C.D.I. Systems Announces OEM Agreement for its Digital Rights Management Technology

Browser functionalities such as print, copy, print capture or save are disabled to ensure intellectual property such as product documentation and technical specifications can be accessed only by authorized users in a protected environment.

JERUSALEM---July 1, 2003--C.D.I. Systems, a developer of e-publishing solutions, today announced the signing of an OEM agreement with Aladdin Knowledge Systems (Nasdaq:ALDN - News).

C.D.I. Systems will provide Aladdin with its Digital Rights Management (DRM) technology for the protection of digital content. The DRM technology from C.D.I. Systems is incorporated into Aladdin's HASP DocSeal, a product based on their proven HASP security key hardware. DocSeal is commercially available and is being marketed via Aladdin's worldwide sales network.

C.D.I. Systems' DRM technology, as was integrated in HASP DocSeal, provides the authorized end-user with read-only rights to the protected document. Browser functionalities such as print, copy, print capture or save are disabled to ensure intellectual property such as product documentation and technical specifications can be accessed only by authorized users in a protected environment.

"We are pleased to supply Aladdin Knowledge Systems with quality DRM technology for the protection of industrial content and information," said Itzhak Levit, CEO of C.D.I. Systems. "There is no doubt that in the highly competitive world that we live in, there is a growing need among corporations and global enterprises to safeguard their ‘intellectual property’. The combination of the technologies is opening up new markets and creating new business opportunities for both companies."

"Information is most valuable to the enterprise when it is in the right hands at the right time," says Avi Barir, vice president of software commerce at Aladdin Knowledge Systems. "With the HASP DocSeal system, valuable information is tightly controlled and protected so that only those who have the rights or clearances to view it will be permitted access. Integrating C.D.I.'s DRM technology enabled us to quickly react to the emerging needs of the market for protecting documents."

About C.D.I. Systems

Founded in 1992 by Mr. Hillel Ashkenazy, Adv., C.D.I. Systems is a privately owned software house headquartered in Israel. The Company's e-publishing solutions have been deployed throughout the world as part of interactive legal productions on CD-ROM, dynamic professional databases (on-line and handheld), newspapers, phone directories, electorate registries and encyclopedias. C.D.I. Systems is the leading e-publisher of legal content in Israel and is a principal technology provider to the legal market in Germany.

Earlier this year C.D.I. Systems announced the mass-market release of NetIS™, an electronic publishing platform that integrates Web Content Management (WCM), Digital Rights Management (DRM) and e-commerce tools.

For more information on C.D.I. Systems visit: www.cdisys.com

About Aladdin Knowledge Systems

Aladdin (Nasdaq:ALDN - News) is a leader in digital security, providing solutions for software commerce and Internet security since 1985. Aladdin serves over 30,000 customers worldwide. Aladdin's products include: HASP and Hardlock, hardware-based software security systems that protect the revenues of developers; and Privilege, a software licensing and distribution platform; the USB-based eToken device for user authentication and e-commerce security; the eSafe line of content security solutions that protect PCs and networks against malicious, inappropriate and nonproductive Internet-borne content.

For more information on Aladdin's HASP DocSeal System visit: www.hasp.com/docseall