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May 29 th - 31 st , 2006 Shrink Management Solutions Innovation to ‘free the consumer’ by improving access to theft-sensitive products EUROPEAN PRESS KIT Checkpoint Systems Europe www.CheckpointEurope.com Scaricato da www. .info

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May 29th - 31st, 2006

Shrink Management Solutions

Innovation to ‘free the consumer’by improving access to theft-sensi t ive products

EUROPEAN PRESS KIT

Checkpoint Systems Europe

www.CheckpointEurope.com

Scaricato da www.

.info

Checkpoint Systems Europe

www.CheckpointEurope.com 2

Table of contents

Shrink Management Solutions:

Innovation to ‘free the consumer’ p. 03

I- GfK European Consumer Research key findings p. 04

II- Checkpoint Systems p. 06

1. Smart tags: new generation of RF labelling solutions p. 07

• IQ-Series

• RFID: success story with Lemmi Fashion

2. In-store intelligence p. 10

3. Global Sourcing by CheckNet p. 12

4. Secured Merchandising p. 13

III- Carrefour: source tagging to ‘free the consumer’ p. 15

1. The reasons why p. 15

2. Checkpoint’s Shrink Management Programme provides

tailor-made solutions for Carrefour p. 15

IV- Checkpoint Corporate Overview p. 17

1. Corporate Overview p. 17

2. Key figures p. 17

3. Biographies p. 18

V- Press contacts in Europe p. 20

Checkpoint Systems Europe

www.CheckpointEurope.com 3

Shrink Management Solutions: Innovation to ‘free the consumer’Everyday, European consumers demand more: more product availability, more ‘hands on’ contact to help them to make their purchasing choices and a faster, more satisfying shopping experience (Source: GfK European Consumer Survey, May 2006).

However, shrink remains a major problems for retailers today. Shrink from both external and internal theft cost European retailers more than 32 billion euros last year (Source: European Theft Barometer, 2005), a problem that has an impact on the service they offer to consumers. Retailers and CPGs need to work closely with solutions providers to answer consumers’ needs without sacrificing the protection necessary for theft-sensitive products.

How can we improve consumer satisfaction on access to theft sensitive products? Which innovations exist to enhance the store environment?

Checkpoint Systems: Innovation to ‘free the consumer’

At the ECR 2006, Checkpoint Systems will give a conference with Carrefour and the GfK research institute to discuss these topics. GfK will reveal key findings on consumers’ expectations of anti-theft solutions. Carrefour will be presenting the solutions they have implemented to improve the consumer shopping experience.

Checkpoint, the leading provider of solutions that help retailers and manufacturers to identify, secure and merchandise consumer goods worldwide will demonstrate how it can help retailers to efficiently fight skrink while facilitating the retail industry and CPGs to better serve consumers.

Checkpoint Systems Europe

www.CheckpointEurope.com 4

I- GfK European Consumer ResearchThe GfK Group, the No. 5 market research organization worldwide and its Custom Research division, conducted a consumer study in April 2006 in France, Germany, the UK and Spain. The research was conducted among one thousand European consumers with five categories of products selected: cosmetics, textile, shoes, alcohol and mobile phones.

ObjectivesGfK’s objective was to find out consumers’ perceptions on anti-theft solutions.

Key findingsThe research reveals that 83% of European consumers want easy access to products before buying them.

Product accessibility and speed are key for consumersThe results of the survey revealed that European consumers demand accessibility to products: 84% need to see the whole product and 83% need to have easy access to products before buying them. The consumers interviewed in the survey stated, for example, that trying functions on a real cell phone (84%) and being able to easily try on clothes and sneakers (93%) are priorities for them. In addition, it is important to them to be able to clearly read information on cosmetics (88%) or spirits (83%), without having to ask for assistance from shop staff. Consumers were unanimous that a protecting system must not be damaging to a product, especially for textile and shoes. Finally, there was widespread agreement that the security device should allow purchasing without wasting consumers’ time.

