SCHLUMBERGER-SEMA AWARD

SchlumbergerSema, a business segment of
Schlumberger Limited, was commended in the IT category at the Management
Consultancies Association Best Management Practice annual award
ceremony on Wednesday, Feb. 6, for its IT consulting project at Diageo.
SchlumbergerSema was also runner-up in the e-business category for its work
with BT Group to develop BT’s e-presence.

“Winning these two awards is proof of the expertise and experience that
SchlumbergerSema Consulting has in delivering measurable benefits and
improvements in performance to its clients,” said Alan Russell, head of
Consulting at SchlumbergerSema.

MCA represents the leading United Kingdom-based consulting firms, which
currently employ over 20,000 consultants. This year the judging panel for
the MCA awards consisted of Tony Smith, MCA president and MD of Kurt Salmon
Associates; Lord Warner of Brockley, Chair of the Youth Justice Board; Lynne
Peacock, CEO of Woolwich plc; Leo Murray, Director of Cranfield School of
Management; and Simon Caulkin, Management Editor of The Observer.

Diageo, the world’s leading premium drinks company, appointed
SchlumbergerSema to provide consulting expertise to create an integrated
Information Systems (IS) capability following the merger of Guinness and
United Distillers and Vintners. Completed in a very tight timeframe, the
joint integration program was a clear success with one result being that
employees of Guinness UDV can now connect to local and global resources from
any Guinness UDV location, regardless of which company they worked for
previously. They can also utilize local technical support when away from
base location. Pilot phases for single messaging services are currently
being conducted in Holland and North America.

“Our integration program consisted of several large and challenging
projects,” said Geoff Thirlwall, director of IS global services at Diageo.
“SchlumbergerSema provided senior project management resources to head each
project and the overall program. The project management skills and focus
has contributed significantly to the seamless integration of the two Diageo
businesses.”

To ensure successful project delivery and overcome the integration
challenges, such as widely different working styles across the global
company, SchlumbergerSema and Diageo worked together to develop an IS
strategy. This included innovative use of change and program management and
the development of an integrated communication strategy in support of single
messaging project.

For BT Group’s Web site, SchlumbergerSema provided consulting services to
rapidly develop BT’s e-presence. The Web site has now been transformed into
a customer-led e-channel focused on sales, service and personalized customer
interaction, operating in an environment of accelerating delivery and
continuous improvement. Since the launch in September 1999, the site has
amassed in excess of two million registered users, receives over 10 million
hits per day and is the United Kingdom’s third largest ‘clicks-and-mortar’
site. (Nielsen Netratings).

“SchlumbergerSema has set the theme for continuous improvement and
innovation throughout the program, working with BT.com at all levels from
the management team to the project delivery groups,” said Kevin Clarke,
BT.com program director. “SchlumbergerSema proposed a number of initiatives
that were both innovative and forward thinking, and are currently being
evaluated as value-add propositions. The capability of SchlumbergerSema to
appreciate our business, share our goals and respond proactively has been a
major factor in our success to date.”

Leading and working in a wide range of key roles within the program,
SchlumbergerSema consultants shaped and influenced strategic thinking in a
number of areas, including use of new technologies, approaches and business
models, personalization and accessibility. Furthermore, through working with
the different businesses on requirements and suggesting new propositions,
SchlumbergerSema challenged existing business models and helped to add
commercial robustness to the overall approach.

About SchlumbergerSema

SchlumbergerSema is a leading information technology services company
providing consulting, systems integration, managed services and products to
the telecommunications, energy and utilities, finance, transport and public
sector markets. With more than 30,000 employees serving customers in 65
countries, SchlumbergerSema is one of two business segments of Schlumberger
Limited, a global technology services company.
For more information about SchlumbergerSema, visit
http://www.slb.com.

