TAG Company UK Comments on Impact of US Court Decision
“Business as Usual for Leading EAS Provider in the UK”
HARMONDSWORTH, England, (15th January, 2009)

In 2006, TAG Company launched the proprietary Series 58 Acousto-Magnetic (AM) label to meet the global demand for an alternative supplier of AM labels.  In a recent lawsuit in Florida, a court has now ruled that the Series 58 label infringed US patents held by Florida based Sensormatic Electronics Corporation, a division of ADT Security Services.

As a result of the ruling in the US, TAG US and Phenix Label, the manufacturers of the Series 58 label, have suspended sale, use, import and production of the Series 58 label.  Since all production of the Series 58 label was based in the United States, this also halts supply of Series 58 to all international markets.

Jon Marchese, Director of Business Development for TAG UK comments: “TAG US and Phenix Label jointly developed Series 58 as a response to customers' requests for an alternative AM Label solution.  The court case was keenly contested and all at TAG Company are both surprised and disappointed with the court ruling. TAG Company UK has been supplying the Series 58 label to a number of leading retailers across Europe and we feel it's a pity that we cannot continue to meet their need for a choice of AM label provider.”

“On a more positive note, I am delighted to be able to announce that TAG UK has just completed the most successful year in its trading history, even if we exclude the modest contribution of Series 58 from the results”. 

“Everyone at TAG would like to thank our customers and suppliers for their continuing support through 2008. We are also pleased to announce that we are planning to continue our growth in 2009 with both product innovation and continuing focus on our customer service capabilities. It is important for all our trading partners to understand that the decision on the Series 58 label does not effect, in any way,  TAG's ability to continue to supply customers with any of its other services and products. This includes the popular Self Seal Tag ( SSTag™) patented range, used for securing boxed products and entertainment media as well as all our other market leading products.”

“TAG Company remains a strong, robust leader in the industry. Our business continues to be funded by private equity and we are confident that we have the resources to continue our growth in the years ahead.”

About TAG Company
TAG Company is a leading provider of anti-shoplifting solutions, offering a full portfolio of both radio-frequency (RF) and acousto-magnetic (AM) detection systems. As a natural extension of item-level in-store tagging, TAG provides Smart Tagging and Source Tagging solutions. To learn more about how TAG helps retailers around the world Keep and Track their merchandise, or to ask about reseller opportunities, visit us at www.tagcompany.com

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