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Technologies, Products & Systems

A. HOLOPTICA,LLC TECHNOLOGIES

A.1 OPTICAL SECURITY TECHNOLOGIES

HOLOPTICA, LLC has capabilities to supply three types of optically variable microstructure (OVM, hologram). OVM is a diffractive structure which provides variable images and colors with a change of viewing angle. Commercially used OVM's are divided into photopolymer OVM's (Dupont – Chrystal Holographics) which are produced on special photo polymeric substrates and embossed OVM's (rainbow or Benton holograms). Photopolymer OVM's are expensive to mass-produce and have found only limited application due to very high end prices. Embossed OVM's are much wider spread worldwide. Embossed OVM's are mass-produced though an embossing process. A heated nickel shim with a "mirror" holographic diffractive structure is applied to polyester or polypropylene film and the structure is thereby transferred to film which is then metallized to provide reflectivity. In some cases pre- metallized film is embossed.

To produce a holographic shim for mass-production, the holographic structure first has to be "originated" on a photoresist plate and then transferred to nickel in a galvanic process. There are three main OVM origination techniques that we provide:

  1. Laser interferometry (the so called classical or 2D/3D hologram) where the holographic structure is written on the photoresist place by laser beam.
  2. SECUTECH® - a technology which also uses laser as a "writing tool" but the laser beam is software and computer controlled and achieves a very high holographic relief density. This advanced system allow us to produce many holographic security features, including our patent pending system of holographic QR code
  3. Electron-beam lithography - the holographic structure is written by electron beam controlled by specialized computer software. Holoptica can offer this product in cooperation with a third party.

There are also many variations of the above but they all more or less fall within this classification.

A.1.1 Physical parameters of a security OVM

  • Artwork resolution
  • General resolution
  • Diffraction efficiency

A.1.2 Brief comparative of origination techniques

  1. Laser interferometry

    Pros

    • Depth and 3D effects
    • Some features produced on very accurate optical tables are hard to copy
    • Relatively inexpensive
    • Origination kits not available off the shelf

    Cons

    • Widely spread worldwide including "gray" territories (China, India, Poland, Russia)
    • Limited general resolution (3600 dpi max) limits choice of covert features

    Counterfeit resistance 5 on a 10 scale.

    Industry's best laser originators: Hologram Industries (France), De La Rue Holographics (UK), American Banknote Holographics (US), VERITECH and Holoptica.

  2. Dotmatrix

    Pros

    • Cheap and fast

    Cons

    • Low general resolution (2000 dpi max) limits covert features, no depth or 3D effects
    • Origination kits widely commercially available
    • Dozens of companies in China and Taiwan with nice Dotmatrix kits

    Counterfeit resistance 1 on a 10 scale.

    Industry's best Dotmatrix originators: anyone with the kit.

  3. Electron beam lithography

    Pros

    • Every possible effect achievable by other technologies and more
    • Resolution 254,000 dpi therefore very secure covert microscopic features
    • Limited number of sources

    Cons

    • Slow to originate
    • Expensive

    Counterfeit resistance 9 on a 10 scale.

    Industry's only e-beam originators: HOLOPTICA (UK - Czech Republic), CSIRO (Australia), OVD Kinegram (Switzerland), Dai-Nippon (Japan), CRST (Russia), Goncharsky (Russia). To our knowledge at the moment there are no other e-beam origination sources.

A.1.3 Brief comparative of e-beam origination techniques

  1. Excelgram® by CSIRO

    Excelgram® is technology of directly writing a pixilated (2 micron by 2 micron pixels) via computer- controlled electron beam. It is very similar to our SUPERIMATRIX®, however the software developed by CSIRO only allows two write 2D (mainly kinetic) visual images and not depth or 3D structures.