About Diageo

Diageo is the world´s leading premium drinks business. Formed in December
1997 by the merger of GrandMet and Guinness, Diageo has an unrivalled
portfolio of brands including Smirnoff, Johnnie Walker, Tanqueray, Guinness,
J&B, Baileys, and Cuervo. The Diageo Foundation is the result of the
company’s commitment to contribute 1% of its worldwide trading profit less
interest, to the community. The Foundation’s purpose is to act as funding
and support vehicle for corporate social investment program and charitable
giving and matching.
For more information about Diageo and the work of its Foundation, please go
to www.diageo.com

About BT Group
BT Group plc is one of the world’s leading providers of telecommunications
services and one of the largest private sector companies in Europe. Its
principal activities include local, long distance and international
telecommunications services, Internet services and IT solutions. In the UK,
BT serves more than 28 million exchange lines as well as providing network
services to other licensed operators. BT.com is BT Group’s main web presence
for its 21 million UK customers, helping them to make new connections in
their relationships, communities, businesses and lives.

ActivCard 4Q/01

ActivCard reported fourth quarter revenue of $6.8 million, an 11% increase over 4Q/00. Pro forma net loss for the quarter was $6.3 million, compared to pro forma net income of $100,000. Actual net loss for the quarter was $9.8 million, compared to actual net loss of $17.9 million, in the fourth quarter of the prior year. The Company also announced a restructuring of its business, reducing its operating expense run rate by 15%, which includes a reduction in headcount of approximately 20% worldwide. The Company expects to record a one-time charge in the first quarter of 2002 in the range of $6-$9 million related to this restructuring. For complete details on ActivCard’s 4Q/01 results visit CardData ([www.carddata.com][1]).

[1]: http://www.carddata.com

US ID Smart Card

The Smart Card Alliance released a white paper this week which describes key policy, process and technology considerations for a secure personal ID system weighed against the protection of individual privacy rights. The paper outlines why smart card technology is currently the best choice for delivering cost-effective, fraud-proof and accurate identity verification. The white paper will be the focus of the first day of the upcoming Smart Card Alliance conference, to be held in Austin, Texas next week. The conference will take up the personal ID card debate and its ramifications for the U.S. population, economy, and technical infrastructure. More than 20 organizations participated in the task force to develop the white paper including: Atmel, Avisian, Caradas, CrossCom National, Datacard Group, Datakey, Foley Hoag, Gemplus, Huntington Bank, IBM, Identrus, MasterCard, Northrop Grumman Information Technology, Oberthur Card Systems,SchlumbergerSema, SCM Microsystems, VISA, and Xansa. The white paper is available on CardFlash Online today.

COOP BANK OUTSOURCES

SchlumbergerSema, a business unit of Schlumberger Limited, today announced that it has won a comprehensive outsourcing contract from The Coop Bank to manage and operate its central information technology platform.

The Coop Bank awarded the contract, worth over US$7 million, to SchlumbergerSema because of its expertise and experience in managing outsourced IT services, and more importantly, because it offered the best value for money. The Coop Bank was also impressed by the SchlumbergerSema company culture and its strong representation in Sweden.

“We are now in the position to concentrate on our core business of banking and on the marketplace in general,” commented Thomas Idermark, managing director, The Coop Bank. “We are looking forward to working with SchlumbergerSema, a company we believe to be dependable and a long-term supplier of reliable data processing services. Efficient, well managed outsourcing is critical to our success.”

SchlumbergerSema will provide archive solutions, output services, server operation and hardware in addition to creating an interface between the post office, bank and benefit check cashing services. SchlumbergerSema also operates the payment card systems, making this a complete end-to-end IT solution.
“This is an important contract for SchlumbergerSema,” commented Tommy Boman, managing director, Sweden, SchlumbergerSema. “Strategically, it strengthens the position of the company in the financial sector. It is also further evidence that outsourcing is truly a commercial option for companies where time-to-market is an important factor for success.”

In Scandinavia, SchlumbergerSema employs more than 2,100 people at some 30 locations.

About SchlumbergerSema

SchlumbergerSema is a leading information technology services company providing consulting, systems integration, managed services and products to the telecommunications, energy and utilities, finance, transport and public sector markets. More than 30,000 employees serving customers in 65 countries, SchlumbergerSema is one of two business segments of Schlumberger Limited, a global technology services company. For more information about SchlumbergerSema, visit http://www.slb.com.

