Document Security Systems Announces That Boise® BEWARE® Meets Federal Medicaid Guidelines

Business Wire,  April 28, 2008  

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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 Boise[R] BEWARE[R], Boise's state-of-the-art security paper which includes DMC's anti-scanning and anti-counterfeiting technology, meets April 1, 2008 Federal Medicaid Guidelines Requiring Tamper-Resistant Prescription Paper.

Boise BEWARE complies with federal guidelines for paper-based security in Medicaid papers by offering two tamper-resistant features. According to the federal mandate for tamper-resistant prescription pads, papers must meet one of three criteria by April 1, 2008. Medicaid prescription papers must meet all three criteria by October 1, 2008. Boise BEWARE currently meets two of the three criteria.

Boise BEWARE utilizes DMC's AuthentiGuard[R] Pantograph 4000[TM].

"BEWARE is now in full compliance with the federal mandate effective April 1, 2008," said Steve Kanda, brand manager, BEWARE in an announcement by Boise Inc. (NYSE: BZ) from April 21, 2008. "The health care industry can have confidence that BEWARE's superior anti-copying technology keeps them compliant. Boise will continue to go the extra mile to provide the quality our customers have come to expect."

An enhanced BEWARE product is in development that DMC expects will meet all three characteristics required by the October 1, 2008 deadline. The new feature is a coin-reactive, artificial watermark on the back of the sheet. When a coin is rubbed over the back of the sheet, the words BOISE BEWARE will appear. This feature is not reproducible on a copier, fax, scanner or laser printer.

"We are proud to work with Boise Inc., a leader in the production of innovative paper-based technologies, to help doctors and pharmacists reduce prescription fraud," commented Patrick White, DMC's Chief Executive Officer. "We will continue to work closely with Boise to enhance our technology and expand the features of Boise BEWARE to remain on the leading-edge of Federal guidelines and to expand our market opportunity into new industries and market verticals."

In addition to medical prescriptions, Boise BEWARE is also commonly used for legal documents, coupons, business contracts, copyrighted materials and visitor badges. The product features color tinted, acid-free sheets, and is available in 8.5"x11" and 25"x38" sizes. The product is also available in custom colors and varying weights of paper, as well as custom hidden words.

To learn more about Boise BEWARE, visit http://www.BoiseBEWARE.com.

About Boise Inc.

Headquartered in Boise, Idaho, Boise Inc. (NYSE: BZ) manufactures packaging products and papers including corrugated containers, containerboard, label and release and flexible packaging papers, imaging papers for the office and home, printing and converting papers, newsprint, and market pulp. Our entire team of more than 4,600 employees is committed to delivering excellent value while managing our businesses to sustain environmental resources for future generations. Visit our website at http://www.BoiseInc.com.

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.

Safe Harbor Statement

This release contains forward-looking statements regarding expectations for future financial performance, which involve uncertainty and risk. It is possible the Company's future financial performance may differ from expectations due to a variety of factors including, but not limited to, changes in economic and business conditions in the world, increased competitive activity, achieving sales levels to fulfill revenue expectations, consolidation among its competitors and customers, technology advancements, unexpected costs and charges, adequate funding for plans, changes in interest and foreign exchange rates, regulatory and other approvals and failure to implement all plans, for whatever reason. It is not possible to foresee or identify all such factors. Any forward-looking statements in this report are based on current conditions, expected future developments and other factors which the Company believes are appropriate in the circumstances. Prospective investors are cautioned that such statements are not a guarantee of future performance and actual results or developments may differ materially from those projected. The Company makes no commitment to update any forward-looking statement included herein, or disclose any facts, events or circumstances that may affect the accuracy of any forward-looking statement.

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