Key items for consumers

See whole product

Easy access to product

Not damaging for product presentation

Not time wasting at cash

Complete purchase as quickly as possible

Effectively prevent theft

Easily removed

Discreet

Aesthetic

GfK’s study reveals that retailers could increase European consumers’ satisfaction by improving access to products.

Source: GfK for Checkpoint Systems

Checkpoint Systems Europe

www.CheckpointEurope.com 5

The ideal protection systems ‘Musts’ for consumers

Impact on purchasing behaviour

Closed-window shelves have prevented 73% of European consumers from buying products at least once. French and Germans are particularly intolerant to closed-window shelves: in these countries, the score reaches 86% and 84% respectively. At 70%, the United Kingdom is below the average, but this still represents a high figure, while the Spanish consumers appear to be the most tolerant of closed-window shelves with only 53% of them having been prevented from buying once.

Visible anti-theft devices such as lockers on bottles or hard tags on clothes are the most accepted by consumers, while non self-service solutions are strongly rejected.

Source tagging, invisible security devices applied at source, is widely preferred by European consumers. 81% of them consider source tagging to be the most satisfying solution. A consumer briefly summarised the effect of source tagging applied on a bottle of spirits: “It makes the item secured against theft and is still easy to purchase”.

Preparing the future with interactive RFID technology

There is a strong consensus about the potential of RFID solutions among European consumers: 93% are interested in RFID technology applications providing information on the product at the point of sale and giving, among other things, promotional and technical information on the product (stock, sizes, colours, availabilities, etc.). As for RF source tagging, deactivation of RFID tag is important for European consumers.

Source: GfK for Checkpoint Systems

5. NICELOOKING

(discreet, aesthetic)

4. THEFTPREVENTION

3. NOT TIME WASTING(at cash/ Must allow to complete purchase

as quickly as possible, easily removed)

2. NOT DAMAGING(for product itself or its presentation)

1. ACCESSIBILITY(Must allow to see product, to read its label,

to try it, to touch it, to access it without difficulty)

Checkpoint Systems Europe

www.CheckpointEurope.com 6

II- How Checkpoint’s solutions help to ‘free the consumer’“Consumers have specific needs in terms of the protection and promotion of merchandise. By understanding the needs of each of these consumers, Checkpoint can develop solutions that add real value to retailers and Consumer Packaged Goods manufacturers by reducing theft and optimising sales”, Per Levin, Worldwide President Shrink Management and Merchandising Solutions Checkpoint Systems.

From Shrink Management to Merchandising and RFID, Checkpoint Systems is at the forefront of innovative new solutions to ‘free the consumer’.

Checkpoint’s solutions: providing better ways for consumers to shop

• Smart tags: new generation of RF labelling solutionsNew and powerful RF Labels attached to products at source revolutionise the retail space by dispensing with time-consuming manipulations of theft-sensitive products in store. Product presentation is vastly improved, the shopping environment is made more satisfying for consumers and more secure and effective for retailers.

• In-store intelligencePowerful and easy-to-use data analysis software gives retailers information on all shrink-related incidents in store, allowing them to change their loss prevention paradigm: from a ‘hope for the best’ selection of anti-theft hardware to a means of creating a better environment for consumers based on the analysis of hard facts.

• Global sourcing with CheckNetFor today’s consumers speed and choice are priorities. In order to deliver consumer satisfaction, manufacturers and retailers need solutions that can adapt to the demands of a global supply chain. Solutions like on-the-spot print shops and on-line ordering help to provide the right products at the right time.

• Open and Secured MerchandisingOpen Merchandising is essential in today’s shopping environment: consumers demand free, intuitive spaces where they have the liberty to handle products before making their choices. Staffs are freed up to spend their time providing better service for customers.

Secured Merchandising allows retailers to have in their hands new ways to speak to their consumers, opening the door to interactive promotions and smart shopping; all within the framework provided by increased security in their stores.

“By understanding the needs of each of these consumers, Checkpoint can develop solutions that add real value to retailers and Consumer Packaged Goods manufacturers”Per Levin.