About the Coop Bank

The Coop Bank is owned by Kooperativa Förbundet (the Swedish Cooperative Wholesale Society) with 45%, Skandia ( insurance company) 35% and Telia (the Swedish Telecom) 20%. The Bank will target the households economy and especially the 3,5 million MedMera cardholder within the Cooperative Wholesale Society. The Bank will mainly offer products for saving, borrowing and payment but will in the future mediate fond products, house-loan and other financial services close to daily life. The Coop Bank will offer its services via Internetbank, Telephonbank, shops and MedMera card. The Bank plans to start its operation during spring 2002.

SCHLUMBER 4Q/01

Schlumberger Limited reported 2001 operating revenue of $13.7 billion, an
increase of 43%
over
2000 including the second quarter acquisition of Sema plc.
Income of $819 million, excluding exceptional items, was 11% higher than last
year with diluted earnings per share of $1.41 representing an 11% improvement
on 2000 results.
Diluted earnings per share, excluding acquisition related costs and
exceptional
items, were $1.98 compared with $1.44 in 2000.

FOURTH QUARTER 2001 RESULTS

Fourth quarter operating revenue of $3.6 billion was 33% above fourth quarter
2000. Excluding exceptional items of $5 million, net income was $179 million.
Diluted earnings per share, excluding acquisition-related costs and
exceptional
items, were $0.49 compared with $0.46 for the same period last year and $0.51
for the third quarter 2001.

Oilfield Services revenue increased 21% versus the fourth quarter of 2000. In
contrast to the worldwide M-I rig count, which decreased 8% over the same
period, revenue excluding WesternGeco, increased 14%, and was down 2% compared
to the third quarter of 2001. This compares favorably to the sequential
quarterly average rig count drop of 13%.

SchlumbergerSema posted sequential revenue improvement of 10% to $953 million
for the quarter with pretax operating income growing 12% to $21 million.
During the quarter, Schlumberger completed the replacement of its main bank
facilities, including the Sema bridge facility. The program consisted of
issuing bonds in Europe for a total of $1.9 billion, with maturities ranging
from 7 to 31 years as well as securing long-term commercial paper backstop
facilities totaling $4.6 billion in the USA and Europe.

Chairman and CEO Euan Baird commented:

“2001 proved to be a milestone year for Schlumberger with Oilfield Services
revenue and net income achieving all-time record levels. Schlumberger Network
Solutions grew by 91% due mostly to E&P sector contracts, a clear sign that
the
industry is recognizing the importance of IT global connectivity and
information security solutions to enhance business processes and
decision-making capabilities. Today, Schlumberger is the only company able to
provide a complete range of technology services from the reservoir to the
desktop or mobile device anywhere in the world.

“The integration of Sema into Schlumberger progressed well largely due to the
cultural similarities of the two companies. As a result, we expect to surpass
the cost synergies that we set out to achieve and foresee the continued
improvement in SchlumbergerSema profitability during the coming year.
“The focus provided by the Sema acquisition allowed us to accelerate our
divestiture program. The $900 million of cash generated by the sale of
businesses put us on track to attain our objective of reducing our
debt/capitalization ratio to 30% by 2003.

“Our business in 2002 depends heavily on the timing and strength of the
economic recovery in North America. We are still expecting the recovery to
happen mid-year but the current world political situation is sufficiently
unstable to make any predictions risky.”

SchlumbergerSema 4Q/01

SchlumbergerSema reported 4Q/01 operating revenues of $953 million. Cards revenue of $173 million were up 18% compared to the prior quarter and flat year-on-year. Demand in Europe for banking smart card solutions, and major banking contracts for consulting and systems integration for the deployment of EMV standard smart card transaction systems in Brazil and UK, contributed to revenue growth in the finance market. Revenue gains were partially offset by strong SIM price competition in Asia. eTransactions revenue growth was up 31% year-on-year. Driven by the introduction of the euro, off-street parking and financial system revenues reached a record high level. SchlumbergerSema also completed the second successful technical rehearsals in Salt Lake City for the complex systems and integrated technologies that will be used during the ‘2002 Olympic Winter Games’. For complete details on Schlumberger’s 4Q/01 results visit CardData ([www.carddata.com][1]).