    Excelgram® pros

    • Direct write technology therefore flexible as to covert features
    • High brightness (diffraction efficiency) of image

    Excelgram® cons

    • No 3D and depth effects
    • Low artwork resolution (3400 dpi max)
    • Very slow write time for high-resolution structures
  2. Kinegram™ by OVD Kinegram

    Kinegram™ is synthetic technology consisting of writing small "library" images either by e-beam or high- resolution laser and then combining the above by a precision mechanical process known as recombination. OVD Kinegram do not have their own e-beam and use one at Paul Schearer Institute in Zurich.

    Kinegram™ pros

    • Extremely high artwork resolution (100,000 dpi plus)

    Kinegram™ cons

    • Limited flexibility as to covert features and artwork due to the "library of images" technology
    • Very long origination times
    • No 3D and depth effects
  3. E-beam technique by Dai-Nippon
  4. Pixel-based technology similar to Excelgram® but very well developed 3D graphics.

  5. E-beam techniques by CRST and Atlas

    Pixel-based technologies similar to Excelgram®, both in their quite early days yet, hard to compare with Excelgram® especially from the point of view of brightness and artwork detail.

  6. SECUTECH® by Holoptica

    The main difference from Excelgram® is our ability to write 3D and depth images and also radically shorter write times.

  7. e-beam by Holoptica

    A new generation e-beam technology radically different from anything else in the market. It is based on random-topology structures (no pixels) and therefore allows tremendous flexibility both in terms of diffractive and covert structures. It has artwork resolution of 127,000 dpi which surpasses any other available e-beam technology.

    See Appendix 1 for detailed comparison of high security origination technologies.

A.2 SECURITY FEATURES OF HOLOPTICA'S ORIGINATION SECUTECH®

SECUTECH® origination can incorporate a wide range of sophisticated security features that may be divided into three basic groups. The first group is designed for public recognition, utilizing unique brightness and striking animated effects. The second group comprises elements designed for professionals equipped with special tools, for example, a magnifying glass, laser diode, or microscope. The final group comprises elements designed for identification by professionals in specially equipped laboratories, using electron microscopes, for example.

SECUTECH® can offer up to 40 different security features on the aforementioned three levels. This is far in advance of any other origination currently available:

  1. Security Features for Public Recognition

    SECUTECH® can offer up to 21 visual diffractive effects designed for easy recognition by the public using the naked eye. These features include the following:

    • Colour dynamic effect - Progressive colour effects and movement on vertical tilting of the device.
    • mage switches (flip-flop) - Element or image switch on tilting the device to show two distinct graphics located in the same area. This performs the dual purpose of public recognition and protection against potential counterfeit using commercial packaging foils. Three types of image switch are possible:
      • Horizontal - Image switch on horizontal left-right tilting of the device.
      • Vertical - Image switch on vertical tilting of the device.
      • Rotation - Image switch on rotating device through 90 degrees
    • Dynamic apparent motion effects - Apparent movement of text or objects in sequence (cinegraphic effect). These distinctive cinegraphic motion effects, typically moving through 10 - 15 stages, but possibly up to 100, can include:
      • linear movement - Motion across or up the design
      • expansion / contraction and rotational movement of text patterns
      • paired contra motion effects
      • Multi-directional replay Image designed to replay in several directions for all round visibility
    • Full rotation image switch - A distinct second diffractive image visible on rotating the device by 90 degrees. This protects against holographic counterfeit.
    • Dynamic, animated small text - Small readable text arranged to give animation and movement effect.
    • Subject animation - Image changes through a series of progressive graphical images to provide an animation effect. Potential morphing effect of image, lines or graphics between defined end points.
    • 2D/3D Depth effects - Provides true depth and parallax effects either by holographic or synthetic techniques. Multi-colour rear plane effects preferred, in at least two different colours.
    • 3D registration effects - Colour registration of multi-colour depth effects and exact register features.
    • Back plane image switch - a complete image switch in the back optical plane of the image.
    • Stereogram effect - A large number of successive views of an object are used to provide apparent 3D or potentially animated images of an object or person.
    • Arrays of continuously variable optical elements - Continuous movement of a narrow colour band within a defined area or in a line to provide a continuous movement effect. This is available in high security arrays with several different motions to protect against holographic counterfeit.
    • Synthetic rainbow holograms, colour control, natural colour effects - Control of relative pitch, orientation, and the replay zone of diffractive structures. This gives rainbow holograms defined colours and colour mixing effects to simulate natural colour.
    • Moiré features - Synthetic hologram region containing images of moiré patterns. These can provide movement effects, or a complex switching moiré pattern can be used for visual or covert authentication.
    • Micro-optic features - Embossed diffractive structures with the function of classical refractive optical features, producing optical effects such as "lensing". These structures and effects are impossible to reproduce using standard holographic techniques and offer distinctive visual features that are unique to SECUTECH® origination technology.
    • White Matt replay areas - Areas containing a white, matt non-diffractive appearance, similar to printed effects, to provide stationary features, but with much higher resolution.
    • Crumple-resistant and durable features - repetitive features with defined image characteristics and particular diffractive properties to enhance durability and image retention after crumpling of the device.
  2. Security features for professional field inspection