Checkpoint Systems Europe

www.CheckpointEurope.com 7

1. Smart tags: new generation of RF labelling solutions

The introduction of source tagging into the retail environment has changed the way that consumers shop, releasing products from security packaging or behind glass cases. Now consumers can have ‘hands on’ contact with products in their original packaging—while retailers have the confidence of knowing that their products are protected with the latest RF technology. Source tagging breaks down the last barriers to sales.

When products arrive in-store already equipped with sophisticated RF tags, the cost and time benefits can be significant. Discreet and powerful, Checkpoint’s RF EAS Source Tags provide top-level security for a wide variety of consumer goods. The value of saving labour time by eliminating the need for in-store security tagging can be passed on to sales. Checkpoint’s RF EAS Source Tags can be easily de-activated at point of sale, keeping customer flow at optimum rates.

Protection at source gives products the added value that makes a real difference in a competitive retail market, improving product merchandising and stimulating impulse buying. Previously, products that were often stolen may have had a reduced shelf quantity or been positioned out of reach of customers. Now, thanks to source tagging, products are put within easy reach of customers.

Checkpoint’s paper-thin EAS tags can be hidden virtually anywhere on any product or in any type of packaging, applied seamlessly to:

• Paperboard packaging

• Woven into garments

• Integrated into price-marking and product ID tags

• Under bottle labels

Recent advances in RF technology have allowed source tagging to spread into new sectors of the retail market. These include the development of ‘Food Safe’ tags, certified for use with fresh food, and new manufacturing processes that improve tag performance and have a lower impact on the environment.

Currently, 2.800 manufacturers participate in Checkpoint’s Source Tagging programmes, applying tags to tens of thousands of consumer goods worldwide.

Checkpoint Systems Europe

www.CheckpointEurope.com 8

Checkpoint’s Source Tagging products

“EasyWearTM” tag: a deactivatable tag, specially developed to be directly integrated into apparel.

“Force Tag”: tear proof label with integrated RF tag.

“New 615 Shoe Tag”: label integrated in the shoe during production. Adapted for a full range of shoes, style and sizes; ideal performance with 3G antennas.

IQ-Series: a new generation of high speed RF Source Tagging solutions that allow easy migration to RFID

The IQ-Series, a new generation of high speed RF source tagging solutions that allow easy migration to RFID for the retail industry.

The IQ-Series doubles the rate of hourly tag applications and sets the new worldwide benchmark for quality and performance high speed labelling applications.

The IQ-Series has been designed for fast source tagging applications for consumer goods, including spirits, food, health, beauty and fashion. Via a simple circuit switch, the IQ-Series can be adapted for RFID, in line with retailers timetable and expectations.

IQ-Series: a solution for CPGs

Designed from its inception for high speed industrial application, the new, patented IQ-Series offers significant enhancements over existing RF labelling solutions. It has the highest electro static discharge (ESD) tolerance of any RF EAS circuit in the world (25 Kv), and is extremely robust and resistant to the demands of industrial processes. The IQ-Series can be applied to consumer packaged goods at speeds of up to 30.000 units per hour, compared to 15.000 units for standard auto apply RF labels (or less than 300 units per hour for EAS in-store labelling) making the IQ-Series ideal for automatic application source tagging.

The IQ-Series comprehensively resolves static issues, and, when combined with Checkpoint’s high speed in-line RF tag detector, offers the highest standard of quality available on the market.

Checkpoint Systems Europe

www.CheckpointEurope.com 9

Designed to be integrated into consumer goods, the innovative IQ-Series has been launched to answer the needs of CPGs in terms of fast replenishment of shelf-ready protected goods. At a time when source tagging and RF EAS technology are becoming standards in Europe, Checkpoint offers a high level solution to fight shrink, the loss of goods caused by shoplifting and internal fraud.

The IQ-Series can be applied to hard goods such as wine & spirits, health and beauty, office products and accessories, OTC pharmaceutical products, label and packaging integrators as well as in textile products, where the IQ-Series can be integrated either in the pocket tag or in the swing ticket.

The IQ-Series is available in small 4x4 cm format for application to a wide-range of consumer goods.