[1]: http://www.carddata.com

Smart Card Alliance Conference

The Smart Card Alliance, a non-profit association working to accelerate the adoption of multiple applications for smart card technology, will host a conference on February 5 through February 7, 2002 in Austin, Texas. The event, to be held at SchlumbergerSema’s Austin campus, will provide an opportunity for business and government leaders to discuss the heightened interest in smart card implementation including secure personal identification systems as well as banking and payment infrastructure applications. The event will include a one-day educational program from the Smart Card Alliance Educational Institute and a two-day conference.

“This conference will be an ideal resource for those organizations actively involved in implementing a smart card program or investigating how smart cards can fit into their business strategies,” said Donna Farmer, CEO and president of the Smart Card Alliance. “The February Smart Card Alliance meeting will enable collaboration with top industry experts as well as provide a sounding board for key issues and discussion on how smart cards can provide security and payment solutions.”

The Alliance was created when the industry’s key organizations, the Smart Card Industry Association and the Smart Card Forum, merged in early 2001. The combined membership brings together leading users and technologists from both the public and private sectors. Known as the single industry voice for smart cards, membership includes leading companies in the banking, financial services, computer, telecommunications, technology, healthcare, retail, and entertainment industries, as well as a number of government agencies.

Regarding the upcoming conference, Smart Card Alliance chairman and vice president of SchlumbergerSema Transaction Systems, Paul Beverly noted, “This is the leading forum in North America to obtain information on smart cards, with the opportunity to network, cooperate on projects and establish cross-industry business partnerships.”

The first smart card was invented in the 1970s and since its inception, smart cards have evolved to play a vital role in network security, secure identification and financial payment systems. Frost and Sullivan estimates that the smart card market will grow at a 41 percent compound annual rate over the next three years in North America, from 32 million cards issued in 2000 to 125 million cards issued in 2004.

About the Event

The Smart Card Alliance February event will include two key programs. The Educational Institute’s pre-conference smart card education program features industry-renowned expert speakers and, for the first time, both the Smart Card 101 course and the new Smart Card 201 course will be offered. The courses will run concurrently on February 5, 2002. The second program will be a two-day conference on February 6 and 7.

About the Smart Card Alliance

The Smart Card Alliance is a not-for profit, multi-industry association of member firms working to accelerate the widespread acceptance of multiple applications for smart card technology. Through specific projects such as education programs, market research, advocacy, industry relations, and open forums, the Alliance keeps its members connected to industry leaders and innovative thought. The Alliance is the single industry voice for smart cards, leading industry discussion on the impact and value of smart cards in the U.S. For more information please visit [http://www.smartcardalliance.org][1].

[1]: http://www.smartcardalliance.org/

SMART TRANSIT CARDS

SchlumbergerSema, a business unit of Schlumberger Limited, announced that it
has signed a contract to supply contactless smart cards to Electronic Data
Systems, a member of the TranSys consortium. The contract is part of the
Transport for London project for a new smart card-based ticketing and revenue
collection system for London Underground and Buses. This is one of the largest
projects of this type in the world, and will improve the overall travel
experience for London’s commuters. The contactless cards will give fast access
to the Underground and buses, while helping Transport for London improve the
efficiency of its network.

Since capital city ticketing projects set the trends and provide a valuable
reference for similar programs in other locations, transport operators
throughout Europe are closely watching London as the TranSys consortium
implements the new paradigm for capital city travel. Starting in 2002,
SchlumbergerSema will supply over two million Easyflow contactless smart cards
over the next two years.

Contactless cards speed the movement of ticket holders, since travel details
can be validated as the holder passes the card over the reader with no
requirement to stop and insert the ticket. The cards have already shown their
capabilities in many smaller scale projects, proving easy to use and extremely
cost-effective. Once issued, cards may also be reloaded for further periods of
travel, cutting down the number of tickets required. Intrinsic smart card
security ensures they are virtually impossible to forge or clone.

