TagMaster is starting the restructuring of the recently acquired company CitySync

Press release, Stockholm August 21, 2015

TagMaster, the leading manufacturer of advanced RFID products for vehicle
identification in Traffic Solutions and Rail Solutions, today announces the
start of a cost reduction program and restructuring of the company CitySync Ltd
acquired in July.

The purpose of the program is to adapt the cost level to the existing business
volume and it is a part of the planning made already at the time of acquisition.
CitySync had at the time for the acquisition a structure for handling all
product groups within Image Sensing Systems and since the acquisition was
limited to the LPR/ANPR (License Plate Recognition) there are opportunities for
a more efficient organization.

The cost reduction program includes around 10 people and there is an ambition to
lower the cost with a minimum of 5 MSEK on a yearly basis. The program should be
ready during the present quarter and the restructuring costs will be absorbed
during the quarter.

While we work on cost savings we also work on enhancing the product offering by
increasing the speed of innovation, which means that we will already during the
present year launch new products. That together with increased focus on the
sales side means that we are looking forward to profitable growth for CitySync
Ltd during 2016.

For further information, please contact

Jonas Svensson, CEO, +46 8-6321950, jonas.svensson@tagmaster.com

About TagMaster

TagMaster is an application driven technology company that designs and markets
advanced radio frequency identification (RFID) products and systems for
demanding environments. Business areas include Traffic Solutions and Rail
Solutions providing innovative application in order to increase efficiency,
security, convenience and to decrease environmental impact. TagMaster has
dedicated agencies in the US and in China and exports mainly to Europe, Middle
East, Asia and North America via a global network of partners, systems
integrators and distributors. TagMaster was founded in 1994 and has its
headquarters in Stockholm. TagMaster is a public company and its shares are
traded on First North stock exchange in Stockholm, Sweden.For more information
about TagMaster, please visit www.tagmaster.com