Digimarc to Provide Secure Voter IDs for Upcoming Elections in Haiti; Digimarc to Produce Newly Designed, Secure ID Cards for Millions of Haiti Voters

Under the contract, awarded by the General Secretariat of theOrganization of American States (OAS), Digimarc will produce Haitiannational ID cards at its secure central issuance printing facilitiesin Mexico. The OAS is providing the CEP with technical assistance forthe massive voter registration drive currently underway, and for theprovision and distribution of the national ID card, to be used asobligatory identification for eligible Haitian citizens voting inlocal, legislative and presidential elections, to be held in thecoming months.

Secure, photo-based voter IDs play a critical role in countriesaround the world in fostering democratic elections and, often, as asecure credential for conducting business at banks, governmentagencies and retail stores. The Haitian program will take advantage ofDigimarc's secure ID production facility in Mexico, which currentlysupports the printing of millions of Mexican voter IDs and employs theindustry's best practices for secure materials management and advancedaudit and control processes for zero-gap production -- accounting forevery piece of material and every piece of identification produced.

"Digimarc is committed to providing state-of-the-art secureidentification documents and production processes for citizenidentification programs," said Bob Eckel, president of Digimarc IDSystems. "We are pleased to provide this essential secure credentialin support of Haiti's electoral process."

This inaugural program with Haiti marks further expansion ofservices by Digimarc in the Caribbean and Latin America region.Digimarc secure personal identification solutions are currently usedin key ID programs in Mexico, Costa Rica, Honduras, Brazil, Colombia,and Puerto Rico.

About Digimarc

Digimarc Corporation (Nasdaq:DMRC), based in Beaverton, Oregon, isa leading supplier of secure identity and media management solutions.Digimarc provides products and services that enable the production ofmore than 60 million personal identification documents, includingtwo-thirds of U.S. driver licenses and IDs for more than 20 countries.Digimarc's digital watermarking technology provides a persistentdigital identity for various media content and is used to enhance thesecurity of financial documents, identity documents and digitalimages, and support other media rights management applications.

Digimarc has an extensive intellectual property portfolio, with200 issued U.S. patents with more than 4,000 claims, and more than 400pending patent applications in digital watermarking, personalidentification and related technologies.

The Company is headquartered in Beaverton, Oregon, with other U.S.offices in Burlington, Massachusetts; Fort Wayne, Indiana; and theWashington, DC, area; and international offices in London and Mexico.Please go to www.digimarc.com for more Company information.

Securities Safe Harbor

With the exception of historical information contained in thisrelease, the matters described herein contain certain "forward-lookingstatements" that are made pursuant to the "safe harbor" provisions ofthe Private Securities Litigation Reform Act of 1995. Suchforward-looking statements include statements relating to the expectedbenefits of the use of Haiti's new, secure voter ID cards, statementsrelating to future card production estimates and other statementscontaining the words "believes," "expects," "estimates,""anticipates," "will" or words of similar import or statements ofmanagement's opinion. These statements are subject to certainassumptions, risks, uncertainties and changes in circumstances. Actualresults may vary materially from those expressed or implied from thestatements herein or from historical results, due to changes ineconomic, business, competitive, technological and/or regulatoryfactors. More detailed information about risk factors that may affectactual results is set forth in filings by Digimarc with the Securitiesand Exchange Commission, including but not limited to those describedin the Company's Form 10-Q for the quarterly period ended June 30,2005, in Part I, Item 2 thereof ("Management's Discussion and Analysisof Financial Condition and Results of Operations") under the captions"Liquidity and Capital Resources," and "Risk Factors," and in Part I,Item 4 thereof ("Controls and Procedures"). Readers are cautioned notto place undue reliance on these forward-looking statements, whichreflect management's opinions only as of the date of this release. Weundertake no obligation to revise or publicly release the results ofany revision to these forward-looking statements.