    SECUTECH® can offer up to 14 diffractive effects at the micro-feature level designed for checking in the field by professional inspectors with a simple inspection device such as a magnifying glass, laser diode, optical overlay, or microscope. These render counterfeit prohibitively difficult and very easy to detect.

    These features include:

    • Positive micro-text and micro-graphics - not visible to the naked eye. Text or micro- graphics with resolution of up to 25,000 dpi., and text size of 50-200 micron. It is useful to use mix of micro-text sizes. These features require verification by magnifying glass (x10) or, where appropriate, a portable microscope (x30-50).
    • Dynamic positive micro-text and micro-graphics - Complex movement effects made up of many elements (e.g. micro-text and micro-graphics).
    • Negative micro-text and micro-graphics - Micro-text, of size 50-150 micron, "reversed out" to form black micro-text against the diffractive replay. Useful against holographic and dot-matrix counterfeit.
    • Negative dynamic micro-text and micro-graphics - Complex linear, expansion, and rotational movement effects, each with micro-text or micro-graphics reversed out of certain elements. These effects are unique to SECUTECH®.
    • Mixed dynamic positive and negative micro-text and micro-graphics - Complex movement effects, comprising a mixture of both positive and negative micro-text and micro-graphics, 50-150 microns in size. These effects are unique to SECUTECH®.
    • Micro-coded structures - Specific information in part of design, in graphical or text form, such as micro-characters in certain positions or purposeful errors in the micro-graphics or micro-text. These are non visible with the naked eye – size 50-150 micron.
    • Cryptogram – Laser-viewable covert diffractive feature - This forms a visual image on the plane of the device, but also forms a covert hidden image, or set of covert images, away from the plane of the device, which are not visible under normal illumination and observation. The covert images only may become viewable under laser light. A special laser-based reader is supplied to visualise this image to an inspector in the field. The cryptogram is generated by a special mathematical computation, which can be calculated to various levels of complexity. Cryptograms can be either transmissive (viewed trough a translucent screen of a laser detector) or reflective (viewed in reflected light from a laser pen)
    • Asymmetric cryptogram - A computationally generated laser-viewable out-of-plane image with specific properties that are impossible to produce by standard holographic means. These require a special laser-based reader for verification and are unique to SECUTECH®.
    • A dynamic, multi-element cryptogram, providing a dynamic effect such as expansion, apparent motion, or rotation, and consisting of several covert diffractive features. This provides a highly visible dynamic feature for public recognition and contains a multi- element covert image, readable with a special laser reader, which occupies a significant area to ease authentication. elements may also contain negative micro-text and micro- graphics for additional security. These synthetic elements will be impossible to duplicate holographically and are unique to SECUTECH®.
    • Continuously variable optical element with micro-text - Continuous movement of diffraction image to provide a smooth movement effect over a large area. It can also contain micro-text and is impossible to generate with standard holography.
    • Micro-coded arrays - Areas of repeated micro-text or micro-graphics, not visible to the naked eye, 20-60 microns in size, with special properties, visible only with special micro- optic devices.
    • Micro-optic features - Embossed, micro-level, diffractive structures, which produce an optical effect impossible to reproduce using standard holographic or refractive technology. These are unique to SECUTECH®. origination technology.
    • Micro-print matt replay areas - White, matt, non-diffractive structures, containing micro-print of size 50-100 microns. These appear similar to printed effects, but with much higher resolution (down to 0.1 micron). These effects are unique to SECUTECH®.
    • Fourier arrays - Arrays of micro-optic devices, designed to produce special effects, viewable only under magnification.
    • PIXELCODE™ - a technique of arranging 5 micron pixels in a diffused area revealing a hidden image or text when viewed under a specially supplied unique film reading device.
  3. Covert features for lab authentication

