Checkpoint Systems Increases Leadership Position in Australian Market

More Australian Retail Chains Opt For Checkpoint’s RF EAS Technology

THOROFARE, N.J.–(BUSINESS WIRE)–Feb. 1, 2001–Checkpoint Systems, Inc., (NYSE: CKP), a leading provider of supply chain management and security solutions worldwide, has further expanded its presence in the Australian market with mandates to install its RF EAS security systems in retailers Tandy, Adairs and Australian Unity.

Tandy

Tandy, the Australian division of InterTan Inc, which operates 225 stores throughout Australia and also operates retail stores in Canada under the Radio Shack name, has awarded Checkpoint a mandate to install its digital wide aisle RF EAS systems. The decision was made after several months of vigorous testing of RF and magnetic-based EAS technologies. Mr. Chris Avery, director of finance, said “After several months of testing both technologies Tandy found similar benefits in EAS systems, however, the key difference to Tandy was the superior customer service levels and the future potential to source tag Tandy products by choosing the Checkpoint RF EAS solution.”

Adairs

Also on the move to source tagging via Checkpoint’s EAS solutions is Adairs, a leading supplier of bedding and homewares. Adairs follows Lincraft, Sheridan and Curtain Wonderland, which both recently chose Checkpoint’s EAS.

Australian Unity

Australian Unity, the integrated financial and health services provider, has also just begun rolling out Checkpoint’s digital RF EAS systems to its pharmacy stores. “The chain can now move swiftly to gain the immediate impact of EAS shrink reduction and can also benefit from source tagging the group’s high risk products,” said Alfie Pezzi, manager of operations.

“The decision by these retail stores to install our systems over other providers attests to Checkpoint’s growing superiority in the Australian market,” said Alun Wilson, vice president and general manager, Asia Pacific, of Checkpoint Systems, Inc. “Checkpoint’s success in Australia confirms our decision to invest significant resources to capture and dominate emerging marketplaces. Our Australian operation is now providing profitable growth returns to our shareholders.”

Checkpoint’s RF EAS systems use proprietary digital radio frequency-based (RF) technology. When an active product tag passes through a sensor’s detection field, it interrupts a radio frequency signal, triggering an alarm that alerts the retailer to a possible shoplifting attempt.

Australian chains already using Checkpoint’s RF EAS systems include the Coles Myer group, with over 800 stores now protected (including Coles and Bi-Lo supermarkets, Myer Grace Bros department stores, Target Australia, Kmart Australia, Officeworks, MyCar and Liquorland brands), as well as other chains including Woolworth’s Big W, Dick Smith Powerhouse stores, Lincraft, Valley Girl, My Size, Supre, Repco and Australia Post.

Worldwide, Checkpoint’s RF EAS systems are already being used by major retailers including Albertson’s/American Stores, Carrefour, Casino, Champion, Continente, Coop Italy, Despar, Eckerd Corporation, El Corte Ingles, Euromercato, GS Supermarkets Italy, Harrods, Ikea, Intermarche, La Rinascente, Kohl’s Department Stores, Mercadona, Obi, Rite Aid Corporation, Target Corporation, Toys “R” Us and Walgreen Co.

Checkpoint Systems, Inc. is a $700 million multinational company that manufactures and markets labeling systems designed to improve efficiency, reduce costs and provide value-added label solutions for customers across many markets and industries. Checkpoint is a leading provider of digital RF EAS and RFID systems, RF source tagging, barcode labeling systems, hand-held labeling systems, and retail merchandising systems. Applications include automatic identification, retail security, and pricing and promotional labels. Checkpoint has a global network of 30 subsidiaries and provides professional customer service and technical support around the world. Checkpoint Systems, Inc.’s web site is located at www.checkpointsystems.com.