Bioscrypt Announces Global Restructuring

Company Anticipates to Generate Significant Synergies & Operational Savings

Toronto, ON (February 21, 2008) – Bioscrypt Inc. (TSX: BYT), a leading provider of identity and access management solutions, today announced the restructuring of its global workforce and the consolidation of its offices.

The restructuring effort is designed to reduce the Company’s cost structure, improve operational execution, and refocus the Company on its core strengths in the physical and logical access control market. Bioscrypt expects the cost reduction program to yield annualized savings of approximately $2 million.  The cost of the restructuring program is estimated to be a one-time charge of approximately $800,000.

As part of the global restructuring program, the Company is moving key development engineers to its Markham, Ontario headquarters, closing one offshore research and development facility and transferring manufacturing assembly operations.  The Company also plans to reduce corporate overhead and complete other business refinements worldwide.

A special meeting of securityholders, called to approve the plan of arrangement, will be held on February 29, 2008.  It is anticipated that certain of the Company’s future cash requirements, if any, will be made available to the Company by L-1 Identity Solutions following closing of the plan of arrangement, assuming achievement of requisite security holder approval and timely closing of that transaction.

About Bioscrypt Inc.

Bioscrypt is an enterprise access control solution provider, enabling the unification of physical and logical access with its Door to Desktop® products. Bioscrypt’s hardware and software solutions deliver strong authentication processes to facilities, equipment, IT networks and computer applications and allow organizations to administer unified identities across the enterprise.

Building on its proven expertise in biometric technology and its unique multi-factor authentication platform, Bioscrypt integrates all major secure authentication standards, transforming how organizations are bridging the gap between physical and logical access to create secure working environments. More information is available at www.bioscrypt.com.


Forward-looking (safe harbour) statement

Statements made in this news release that relate to future plans, events or performances are forward-looking statements. Any statement containing words such as "believes,"  "plans,"  "expects," or "intends" and other statements which are not historical facts contained in this release are forward-looking, and these statements involve risks and uncertainties and are based on current expectations. Consequently, actual results could differ materially from the expectations expressed in these forward-looking statements.

Bioscrypt and Door to Desktop® are registered trademarks and Veri-Series and VeriSoft are trademarks of Bioscrypt Inc. All other product and company names mentioned are the property of their respective owners and are mentioned for identification purposes only.

For more information, contact:
Stephen McDonald
Bioscrypt Inc.
905-940-7774
stephen.mcdonald@bioscrypt.com