    Extremely high resolution of the SECUTECH® technique and its very high information capacity, 5 covert, forensic-level features or "nano-structures" are available, with a size of 0.1 micron up to 12 micron. These are very high security features designed for forensic laboratory authentication using high quality optical or electron microscopy. These are only possible thanks to the extremely high resolution and precision of SECUTECH®. Technology, which provides the highest present level of security of any known optical device.

    The features include:

  4. Nano-texts and nano-graphics - Graphical structures with a resolution up to 254,000 dpi and typical size of 0.1-10 microns. Structures can be positive or negative. A high- performance optical or electron microscope, which magnifies 10,000 times, is necessary to view these features. Nano-structures can carry very large amounts of covert information. A detailed knowledge of the technology is needed to authenticate these nano-codes.
  5. Nano-coded structures - This involves the incorporation of tiny text or graphics into the holographic fringe structure. With a resolution of 254,000 dpi, a detailed knowledge of the technology and electron microscopy is needed to inspect and authenticate these nano-codes. These offer the highest level of forensic microscopic security.
  6. Forensic cryptograms - Hidden diffraction images, which can be identified only in specialized optical laboratories. These elements can form highly secure covert messages detectable only under specific illumination conditions. They can also produce diffractive effects, which can only be authenticated with the specialised equipment.
  7. Microscopic bar codes - a microscopic encrypted PDF code several microns in size can be incorporated in the structure, then reconstructed via an electron microscope and read by a specially pre-programmed bar code scanner.

A.3 SECURITY FEATURES OF HOLOPTICA LASER ORIGINATION

HOLOPTICA laser origination offers numerous (up to 18) security features on two levels – public recognition and professional field authentication.

  1. Security Features for Public Recognition
    • Colour dynamic effect - Progressive colour effects and movement on horizontal tilting of the device.
    • Image switches (flip-flop) - Element or image switch on tilting the device to show two distinct graphics located in the same area. This performs the dual purpose of public recognition and protection against potential counterfeit using commercial packaging foils. Two types of image switch are possible:
      • Horizontal - Image switch on horizontal left-right tilting of the device.
      • Vertical - Image switch on vertical tilting of the device.
    • Dynamic apparent motion effects - Apparent movement of text or objects in sequence (cinegraphic effect). These distinctive cinegraphic motion effects, typically moving through 10 - 15 stages, but possibly up to 100, can include:
      • linear movement - Motion across or up the design
      • expansion / contraction and rotational movement of text patterns
      • paired contra motion effects
    • Multi-directional replay - Image designed to replay in several directions for all round visibility
    • Dynamic, animated small text - Small readable text arranged to give animation and movement effect.
    • Subject animation - Image changes through a series of progressive graphical images to provide an animation effect.
    • 2D/3D Depth effects - Provides true depth and parallax effects either by holographic or synthetic techniques. Multi-colour rear plane effects preferred, in at least two different colours.
    • White Matt replay areas - Areas containing a white, matt non-diffractive appearance, similar to printed effects, to provide stationary features, but with much higher resolution.
    • Crumple-resistant and durable features - repetitive features with defined image characteristics and particular diffractive properties to enhance durability and image retention after crumpling of the device.
  2. Security features for professional field inspection
    • Positive micro-text and micro-graphics not visible to the naked eye. Text or micro- graphics with resolution of up to 2400 dpi., and text size of 50-200 micron. It is useful to use mix of micro-text sizes. These features require verification by magnifying glass (x10) or, where appropriate, a portable microscope (x30-50).
    • Dynamic positive micro-text and micro-graphics - Complex movement effects made up of many elements (e.g. micro-text and micro-graphics).
    • Negative micro-text and micro-graphics - Micro-text, of size 50-150 micron, "reversed out" to form black micro-text against the diffractive replay. Useful against holographic and dot-matrix counterfeit.
    • Cryptogram – Laser-viewable covert diffractive feature - This forms a visual image on the plane of the device, but also forms a covert hidden image, or set of covert images, away from the plane of the device, which are not visible under normal illumination and observation. The covert images only may become viewable under laser light. A special laser-based reader is supplied to visualize this image to an inspector in the field.

