Secure Symbology, Inc. Introduces RFID Alternative to Canadian Association for Pharmacy Distribution Management

NEW YORK--(BUSINESS WIRE)--Dec. 23, 2004--The Canadian Association for Pharmacy Distribution Management (CAPDM) has expanded its investigation of automated track-and-trace technologies beyond RFID, as the result of a meeting with Secure Symbology, Inc. (SSI), the innovator of serialized bar coding solutions for supply chain protection. The CAPDM's Automated Product Tracking Committee met with Ronald Barenburg, President of SSI, in early December to learn about the application of its Electronic Sequence Code(TM) (ESC(TM)) serialized bar coding system in the pharmaceutical supply chain.

"The committee found SSI's solution very interesting and very practical," said Ken Mulhall, Senior Vice President of Industry Relations for CAPDM. "What we like about it is that it is an expansion of the existing bar coding solution with which Canadian pharmacy supply chain members are already familiar and comfortable. The system's ability to relay actual information to consumers, such as health alerts, is an important part of the value proposition."

“What we like about it is that it is an expansion of the existing bar coding solution with which Canadian pharmacy supply chain members are already familiar and comfortable. The system's ability to relay actual information to consumers, such as health alerts, is an important part of the value proposition.”

CAPDM is the majority voice for the pharmacy distribution industry in Canada and is focused on pharmacy supply chain management.

"We are currently searching for solutions for automated product tracking and are in the process of becoming educated about RFID. After meeting with Secure Symbology, it became clear that there are viable alternatives and, as a result, we changed the name of the operating group, which previously had been called the RFID Committee, to allow for a broader range of possibilities," Mr. Mulhall said.

RFID, or radio frequency identification, is a long-term automated solution allowing all members of the supply chain to track and trace individual products at every point of distribution, from manufacturer to end-user. Utilizing transmitters embedded in product packaging, RFID is envisioned as the answer to counterfeiting and product diversion, but is still years away from full deployment. Challenges to RFID include system costs, material matters, wireless reliability and consistency, electromagnet interference, data warehousing, incompatibilities among companies and countries, and varied RF frequencies.

SSI's ESC(TM) system is a machine-readable bar coding system that prints a unique serial number on every pharmaceutical product, along with lot number, expiration date and NDC, providing anti-counterfeiting protection and track-and-traceability at any point in the product lifecycle. The benefits of the ESC(TM) serialized system are rooted in the electronic pedigree that enables real-time product authentication, counterfeiting protection, validation of product returns, expediting of recalls, enhanced brand security and increased consumer safety.

Unlike RFID, which is currently being tested at the case and pallet levels by Wal-Mart and the U.S. Department of Defense, ESC(TM) can already deliver an electronic pedigree now at any packaging level, from container to individual product unit. In addition, it utilizes globally recognized ISO standard symbologies, that make it compatible with existing global numbering systems and uses existing, off-the-shelf scanners requiring no capital investment by distributors or retailers.

"ESC(TM) closely approximates the benefits of RFID but at a fraction of the cost, using globally recognized standards and providing a serialized electronic pedigree from pallet to end-use product. Our bar code track-and-trace solution can identify a counterfeit product anywhere in the supply chain using off-the-shelf and readily available scanners, in real time," said Ronald Barenburg, President of Secure Symbology. "And, the best part is that companies get the benefit of track, trace and anti-counterfeiting now, bridge into the RFID format, the Electronic Product Code(TM) via bar code, and become a back-up to an RFID label in the future. In addition, they can pay for future RFID deployment using the ROI generated by the ESC(TM) system. It's a win-win for the entire supply chain."

The ESC(TM) System is currently being tested in the pharmaceutical industry by one of the big three U.S. pharmaceutical distributors. According to Mr. Mulhall, CAPDM will be closely following the results of this test.

"SSI's system is appealing as an inexpensive alternative to RFID. We need to be better educated so we can make the right decision," he said.

About Secure Symbology

Based in New York City, Secure Symbology, Inc. is a global corporation specializing in innovative serialized bar code solutions for companies seeking to increase profitability by identifying and tracking their products as they travel along the supply chain. Secure Symbology is the innovator of the Electronic Sequence Code(TM) (ESC(TM)) System, which provides an electronic pedigree to secure brand integrity at the container, pallet, case and unit item level.

For more information about Secure Symbology, call Rhett Bordner, Executive Vice President, at [phone] or visit the company online at www.securesymbology.com.