The first six months of the year represented dynamic growth, with an 8.1% increase in XIRING’s turnover for the period.  After a dynamic first quarter with growth of 9.8%, the turnover for the second quarter dropped 21.4% (3.8 million euros compared with 4.8 million euros, restated excluding Banking) due to the absence of income from the healthcare program in Germany, which represented close to €0.7m in Q2 2009 (the implementation of the German healthcare program was postponed due to the change in government, and is now expected to move forward in early 2011).

On June 1st 2010, XIRING acquired the company Telfix from the Chèque Déjeuner group.  The merger, which is retroactive to January 1st 2010 and was approved by the Board of Directors on July 2nd 2010, shall be submitted for the approval of the Extraordinary General Shareholders’ meeting that is currently being called.

    *restated excluding Banking

Georges Liberman, Chairman and CEO, stated that “the acquisition of Telfix will speed up our takeover of market shares with respect to the Carte Vitale updating service and reinforces the repeat services portion of our turnover.  The positioning of our Xi-Plus 5 product and our partnership in Germany are significant assets on this market that, although postponed until 2011, still has the same potential.  Furthermore, we are confident of the future of the e-ID market, particularly in France, where XIRING has won the French administration’s first large-scale project, with France’s Gendarmerie Nationale.”

XIRING confirms its 2010 objective of an annual turnover of 20 million euros, including the additional revenue from Telfix’s activity and taking into account the postponement of the German healthcare program.

Upcoming financial events:  

·         13 September 2010:  Publication of the results for the 1st half of 2010

·         19 October 2010:  Publication of the turnover for the 3rd quarter of 2010

About XIRING__________________________________________________________________

XIRING, a security solutions provider for electronic transactions, develops security software embedded in smart card readers and terminals for strong authentication and electronic signatures.  XIRING is the market leader in SESAM-Vitale healthcare terminals for generating and signing electronic medical claim forms or for updating healthcare cards in France and also works alongside authorities in the field of healthcare system dematerialization in international markets.  In the area of electronic identity (e-ID), XIRING proposes a broad range of solutions for public authority staff and citizens to meet the latest market challenges with secure electronic identity documents systems: national electronic identity cards, electronic passports, public transport cards, professional cards.  XIRING is listed on the Alternext compartment of the NYSE-Euronext Paris stock exchange.  For further information:  www.xiring.com

CONTACTS_____________________________________________________________________

XIRING Press relations: Pauline Cieutat                 Tel:  +33 (0)1 46 25 80 23 - pressoffice@xiring.com

XIRING Investor relations:                                    Tel:  +33 (0)1 46 25 80 80 - invest@xiring.com

ACTIFIN: Anaïs de Scitivaux                                  Tel:  +33 (0)1 56 88 11 14 - adescitivaux@actifin.fr