From RF source tagging to RFID

Checkpoint Systems is currently working on the convergence of RF and RFID technology, preparing its clients for the evolution of the market’s needs. Indeed, for most retailers, RFID appears as a logical next step from the RF source tagging process. As an evolving platform, the IQ-Series, is a ‘ready for intelligence’ circuit with chip switch feasibility which represents not only an easy migration path from RF to RFID but also a possible cohabitation of RF and RFID in the same label.

In the near future, Checkpoint’s innovative Source Tagging solutions will allow retailers to still use their RF anti-theft equipment while developing real time inventory and smart merchandising RFID applications.

Lemmi Fashion selects Checkpoint RFID hangtags to improve consumer service

Checkpoint Systems has been chosen by Lemmi Fashion, a Fritzlar, Germany-based producer of children’s apparel, to supply the company and its strategic partners with RFID hangtags. The RFID consumables will be used as part of a strategic initiative to help improve the service that Lemmi provides to consumers by ensuring speed to market, inventory management, and order accuracy. Checkpoint Systems is supplying Lemmi’s manufacturing partners in Asia and Europe with Performa® 13.56 MHz RFID-enabled hangtags. The hangtags, which include a visible version of the RFID tag and a traditional bar code, contain data such as article number, size, and colour.

“Because of our small lots and multiple product offerings, we needed to find an RFID tagging provider that could satisfy our unique performance and production requirements,” said Götz Pfeifferling, CIO of Lemmi Fashion. “Checkpoint’s experience, responsiveness and ability to deliver a high quality RFID tag at a reasonable price have enabled us to dramatically improve our business processes.”

Since becoming fully operational with its RFID system in mid-2005, Lemmi has delivered a better service to its customers and benefited tremendously through improvements to its supply chain visibility.

Checkpoint Systems Europe

www.CheckpointEurope.com 10

2. In-store intelligence

Retailers can use Checkpoint’s in-store intelligence software to make the shopping environment better for consumers, improving customer service at every level of the POS. Checkpoint’s shrink management expertise allows retailers to create an intelligent security network, linking advanced 3G security antennas with data analysis software to give retailers instant response to all shrink-related issues in store.

3G antennas: fighting shrink at point of sale

The Third Generation, Digital 3G is Checkpoint’s latest generation of ‘intelligent’ and robust digital retail security technology, offering greater detection rates, alarm integrity and retail intelligence. 3G has been developed using the high performance 8.2 MHz signal.

Digital Signal Enhancement, was especially developed to reinforce source tagging efficiency. It provides higher detection rates and alarm integrity, an added advantage for retailers: they can have wider aisles between antennas and can use smaller labels to secure goods.

Third Generation, evolving to the future

The sophisticated new digital RF platform will allow easy up-grading to future RFID applications as the technology becomes readily available.

The Third Generation systems include several models of antennas designed for all sectors within the retail environment, and includes an auto tune feature that enables remote set-up by pilot, which means low maintenance and easy installation.

Resolving shrink issues in external theft

With the recently introduced CheckProTM Manager and Real Time ManagerTM service partnership, Checkpoint is able to work with retailers to measure their in store EAS tagging performance and store staff compliance in a better way than ever before. By using this web hosted service, both retailers and Checkpoint’s own operations teams can measure, monitor and manage the technical and operational performance of an EAS tagging investment – right down to the level of the number of tagged goods passing through the checkouts in the store. Other information, such as the number of alarms per store (or by store entrance) and the store staff response to those alarms allows retailers to build an important and effective picture of this stock loss reduction solution.

Studies have shown that there is a direct link between stores with poor compliance to operational procedures and stores with higher than average shrink – so monitoring stores for EAS performance can be a good indicator of overall procedural compliance.

Checkpoint Systems Europe

www.CheckpointEurope.com 11

Navistor to fight against internal theft

The focus on shrink issues allows retailers to tackle the issue of internal theft. According to recent reports (European Theft Barometer, 2005), theft by staff members is increasing as a percentage of the overall shrink figure.

Navistor is a best of breed data mining and performance monitoring application developed by Checkpoint for retailers to be able to investigate shrink data in an adapted way. Used by leading North American retailers, the solution has three key elements that allow a Loss Prevention analyst to work effectively to identify key issues (Key Performance Indicators - KPIs) that are associated with cashier operations, with data available to them instantly and in a format that suits the LP task.

