New Mid-Range PIC16C74 OTP Microcontrollers from Microchip Offer Low Power Ananlog I/O

For Immediate Release

Editorial Contact: Reader & Literature Inquiries: Eric Sells Pete Sorrells, Microchip Technology Microchip Technology Inc. (602) 786-7286 (602) 786-7478 [email protected] [email protected] www.microchip.com

Tom Upshur Checkpoint Systems Inc. (609) 251-2184 www.checkpointsystems.com

NEW 13.56 MHz RFID TAGGING ICs PROVIDE HIGH-PERFORMANCE, OPEN STANDARD FOR LOW-COST TAGGING APPLICATIONS

Jointly developed by Checkpoint Systems and Microchip Technology

CHANDLER, Ariz., Feb. 1, 1999 [NASDAQ: MCHP] — Microchip Technology Inc. today introduced two 13.56 MHz RFID tagging devices which set a new industry standard for price and performance capability, providing an extremely attractive supplement or replacement to traditional barcodes in a variety of applications. In this landmark move, Checkpoint Systems, Inc. and Microchip have leveraged their strengths in RF systems technology and RF semiconductor technology, respectively, to develop a new, open standard for the industry.

The MCRF355 and MCRF360 meet the low cost and high performance levels long awaited by RFID users. They are passive RFID tag engines with advanced anticollision circuitry for reading multiple tags in the same reader field, a unique “cloaking” feature which minimizes the detuning effect of adjacent tags, extremely low power consumption for extended read range, and 154 bits of user memory. Both devices are contact-programmable and will primarily be used in WORM (Write Once Read Many) applications. The MCRF355 allows the user to externally tune a resonance capacitor, while the MCRF360 contains an on-chip 100 pF resonance capacitor. -MORE- ADD ONE – HIGH-PERFORMANCE 13.56 MHz RFID TAGS Because both Checkpoint and Microchip support industry standards for item-level RFID tagging, the two devices are available royalty-free to the open market. Checkpoint plans to use these devices in a number of high-volume tagging systems. Microchip markets only ICs—it does not offer readers or systems which would compete with Checkpoint or other customers. Both companies will offer Developer’s Kits which include working readers, samples and documentation to aid in educating developers, manufacturers, VARs and users.

“Checkpoint’s vast experience as a worldwide leader in RF technology and system development helped Microchip develop a feature-rich RFID solution for the automated data collection industry,” said Peter Sorrells, RFID Marketing Manager for Microchip’s Memory and Specialty Products Division. “13.56 MHz is quickly becoming recognized as the preferred frequency for low cost, high performance RFID systems, and our jointly-developed technology will help expedite the use of low-cost RFID in a variety of new applications.”

The advantages of RFID tags over barcodes include the ability to read through objects, such as parcels or inventory items, and to eliminate inaccurate or missed reads from damaged, dirty or obstructed barcodes. Unlike barcodes, RFID tags can be used in harsh environments and remain resistant to heat, moisture, abrasion, dirt and paint.

RFID tags do not require line-of-sight to the reader in order to read the data in the tag. Combining this inherent strength with extra-long read range and a very good anticollision algorithm, the MCRF355/360 enable many new, high-volume applications. “Anticollision” refers to the simultaneous reading of multiple items in the same reader field. New applications include: reading multiple objects inside a carton or pallet without opening or separating the items; combining security with inventory applications for auto-checkout at libraries and video stores; automatic ski-lift ticket validation to shorten lift lines; automatic counting and sorting at industrial laundries; WIP management in automobile factories; anti-counterfeiting; industrial barcode replacement; medical supply/device tracking; airline baggage and parcel shipping. -MORE- ADD TWO – HIGH-PERFORMANCE 13.56 MHz RFID TAGS The Microchip tags are passive, meaning that they derive all energy for their own operations directly from the electromagnetic field that is generated by the tag reader. No battery is used in the tag. The field is “backscattered”, or loaded, by the tag in order to convey information to the reader.

The MCRF355/360 are contact programmable, providing flexibility to the tag manufacturer or VAR by enabling them to stock blank devices and program the data in real-time as demand requires. Microchip also offers serialized factory programming as an option.

RFID Development System Microchip began educating the industry with its 125 KHz RFID Developer’s Kit and 125 KHz RFID Design Guide one year ago. Now a jointly developed 13.56MHz RFID Development Kit is available to developers, customers and VARs. The new kit is a complete tool for education and development of RFID systems based on the MCRF355/360, including include a working 13.56 MHz anticollision reference reader, contact programmer, samples, schematics, source code and functional tags. A design reference guide complete with PICmicro 8-bit microcontroller code files is also included.

Pricing and Availability Available in samples today, volume production is planned for March 1999. The MCRF355 is $0.30 each and the MCRF360 is $0.35 in wafer and wafer on frame, 10,000-unit quantities. DIP and SOIC packages are also available. The MCRF355/360 version of the Developer’s Kit (DV103003) is available for $999. For more information, visit Microchip’s website at www.microchip.com or contact Pete Sorrells, RFID marketing manager, at (602) 786- 7286 or [email protected]. -MORE- ADD THREE – HIGH-PERFORMANCE 13.56 MHz RFID TAGS Checkpoint Systems, Inc. (NYSE: CKP) is a leading provider of radio frequency systems and tags for retail integrated security solutions. Checkpoint Systems has teamed with Mitsubishi Materials Corporation to create Diamond Checkpoint Development Group, focused on the development of state of the art Radio Frequency Identification (RFID) systems. Checkpoint and Mitsubishi offer a family of RFID products (tags and readers) which target applications in retail, library and industrial commercial markets. Headquartered in Thorofare, NJ, Checkpoint employs over 3,000 people worldwide. Checkpoint Systems, Inc.'s website is located at www.checkpointsystems.com

Microchip Technology Inc. manufactures the PICmicro family of 8-bit RISC-based microcontrollers—with OTP, FLASH, and ROM memory technologies; serial EEPROMs; related specialty memory products; microID family of RFID products and KEELOQ code hopping devices. These products target thousands of embedded control applications in the consumer, automotive, office automation, communications and industrial markets. Microchip's quality systems are ISO 9001 certified. Headquartered near Phoenix in Chandler, Ariz., Microchip employs approximately 2,050 people worldwide. #### The Microchip name and logo, PIC, PICmicro and KEELOQ are registered trademarks of Microchip Technology Inc. in the USA and other countries. microID is a trademark of Microchip Technology Inc. in the USA and other countries. All other trademarks are the property of their respective owners.