A.5 DNA MARKING – TECHNOLOGY FOR LAB AUTHENTICATION

In cooperation with our partner, HOLOPTICA is able to offer DNA marking – the ultimate covert security feature. DNA marking technology was selected as an official security mark of the 2000 Olympics in Sydney, Americas Cup 2013, Rugby World Cup 2015 and others.

The DNA matrix, when included in printing inks or lacquers and applied via a printing process, can be combined with a hologram to create a unique security construction, easily identifiable in the field, and indisputably verifiable in the laboratory.

Deoxyribonucleic acid (DNA) contains the genetic code for the blueprint of life. As a security feature, DNA can also be used, when incorporated in a suitable ink mark, as an invisible, unique, forensic-level, chemical authenticating mark. It is also the only authentication method available today that is admissible as evidence in a court of law.

To use DNA as an authentication mark, a unique DNA sequence marker that does not occur in nature, in particular in humans or bacteria, is first synthesized. The mark is designed using a coding matrix held in a high-security facility and recorded and stored on a central secure database. Each new sequence is verified as unique by comparing it to all known DNA sequences recorded in Genbank and other DNA sequence databases.

It is also verified by hybridization with common bacteria, animal and plant DNA. The unique sequence is then synthesized using biotechnology techniques and mixed with non-target DNA marks (to confuse counterfeiters), in order to produce the required DNA mark. This is then mixed into the desired print carrier to be used as one print element on the document.

The embedded code in the DNA sequence can be only a portion of one DNA sequence and the probability of finding any specific code, without prior knowledge, can be calculated on average as 1 in 420 or 1 in 1012 (one chance in one thousand trillion). However, for the organization that knows the target DNA code, verification is very easy by recovering a minute proportion of the applied DNA and confirming using proprietary amplification and detection techniques. These will confirm whether the recovered DNA is identical to that originally applied.

This DNA detection technology can be applied in a number of ways. One method allows field or office based authentication of marks using a briefcase-size authentication kit. A detector probe chemical is applied to the DNA mark where it hybridises to form a stable colour complex. It will only do this with the compatible DNA molecules to provide an unambiguous colour change. Alternatively, a smaller amount of DNA can be placed in each mark to provide a less detectable taggant. The sample can then returned to the supplying company, or other suitably equipped biotechnology laboratory, where the DNA sequences are extracted, replicated to provide amplification and then tested by probing with the complement of the target DNA sequence. Therefore, it is possible to have marks suitable for chemical field detection, or more subtle and undetectable marks where the DNA concentration and presence will be near undetectable to the counterfeiter. Authentication can be carried out by a trusted, remote third party laboratory, thus keeping the nature of the hidden taggant mark entirely confidential.

The DNA mark can also be combined in an ink with an IR laser readable phosphor mark, and a short- wave UV fluorescent taggant which can be verified by portable detectors supplied by us.