These KPIs target a range of issues related to both theft and training, and are not limited to a static fixed range of measurements – retailers are free to design their own KPIs so that Navistor is always a dynamic and evolving tool. Navistor also allows the LP professional to produce trending and scorecards that can be based on individual stores, regions, cashiers or departments – these allow the retailer to benchmark critical KPIs – helping the retailer continually strive for operational excellence. The system also has a three dimensional ad hoc data mining function – a powerful tool that allows Loss Prevention teams to quickly become data experts in their own organisation.

The power of the Navistor solution results in the creation of KPIs that go beyond loss prevention, tackling operational issues that although not malicious shrink, are shrink related, as they have a direct effect on the bottom line profitability of the retailer.

Checkpoint Systems Europe

www.CheckpointEurope.com 12

3. Global Sourcing by CheckNet

The most successful retailers are those that are able to adapt to ‘the speed of fashion’. Consumers demand the latest styles and products on shelves immediately and with a global supply chain it is increasingly difficult to keep ahead of consumers’ expectations. CheckNet is Checkpoint’s answer to the logistical challenge of providing branded products in-store, ‘just in time’.

CheckNet offers fast ticket delivery anywhere in the world, including branded labels, price tickets, EAS security labels, woven and care labels, as well as customer variable data labels. The information is managed through a Website, which is connected to the retailer’s computer.

Fast ticket delivery

Checkpoint operates its own global network of labelling facilities close to the world’s busiest points of manufacture. There are now twenty six 24/7-operation CheckNet ‘workshops’ or ‘bureaus’, printing approximately 10 billion tags and labels from top quality branded labels to integrated data management, all of which means greater efficiencies and reduced costs. Labelling and securing of items is at local cost and the retailer requires no labelling investment or tag inventory.

Efficient data management

More than just an ordering service, CheckNet is a fully operational data management platform, allowing retailers to electronically order and track the progress of tags and merchandise in real time. CheckNet’s data management services can be integrated into the client’s database to provide vendor reports, price changes, quality control and information.

CheckNet allows vendors to handle rush orders and amend long and short run SKU’s efficiently and logically. In short, CheckNet makes sense to the chaotic demands of the retail industry, improving consumer satisfaction and saving time in store.

Checkpoint Systems Europe

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4. Merchandising Solutions

Merchandising is strategic in the retail industry: consumers appreciate clear information at point of sale, helping them to make their shopping choices within a more open and attractive environment. Checkpoint’s Merchandising solutions are dedicated to ‘freeing’ the consumer, by making the shopping experience easier, more convenient and more satisfying.

Under the Meto brand name, Checkpoint brings a wide variety of innovative and highly cost-effective Merchandising Solutions to the global retail market, covering the areas of in-store communication and promotion, retail signage and shelf management.

Checkpoint, partner of choice in Classic Merchandising

Checkpoint is a partner to many global retailers and brand manufacturers through its comprehensive range of stock Merchandising Solutions, providing high impact point-of-sale visibility and flexibility. An efficient supply chain and user-friendly product design enable the company to offer its customers high-impact ‘standard’ solutions at low investment and low operational cost.

Checkpoint’s partnership with retailers and brand manufacturers is taken to an even higher level, by providing highly customised in-store merchandising solutions. The company can produce any type of signage, including highly technological communication and promotion media, in the corporate style of its customers and in accordance with their strategies to draw the consumer’s attention.

Checkpoint Systems Europe

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Secured Merchandising:

Checkpoint’s mission to enable retailers and manufacturers to be more successful in ‘selling more and losing less’ is expressed in the unique combination of Shrink Management and Merchandising Solutions. Building on its strengths in both areas, Checkpoint aims to provide its customers with creative and innovative solutions to sell more and lose less at the lowest possible cost.

‘Secured Merchandising’ doubles security hardware and consumables as communication and promotion media, as well as offering solutions that allow theft-sensitive articles to be presented in open displays and in more attractive ways, to ‘free the consumer’ and maximise profits.

