and investigative capabilities. The Company also provides comprehensive digital workflow solutions for the professional photography industry. ImageWare is headquartered in San Diego, with offices in Washington D.C. and Canada. For more information visit www.iwsinc.com.

Safe Harbor Statement

This news release may contain forward-looking statements made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. While these statements are meant to convey to the public the company's progress, business opportunities and growth prospects, readers are cautioned that such forward-looking statements represent management's opinion. While management believes such representation to be true and accurate based on the information available to the company, actual results may differ materially from those described. The company's operations and business prospects are always subject to risks and uncertainties. Important facts that may cause actual results to differ are set forth in the company's periodic filings with the U.S. Securities and Exchange Commission.