A.6 PIXELCODE™ TECHNOLOGY

A pixel modulation software technology which involves altering pixel structure of print (or in case such structure is introduced in a hologram, that of the latter) in order to incorporate a covert image invisible to the naked eye which is revealed via a simple printed film decoder. The main advantage of the technology is cheap decoders which make possible instrumental authentication on a mass scale. The resolution of the Pixelcode™ structures ranges from 5,000 dpi to 150 dpi.

A.7 LASER MARKING AND NUMBERING TECHNOLOGIES

HOLOPTICA laser die-cutting/processing equipment allows to easily die-cut labels of variable shapes and also securely mark the labels with an indelible and tactile laser-etched mark or sequential number. This is by far the most advanced numbering technology available to date. Numbers are etched into the label surface and cannot be removed by any mechanical or chemical means without destroying the holographic image.

B. HOLOPTICA SUPPLY CAPABILITIES

  • Holographic origination (3 types as above)
  • Electroforming and recombination (pre-manufacturing processes generating production shims for OVM embossing)
  • Hard and compliant roller OVM embossing
  • OVM adhesive coating (for hot-stamping foils and label stock)
  • Slitting
  • Mechanical flat-bed and rotary die-cutting
  • Hot stamping foil application
  • Flexo printing
  • Over-lamination
  • Inkjet numbering
  • Thermal transfer numbering and barcoding
  • Laser die-cutting
  • Laser etch marking and numbering
  • Pattern demetalization

B.1. CRITICAL MACHINERY DATA , SIZE AND CAPACITY LIMITATIONS

  1. Holographic origination

    There are the following image size limitations for our origination techniques:

    SECUTECH® - maximum image size 120 x 120 mm or 120 mm diameter

    Laser origination – maximum image size 100 x 140 mm or 100 mm diameter

  2. Electroforming and recombination

    Facilities are suitable for making production shims for a 12" wide manufacturing line.

  3. Embossing & coating

    Embossing and coating facilities allow to emboss OVM material to the width of 12" (300 mm), coat it with either heat-sensitive (hot-stamping foil) or pressure-sensitive (label stock) adhesives and laminate to silicone backing paper (in case of label stock).

  4. Slitting

    Slitting machinery allows to slit 300 mm wide hot-stamping foil and label material into reels down to 4 mm width.

  5. Mechanical die-cutting

    Machinery allows to die-cut label stock from maximum reel width of 350 mm. There is a minimum label size limitation of 225 sq mm (e.g. 15 x 15 mm).

  6. Hot-stamping foil application

    The TRM application machinery allows to apply non-registered and registered hot-stamping foils to paper and plastic substrates in reel format to the maximum substrate width of 350 mm. The TRM foiling machine also allows to rotary die-cut material, print UV cured flexo ink in one color and over-laminate the material with transparent film, all in one pass.

  7. Inkjet numbering

    The inkjet printer allows print variable numbers onto reels of paper or plastic substrates up to 140 mm wide. The inkjet is UV curable and therefore provides high durability on plastics. An OCR (optical character recognition) unit on the back of the machine provides 100% accuracy of numbering. Inkjet resolution is 200dpi across and 400 dpi along the web.

  8. Thermal transfer numbering and barcoding

    Our Zebra thermal transfer printers allow to print variable numbers, linear bar codes and bi-dimensional (PDF 417) bar codes onto reels of paper or plastic substrates up to 170 mm wide. Outside reel diameter is limited by …. mm. Thermal transfer printing resolution is 600(?) dpi.

  9. Laser die-cutting and laser etch marking and numbering

    The machine allows die-cutting of any size labels on 250 mm wide web. The label shape can be variable down to every single label having a different shape. Labels can be marked by creating either cut-out marks or etched marks and also sequential numbers. Etched number appearance is limited to single-line fonts.

    Capacity on the laser machine is limited to about 200,000 six-digit 2 mm high numbers per shift.

