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New Technology & Business Development Center in Gothenburg

Singapore, October 16, 2006 – SATO, a pioneer in the Automatic Identification and Data Collection (AIDC) industry and a leader in barcode printing, labelling, and EPC /RFID solutions, announced today the opening of a new Technology & Business Development Centre in Gothenburg, Sweden.

The centre will focus on developing and strengthening SATO products and software applications. It will support and service business partners and end-users initially in Europe and later worldwide. The investment in this centre reaffirms the company’s continued commitment to providing close support to its business partners and end-users with products and services designed to suit their diverse requirements.

The new organisation will be managed by General Manager Mr. Mats Hedberg and Business Development Manager Mr. Anders Åkesson. Mats has over 20 years of market and product development experience from previous printer companies. Anders brings more than 10 years of extensive industry know-how from positions as Global Product Manager for both printers and printer supplies.

Toshihiro Waki, Managing Director of SATO International commented, “SATO is pleased to announce the inauguration of this centre of excellence in Gothenburg, Sweden. The talented and experienced group of people coming on board has an impressive track record in developing world-class printers and application software products that are respected and trusted in the industry. They will not only accelerate our time to market, but also provide us with a platform of innovation for our next generation of products and contribute to SATO’s DCS & Labelling vision worldwide. The centre would be able to kick into higher gear immediately, as they already have a deep knowledge of the industry and products. We are looking forward to a fruitful transfer of experience and skills both ways, leveraging their unique knowledge in direct thermal and thermal transfer printing, and RFID with our own expertise to offer added value to our partners and end-users. Our long-term vision for this centre is that it will be part of SATO’s global support network, locally driven and internationally connected. This further demonstrates our commitment to grow together with our business partners and serve end-users with best-in-class AIDC and RFID solutions.”

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About SATO

SATO is a pioneer in the Automatic Identification and Data Collection (AIDC) industry, and the inventor of the world’s first electronic thermal transfer barcode printer. It revolutionised the barcoding industry by introducing the Data Collection System (DCS) & Labelling concept – a total barcode and labelling solution providing high quality barcode printers, scanners/hand held terminals, label design software and consumables. SATO is one of the first in the industry to introduce a complete, multi-protocol EPC compliant, UHF RFID solution.

In the continuous pursuit of bringing the benefits of Automatic Identification and Data Capture (AIDC) to all sectors, SATO printers have been successfully installed in hospitals, laboratories and pharmacies worldwide, helping users to increase their efficiency and decrease expenditures.

SATO is publicly listed on the first section of Tokyo Stock Exchange in Japan. It has worldwide offices in the United States, Belgium, France, Germany, Spain, United Kingdom, Poland, New Zealand, Australia, Singapore, Malaysia, Thailand and China. For the fiscal year ended March 31, 2007, it reported revenues of US$705 million. More information can be found at www.satoworldwide.com.

Contact:

Yasmina Dumont
European Communication Manager
SATO

Leuvensesteenweg 369
1932 Sint-Stevens-Woluwe, Brussels
Brussels, Belgium
Tel: +32 (0)2 788 80 34
Fax: +32 (0)2 788 80 80
E-mail: Yasmina.Dumont@be.satoeurope.com

About SATO International

SATO's international global headquarters, SATO International Pte. Ltd is located in Singapore. Previously an international division, it was incorporated as a holding company in Singapore in 2001 to oversee the sales, marketing and customer services activities of all its Group Member Companies. More information about SATO International can be found at www.satoworldwide.com.