CoverLine and advertising panels turn security antennas into a high impact message space at store entrance and exit points. Checkpoint also offers the possibility of communication and promotion on consumables like secured labels and secured branding or variable data tickets.

MemoAgent allows theft-sensitive electronic products to be presented in open displays, while also being secured. Optical sensors enable the delivery of smart messages on a monitor whenever a consumer picks up a product.

Red Tags are easy to handle, practically invisible security elements that allow the presentation of theft-sensitive dvd’s and games in open displays.

Smart Merchandising:

Checkpoint is constantly looking to develop smart solutions that allow retailers and brand manufacturers to improve efficiency and establish a more attractive shopping environment for the consumer.

Prestige software: customised and centrally-managed poster design service, ordered over the web and distributed to local stores, allows for flexible communication and promotion in a fast moving retail environment.

Smart solutions for Shelf Management: E-Pusher to generate ‘real-time’ data on stock availability relay data for inventory control (re-stocking and re-ordering) while making sure the products are in ‘pole position’ at all times.

Smart solutions for shopping convenience: ‘Rolling baskets’ take the weight out of shopping and increase average spend by 18 percent.

Checkpoint Systems Europe

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III- Carrefour: source tagging to ‘free the consumer’1. The reasons why

The Checkpoint Carrefour deal represents not only the biggest rollout of RF technology to have been seen in Europe over the last ten years, it is a sign that the retail market is changing to adapt to the needs of consumers. Carrefour’s decision to switch to RF technology source tagging demonstrates the collaborative approach of the world’s second largest retailer, which is working closely with suppliers, and with Checkpoint, to redefine the retail environment of the 21st century.

The use of RF technology —including EAS labels applied to sensitive products at source, advanced technology 3G antennas and software analysis suites— signifies not only a substantial improvement in controlling shrink, it is a means to sell more through better product merchandising and improved on-shelf availability.

Today, more and more retailers are recognising that the days of inefficient in-store tagging are behind us. RF source tagging allows retailers to put sensitive products on open display, providing a more attractive shopping environment for consumers resulting in higher turnover, more efficient use of staff and increased speed to shelf: all essential ingredients to increase consumer satisfaction.

2. Checkpoint’s Shrink Management Programme provides tailor-made solutions for Carrefour

The Checkpoint-Carrefour deal is designed to bring immediate benefits to consumers at point of sale. By employing Checkpoint’s RF source tagging technology, each retail department at Carrefour—including electronic consumer goods, perfumery and stationary—will be able to improve customer access to products and save time by avoiding time-intensive security tagging in store: which means that POS staff can be redirected to providing better customer service.

Checkpoint and Carrefour have announced a close collaboration: the agreement includes a full-time, hands-on Checkpoint advisor working closely with Carrefour staff to ensure successful rollout and subsequent operations.

“Carrefour has made the shift to RF technology to develop source tagging, facilitate the consumer’s shopping experience and improve speed to shelf”Jean-Claude Coutant, Director of projects for Carrefour Hyper France’s non food supply chain, in charge of source tagging.

Checkpoint Systems Europe

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The spread of RF

The Checkpoint-Carrefour deal, which includes the installation of digital RF technology in all 179 of Carrefour’s hypermarkets in France, demonstrates that digital radio frequency (RF) technology is taking hold in Europe. Already used in Italy, Spain and Belgium, RF is rapidly becoming standard technology across Europe. This move will help Carrefour improve product flows and effectively combat shrink from theft, which represented a loss of 32 billion euros for retailers in Europe in 2005 and more than 5 billion euros in France alone (Source: CRR).

Under the agreement, Checkpoint Systems will supply 7,800 third-generation digital RF antennas and 8,300 new-generation CP IX deactivators and scanners for checkout counters. To optimize shrink management, Checkpoint will also deploy 179 CheckProTM Manager software suites and the accompanying remote-maintenance application.

Deployment of Checkpoint Systems’ Shrink Management Programme for Carrefour in France began in late 2005, in 16 hypermarkets. Installation is scheduled in 75 more outlets in 2006. The programme is scheduled to be completed by the end of 2007.