  10. Pattern demetalization

    A chemical pattern demetalization process removes parts of the reflective aluminum layer from hot- stamping foil or label material to create a transparent pattern or a semi-transparent "dotted" structure. It is available both registered and non-registered to the holographic image.

    A Ni-Yag laser registered demetalization and sequential numbering for tamper-evident labels are available on request but are extremely slow and should be limited to high value/ low quantity projects.

C. HOLOPTICA PRODUCTS

C.1 HOLOGRAPHIC POLYESTER SELF-ADHESIVE LABELS AND LAMINATES

Reference Product Groups:

011 for unnumbered labels
012 for numbered labels
013 for unfinished label material for further conversion or non die-cut laminate in reels

Label materials and constructions available: see Appendix 2.

Tamper-evident polyester labels (TEL):

There are two primary types of TEL – total release and selective release. The construction of a total release TEL is as follows:

An attempt to remove the total release TEL from the surface of the product causes complete delamination at the release layer (i.e. the base polyester separates from the rest of the label leaving holographic structure and metal layer completely on the surface of the product).

The construction of selective release material is as follows. The release layer is structured so that it includes areas with weaker bond (shown in "spiderweb fill") and areas with stronger bond (shown in black).

An attempt to remove the selective release TEL from the surface of the product causes partial delamination at the release layer (i.e. in some areas the base polyester separates from the other layers leaving holographic structure and metal layer on the surface of the product while in other areas the polyester carries all other layers with it and they separate from the surface of the product at the adhesive layer). The result is either a metallic "spot" pattern left on the surface of the product (SPOT- ON™) or a metallic "spot" pattern on polyester with the remained on the product (SPOT-OFF™)

Customized selective release patterns (e.g. with a customer's logo) are available on request. A typical set-up cost for a customized release pattern program is USD 4,000 and it is therefore limited to large label orders.

Our input cost of selective release material is 40% higher than that of total release. Therefore if the customer does not specifically want selective release, total release material should be offered.

Selective release is normally preferred when the label on the product undergoes any mechanical wear because selective release provides tighter bond between the label and the surface of the product.

36 micron selective release material is preferred to 50 micron when the label is used as a seal over the edge of a narrow box for example, a CD case.

HRI label materials utilize high-refractive index (normally TiO2) coatings instead of aluminum to provide a transparent material while preserving enough reflectivity to enable visibility of a holographic image. HRI substrates are normally used for ID products and other applications where protection of variable data is crucial. Application of HRI holographic product over such variable data prevents its fraudulent alteration. HRI materials are expensive. The input cost of HRI material is 60% higher than that of metallized selective release material.

Size of the label is a major cost driver. An economical layout with maximum number of labels per running meter and minimum waste means more competitive pricing. The following square label sizes give the most economical layouts and therefore the best size to price ratios:

15mm x 15mm, 18mm x 18mm, 23mm x 23mm, 30mm x 30mm, 41mm x 41mm, 65mm x 65mm

In case of a circular label the most economical size figures are the same as the above but stand for label diameter i.e. 15, 18, 23, 30, 41, 65 mm diameters.
Sizes below 15mm are not recommended due to possible difficulties with mechanical die-cutting. Upon special request 12.5mm x 12.5mm labels can be made but the cost of die-cutting them by laser will negate the price reduction due to smaller size.

The size is most crucial in across the web direction.

Holographic labels have various rewind codes depending on their final orientation on the reel or sheet (see Rewind Code table). It is important to establish whether the customer has any orientation preference before the start of production.

Self-adhesive polyester labels are normally supplied in the following finished formats:

  1. Single image reels on 76 mm cores, 5000 labels per reel for 15mm x 15mm to 20mm x 20mm labels, less for larger sizes.
  2. Sheets 150mm x 150mm or larger

The following finishing operations are possible on base labels:

  • Thermal numbering
  • Bar-coding
  • Laser etch numbering and marking
  • Variable shaping by laser die-cut
  • Lamination (including lamination with color films)
  • Overprint with visible flexo
  • Overprint with invisible (UV fluorescent) inks
  • Overprint (underprint) with DNA/IR matrix
  • Overprint with thermachromic inks

A holographic self-adhesive label product can be used as self-adhesive (cold) laminate for documents and plastic cards. Since laminates normally require transparency or partial transparency, cold laminates are normally either pattern-demetallized or made of HRI base.