“We need a partner who can deliver robust, commuter-friendly contactless
technology today, and also demonstrate a real, practical understanding of the
needs of complex city projects,” said Nicole Carroll, marketing director for
TranSys. “SchlumbergerSema has the products, the proven track record of huge
projects like Paris, and the international presence that we were seeking.”

“Technology is important, but it’s still only part of the story,” stated
Jorgen
Rasmussen, president, Cards, SchlumbergerSema. “Real progress demands
organizations with vision and drive to take key projects forward, and cities
all over Europe are watching as Transys creates a new model for urban
travel in
the 21st century.”

The security and flexibility of the smart card enables electronic ticketing to
serve as a foundation application for more complex programs – such as projects
which combine transport with parking and e-purse or multi-application city
cards — while the nature of travel requires strong interoperability between
different programs. SchlumbergerSema is involved in major, operational
projects
that leverage the full capabilities of today’s smart cards in Asia, South and
North America, and Europe.

About SchlumbergerSemaSchlumbergerSema is a leading information technology
services company providing consulting, systems integration, managed services
and products to the telecommunications, energy and utilities, finance,
transport and public sector markets. With more than 30,000 employees serving
customers in 65 countries, SchlumbergerSema is one of two business segments of
Schlumberger Limited, a global technology services company. For more
information about SchlumbergerSema, visit
http://www.slb.com.

About Transys

The TranSys consortium was awarded the 17-year ‘Prestige’ contract in 1998 to
build, implement and maintain a state of the art new ticketing and revenue
collection system for Transport for London (TfL) across London’s underground
and bus networks. TranSys comprises some of the world’s leading companies in
ticketing technology and innovation: EDS, Cubic Corporation, ICL and WS
Atkins.
At its heart is the introduction of contactless, electronic smartcards and
stored value ticketing (SVT) as well as new ticket machines, new gates and new
validating equipment which together will revolutionise the way people pay for
and access public transport in London.

About EDS

EDS, the leading global services company, provides strategy, implementation
and
hosting for clients managing the business and technology complexities of the
digital economy. EDS brings together the world’s best technologies to address
critical client business imperatives. It helps clients eliminate boundaries,
collaborate in new ways, establish their customers’ trust and continuously
seek
improvement. EDS, with its management consulting subsidiary, A.T. Kearney,
serves the world’s leading companies and governments in 58 countries. EDS
reported revenues of $19.2 billion in 2000. The company’s stock is traded on
the New York Stock Exchange (NYSE: EDS) and the London Stock Exchange. Learn
more at www.eds.com.

CUNA e-gate

CUNA Network Services has become the first technology partner to offer the SchlumbergerSema ‘e-gate’ smart card to member credit unions. The alliance will target smart cards to 10,000 credit unions nationwide. The key component of the ‘e-gate’ smart card is a specially designed chip that incorporates the standard smart card ISO and USB interface. The ‘e-gate’ smart card plugs directly into the standard USB port on a PC, eliminating the need for a separate card reader, power supply and driver software. Used with an e-wallet, the ‘e-gate’ card enables credit unions to offer members a secure, convenient solution for conducting commerce online through a credit union portal.

[![][1]][2][![][3]][4][![][5]][6]
** **VIDEO CLIP** Choose your format to view a 30 sec clip of the e-gate’ smart card being demonstrated. **

[1]: http://www.cardweb.com/graphic/players/quicktime_sm200.gif
[2]: http://www.cardweb.com/cardwatch/movies/qt/egate_dc.mov
[3]: http://www.cardweb.com/graphic/players/windowsmedia_sm200.gif
[4]: http://www.cardweb.com/cardwatch/movies/wm/egate_dc.wmv
[5]: http://www.cardweb.com/graphic/players/real_sm200.gif
[6]: http://www.cardweb.com:8080/movies/cardflash/egate_dc.rm

Wireless Partnership

Smart card specialist SchlumbergerSema will announce today a partnership with Televigation, a pioneer in wireless motion-based technology. SchlumbergerSema and Televigation will provide location-based services to mobile communications operators in North America. Users will be able access information via voice, WAP or SIM card applet on the mobile handset. Services include travel assistance, business finder, driving directions and traffic reports.