Carrefour Italy, Spain, Portugal and Belgium are also setting up 3G digital RF systems from Checkpoint in a number of hypermarkets. Cooperation among operations in France, Spain, Italy, Portugal and Belgium should help speed deployment of Source Tagging Programmes throughout Europe. The CheckProTM Manager web-enabled shrink management solution and related remote-maintenance applications are also being tested.

An ambitious source tagging programme for consumer goods

Along with equipping its stores, Carrefour is launching an ambitious Source Tagging Programme in which RF electronic article surveillance (EAS) labels/tags are integrated into products when they are manufactured. The programme will be rolled out over the entire year and will cover theft-sensitive articles in all product families-apparel, multimedia, alcohol etc. – from both private labels and national brands.

Source tagging helps retailers respond to consumers’ increasingly high expectations for product presentation and speed to shelf.

Checkpoint Systems Europe

www.CheckpointEurope.com 17

IV- Checkpoint Systems Corporate overview1. Corporate Overview

Checkpoint Systems, Inc. is a multinational manufacturer and marketer of integrated systems solutions for retail security, labelling and merchandising. Checkpoint provides technology-driven integrated supply chain solutions to brand, track and secure goods for retailers and consumer product manufacturers worldwide.

Checkpoint Systems: a leading provider of EAS

Checkpoint is a leading provider of EAS (electronic article surveillance) systems and tags using radio frequency (RF) and electromagnetic (EM) technology, security source tagging, branding tags and labels for apparel, retail display systems and hand labelling systems. Checkpoint’s labelling systems and services are designed to consolidate labelling requirements to improve efficiency, reduce costs, and furnish value-added solutions for customers across many markets and industries.

Checkpoint Systems’ products provide solutions for applications in the retail, commercial, government and industrial markets served through a worldwide network of sales, service and manufacturing operations.

Established in 1969, Checkpoint Systems Inc. is today the leading provider of RF based loss prevention systems. 350,000 Checkpoint EAS systems are installed worldwide. Among companies protecting their goods with Checkpoint’s RF/EAS systems are Europe’s top retailers (including Carrefour, Auchan, El Corte Inglés, Ahold, Metro, B&Q, House of Fraser, Matalan, Superdrug, Hamleys) and consumer packaged goods manufacturers.

International presence

With subsidiaries in more than 30 countries throughout the world, including Europe, North and South America and Asia, Checkpoint Systems has a global reach that helps produce comprehensive labelling and protection systems for supply chains from point of manufacture to end user.

2. Key figures

Turnover in 2005: 721.0 million dollarsTurnover in 2004: 671.6 million dollarsNumber of employees Dec. 2005: approximately 3 600 employees Research & Development in 2004: 29 million dollars

Checkpoint is the leading provider of RF based loss prevention systems.

Checkpoint Systems Europe

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3. Biographies

Checkpoint Systems Inc.

PER LEVIN Worldwide President, Shrink Management & Merchandising Solutions Checkpoint Systems.

Since 2006, Per Levin is the Worldwide President, Shrink Management and Merchandising Solutions Checkpoint Systems. Previously, he was President of Checkpoint Systems, Europe. Mr. Levin joined Checkpoint in 1995 as Managing Director, launching Checkpoint’s subsidiary in Spain. He was later promoted to Managing Director Southern Europe, where he started the Portuguese and Italian subsidiaries.

With Checkpoint’s acquisition of Meto AG in 1999, Mr. Levin was promoted to Regional Manager for Southern Europe and added the Middle East and Africa regions to his responsibilities. In February 2001 he was promoted to Vice President, General Manager Europe and in 2006 he has become Worldwide President, Shrink Management & Merchandising Solutions.

Per Levin holds an MBA from the University of Stockholm, Sweden. Prior to joining Checkpoint, he held management positions in Sweden with Volkswagen/Audi/Porsche, in Latin America with Sweda Information Systems, and in Spain with Riva Electronics.

Checkpoint Systems Europe

BERNARD GREMILLETPresident for Europe.

