Q4: 63% YOY Growth in Sales, Net Profit of $451,000; Positioned For Growth in 2005

New York, NY, and Ra’anana, Israel, February 15, 2005 – SuperCom Ltd. (OTCBB: SPCBF.OB; Euronext: SUP), a leading provider of smart card and electronic identification (e-ID) solutions, today announced unaudited financial results for the fourth quarter and fiscal year ended December 31, 2004.

Financial Results
Revenues for the fourth quarter of 2004 were $3,453,000, an increase of 63% compared to $2,118,000 in the fourth quarter of 2003, and the Company’s highest quarterly revenues since the 2nd quarter of 2002. Net profit for the fourth quarter of 2004 was $451,000, or $0.03 per share compared to a net loss of $814,000, or $0.06 per share, for the fourth quarter of 2003 and a loss of $663,000, or $0.04 per share for the third quarter of 2004.

Revenues for the fiscal year ended December 31, 2004 were $7,344,000, an increase of 2% compared to $7,244,000 for fiscal 2003. Net loss for 2004 was $1,872,000, or $0.13 per share, compared to a net loss of $1,995,000, or $0.15 per share for 2003.