CUNA Smart Cards

CUNA Network Services has signed a deal to market, distribute and support SchlumbergerSema payment, IT and security related smart card-based solutions to more than 10,000 credit unions across the USA. As a result, credit union members will be able to use secure authentication to access financial portals to manage accounts for electronic payment, home banking and other registered financial services. Consumers who are members of participating credit unions can also use SchlumbergerSema smart cards as secure devices for storing and managing personal data, including favorite URLs, passwords, addresses and accounts. CUNA will also utilize newly released SchlumbergerSema ‘e-gate’ technology which enables a smart card to plug directly into the standard USB port on a PC, eliminating the need for a card reader, separate power supply and driver software. With e-gate technology, SchlumberSema says credit unions issuing MasterCard and VISA payment cards will have a clear migration path to future smart card and secure payment technology platforms.

GSM CERTIFICATION

SchlumbergerSema announced that the
Schlumberger Hong Kong smart card manufacturing facility has been certified
by the GSM Association’s Security Accreditation Scheme (SAS), a prestigious
status conferred upon smart card manufacturers for meeting stringent
security standards in smart card manufacturing.

This milestone marks SchlumbergerSema as the first and only smart card
supplier in Asia to achieve GSM SAS certification. With the certification,
SchlumbergerSema smart cards are now manufactured in a total of six
SAS-certified plants – as many as all other manufacturers combined. The
other five SchlumbergerSema SAS-certified smart card production and
personalization facilities are Pont Audemer and Orléans in France, Barcelona
in Spain, Felixstowe in the UK, and Owing Mills in the USA. The European,
North American and Asian mobile operator community can now benefit from the
wealth of expertise SchlumbergerSema has built up over many years designing
and maintaining highly secure production facilities for the financial
services community.

With the growth of financially-related mobile services such as m-banking and
m-commerce, and the vital pre-requisite of consumer trust to ensure the
viability of such value-added applications, SIM (subscriber identity
module)) smart card production and personalization now requires higher
levels of security usually associated with smart bank cards. Industry
analyst firm IDC expects the m-commerce market to be worth US$557 million by
year-end, and US$12.4 billion by 2005. According to the IDC report, the
m-commerce market in Asia will remain dominated by B2C
(business-to-consumer) spending.

SAS certification is only awarded to sites which reach the highest levels of
security for plant, processes and people, and this achievement sends a
powerful message to mobile operators as they focus on bringing the new
generation of value added services to market.

“By achieving this level of security certification, we are able to enhance
our customers’ competitive edge, particularly in Asia Pacific, where the
growth of mobile commerce is expected to be phenomenal,” said Cedric
Collomb, marketing director, Mobile Communications for SchlumbergerSema in
Asia Pacific. “SchlumbergerSema customers can be assured that there are
quality processes and policies in place to ensure that the products they
receive meet the highest quality industry standards.”

The certification confirms the highest level of overall quality and
security:

* Product security to guard against theft and losses

* Quantitative integrity against lost cards, duplicated cards and lost
product information

* Information security against data losses, manipulations and network
intrusion

SAS certification is awarded after an annual security audit, carried out by
leading standards bodies. The audit covers security strategy and procedures,
information security, personnel security, physical security, logistics,
manufacturing management, and computer and network security. The
examination is exhaustive and unforgiving as the security chain is only as
good as its weakest link, and companies must achieve a grade of seven or
more out of ten in 49 different areas across the seven sections. Just one
score below is enough to forfeit the certification.

About SchlumbergerSema

SchlumbergerSema is a leading information technology services company
providing IT consulting, systems integration, managed services, products and
IP network security solutions serving the telecommunications, utility,
finance, transport, oil and gas and public sector markets. With more than
30,000 employees in 130 countries, SchlumbergerSema is one of two business
segments of Schlumberger Limited, a global technology services company.
Additional information is available at www.slb.com.