Bernard Gremillet is since March 2006, Checkpoint’s President for Europe. Prior to that, he held the position of Western Mediterranean Unit Manager (including France & MEA/Greece, Spain & Portugal, Italy, the UK and Benelux) since March 2004, when he joined the company.

Before joining Checkpoint, Bernard worked for 2 years as an independent consultant, with Checkpoint as one of the main clients.

Between 1975 & 1997, Bernard worked with Schlumberger, starting in Indonesia as a field engineer, before moving to Myanmar and then Japan, Taiwan, Brunei, France, Gabon, Angola where he held different Management positions. In 1989, he became VP and GM for Latin America, and after various VP positions in R&D and Marketing, he moved on to join YPF in 1997, as VP Engineering and Technology, in Buenos Aires.

In 1999, he was appointed VP Refining/Petrochemicals, Marketing & Distribution and then moved to Madrid as Repsol YPF Corporate Director for Engineer & Technology, and later Corporate Director e-business.

Born in France in 1952, Bernard graduated from Ecole Polytechnique in Paris.

Checkpoint Systems Europe

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Checkpoint Systems Europe

NEIL MATTHEWSVice-President & General Manager, Shrink Management Solutions Europe.

Neil Matthews first joined Checkpoint as EAS General Manager in 2001. In 2002, he was promoted to Managing Director for the UK division and in 2004 was appointed General Manager, Shrink Management Solutions.

After graduating with a degree in Chemical Engineering from Leeds University, Neil started his career at Alfa-Laval where during his 10 years he held the positions of Graduate Engineer and Sales Manager.

In 1991, Neil joined Tetra Pak – the world’s leading food packaging company – as Business Director for the Soft Drinks division in the UK. Neil was later promoted to Commercial Director, Tetra Pak UK.

Checkpoint Systems Europe

ULRICH SCHÄFERVice-President & General Manager NCE Unit, Managing Director Germany.

Ulrich Schäfer (1957) is, since 2004, Vice-President & General Manager NCE Unit (Nordic, Central & Eastern Areas) and Managing Director for Checkpoint Systems Germany. Schäfer joined Meto GmbH in 1998 as Managing Director Germany. After the acquisition of Meto by Checkpoint Systems in 1999, he became Managing Director for Checkpoint in Germany. In addition, in 2001 he became Regional Director for Central and Eastern Europe.

Ulrich Schäfer holds a degree in Economics from the University of Gießen, Germany. Prior to joining Meto and Checkpoint, he held senior management positions in Germany within Esselte, spent six years as Managing Director of Esselte Letraset and, until 1998, was Managing Director of Dymo.

Checkpoint Systems Europe

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V- Press contacts in Europe

Benelux: Influx PRContact: Ms. Gerline van WijnenTel: +31 55 366 30 34. E-mail: [email protected]

Denmark: Checkpoint Systems DenmarkContact: Allan MortensenTel: +45 44 84 14 44. E-mail: [email protected]

Finland: Checkpoint Systems FinlandContact: Vesa SaarinenTel: +358 207 590 000. E-mail: [email protected]

France: CMP PresseContact: Ms. Elodie Le RolTel: +33 1 41 49 94 70. E-mail: [email protected]

Germany: Peckert GruppeContact: Ms. Antje KiewittTel: +49 228 91158 22. E-mail: [email protected]

Italy: Checkpoint Systems Italia SPAContact: Ms. Antonella FantuzTel: +39 02 90355202. E-mail: [email protected]

Poland: Checkpoint Systems Contact: Mr. Piotr MielcarekTel: +48 61 8462 300. E-mail: [email protected]

Portugal: Young Network PR AgencyContact: Ms. Rita Almeida Tel: +351 21 750 60 58. E-mail: [email protected]

Spain: NewslineContact: Mr. Miguel RamosTel: +34 93 580 10 12. E-mail: [email protected]

Sweden: InformationsCompagniet ABContact: Robert NyströmTel: +46 8-660 1805. E-mail: [email protected]

UK: Citigate CommunicationsContact: Mr. John WilsonTel: +44 121 456 3199. E-mail: [email protected]

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