U.S. Department of Defense Taps Fargo Electronics for Additional FIPS 201-Compliant Printer/Encoders to Support the Common Acce

   High Definition Printers Provided to Defense Manpower Data Center
                 for Reserve Guard Personnel ID Cards

   Fargo Electronics, Inc. (NASDAQ:FRGO), a global leader in secure
technologies for card identity systems, today announced that it has
received a follow-on order for its High Definition Card
Printer/Encoders for the U.S. Department of Defense (DoD).
   "Fargo is proud to serve the federal government to secure critical
locations and systems," said Gary Holland, president and CEO of Fargo
Electronics. "The continued relationship with the DoD emphasizes our
commitment to providing secure identification solutions to meet their
needs as they put into action their plan to meet FIPS 201."
   The DoD order includes 66 HDP600-LC laminating card
printer/encoders and is expected to ship in the second quarter of
2006. The order will supply printer/encoders to the Defense Manpower
Data Center (DMDC), to be used to create ID cards for active and
reserve Guard personnel as part of the DoD's Common Access Card
program. Fargo has supported this program since 2001.
   DMDC collects and maintains the most comprehensive repository of
automated manpower, personnel and training for the DoD. The primary
function is to support the management information requirements of the
Office of the Under Secretary of Defense for Personnel and Readiness
(OUSD/P&R).
   The Fargo systems will be incorporated into the card project by
Telos Corporation of Ashburn, Virginia, a government contractor
specializing in secure and managed enterprise solutions.

   About Fargo

   Founded in 1974, Fargo Electronics, Inc. is a global leader in the
development of secure technologies for identity card issuance systems,
including secure card printer/encoders, materials and software. The
company has sold more than 120,000 systems in the U.S. and over 80
other countries worldwide. Fargo card issuance systems reduce
vulnerabilities and potential for loss of time, money and lives by
continually improving the security of identity credentials. Fargo
provides physical, information, and transaction security for a wide
variety of applications and industries, including government,
corporate, national IDs, drivers' licenses, universities, schools and
membership. Based in Minneapolis, Minnesota, USA, Fargo markets its
products through a global distribution network of professional
security integrators.