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Avery Dennison Launches RFID Business and Technology Transfer Program in Asia-Pacific

SINGAPORE - 8th November 2006 - Avery Dennison Corporation today announced the launch of its radio frequency identification (RFID) business in Asia Pacific and introduced its technology transfer initiative which is aimed at providing better capabilities and support for the region's RFID label converters.

Jonson Yue, Director of Business Development for Avery Dennison RFID Asia Pacific believes that the increasing value proposition of RFID technology is driving evolution in the global label materials market. "As RFID becomes more widely used in asset and inventory management and beyond, new materials, more effective manufacturing and encapsulation processes will need to be developed to address the unique application in each business," said Mr. Yue.

The technology transfer initiative is part of Avery Dennison's go-to-market strategy in Asia Pacific. Under this initiative, Avery Dennison will provide RFID products and transfer technology know-how to participating label converters and partners. This broadens their capabilities, products and services to their customers, with greater efficiency. Starting with licenses for High-Speed Strap Attach&tradee;, the scope of the program will expand over time, with new technologies and support capabilities made available in progressive stages of partners development.

"The technology transfer program demonstrates Avery Dennison's commitment to being the right partner with the right tools, to provide the region's converting industry with the right product and a strong value proposition to their customers," said Mr. Yue. "Recent inlay manufacturing process advancements and technology acquisitions allow us greater flexibility in materials, labels converting, and even production volume, to supply high quality, high performance products."

In September 2006, Avery Dennison announced the acquisition of Michigan-based start-up, RF IDentics, which develops innovative processes for producing specialized, high quality RFID products and moving them quickly from design to production, at increased efficiency, removing traditional barriers like the need for large volume orders.

"In Asia, the application of RFID is much more diverse, and requires a wider variety of formats, processes and materials," said Mr. Yue. "The RF IDentics acquisition provides us with broader capabilities to address this demand."

Today, Avery Dennison RFID produces the industry's first and only high-speed inlay production process that uses small sub-assemblies called straps to create labels or inlays at ten times the rates of other processes. The High-Speed Strap Attach™ process is protected by patents, which Avery Dennison will now be making available to its converting and equipment partners. In addition to patent licenses, converters will also be able to acquire a variety of materials, components and supporting technology from Avery Dennison.

For more information on the technology transfer program, please visit http://www.rfid.averydennison.com

About Avery Dennison RFID

Avery Dennison RFID, a business unit of Avery Dennison Corporation (NYSE:AVY), manufactures and markets RFID inlays through a network of label converters to serve the consumer packaged goods and pharmaceutical industries, as well as the U.S. Department of Defense. With design, testing and manufacturing facilities located in the U.S. and Europe, Avery Dennison RFID is a leading provider in the global RFID marketplace. For additional information about Avery Dennison RFID and the company’s complete product portfolio, visit http://www.rfid.averydennison.com.

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