C.2 HOLOGRAPHIC HOT-STAMPING FOILS

Reference Product Groups:

021 for registered foils
022 for non-registered foils

Foil materials and constructions available: see Appendix 2.

A non-registered image means a wallpaper repeating pattern which does not require positioning of the hot-stamping die in relation to the image.

A registered image means a centered holographic image which requires application machinery with an optical eye to be able to "register" to the specially designed registration patch (mark) located next to each image or series of images in order to provide for accurate blocking of such centered image. Registered images require bleed (margin) of at least 1.5 mm around the image to allow for application tolerances.

Holographic hot-stamping foils labels are normally supplied in reels of 4mm to 300mm wide on 1" or 3" cores up to 1000 meters in length. There are certain limitations with regards to various types of foil adhesives/releases supplied on certain core size or certain outside diameter. This needs to be verified with production in each individual case.

Holographic hot-stamping foils labels are normally supplied in reels of 4mm to 300mm wide on 1" or 3" cores up to 1000 meters in length. There are certain limitations with regards to various types of foil adhesives/releases supplied on certain core size or certain outside diameter. This needs to be verified with production in each individual case.

  • Type of substrate
  • Application machinery
  • Durability requirements

Substrates are generally classified as follows (figures given describe ease of application from 1 (easy) to 5 (extremely difficult)):

  1. Papers:
    • Commercial (smooth) label papers 1
    • Commercial (smooth) document papers 2
    • Security (coarse) papers 4
    • Watermarked security papers 5
  2. Plastics:
    • Plastic card material (PVC, Teslin) 2
    • Plastic films 4

Main types of application machinery and recommended foil grades are described in Appendix 3.

Durability requirements are a factor for the following applications:

  • Banknotes
  • Credit cards

The following finishing operations are possible on base foils:

  • Pattern demetalization
  • Underprint with DNA/IR matrix

C.3 HOLOGRAPHIC HOT LAMINATES

Reference product group 023

19 micron HRI-based holographic hot laminate is supplied in reels for automatic application to PVC cards in a Toppan or Fargo printer/laminator.

Trials are under way for application via Datacard, Eltron and DTI machines.

Printed unpresonalized PVC cards can be supplied with the laminate.

C.4 LAMINATION POUCHES AND HOTMELT LAMINATES WITH HOLOGRAPHIC ELEMENT

Product group: 06

Hotmelt laminate in reels 061
Hotmelt single pouch 062

Hotmelt (PET/PE) lamination pouches are supplied in singles for application via simple desktop laminators. Hotmelt laminates are supplied in reels for application via automatic infilling/laminating machines (IDMatics, Mannesman, Codor).

A holographic element on the pouch is a tamper-evident holographic label (metallized, pattern demetalized, HRI) applied to the reverse of the face side of the pouch (laminate) via pressure-sensitive adhesive.

The reverse side of such holographic label (the side not applied to the pouch) is coated with heat- sensitive (hot-foil) adhesive which activates simultaneously with the hotmelt adhesive (PE) of the pouch when passing through the laminator providing adhesion of the label to the substrate of the laminated document.

The holographic element can applied to the pouch (laminate) in register. Lamination temperatures when using a holographic element are limited with130-140C.

The size of pouches ranges from ID-1 (86mm x 54mm) to A4. The typical thicknesses of the pouch/laminate are 100, 125, 175, 250 microns. The PET/PE composition ratio of the pouch provides a compromise between transparency and adhesion. A typical composition is e.g. 4/3 for a 175 micron pouch meaning 100 microns of PET and 75 microns of PE. Various compositions are possible at customer's request.

Pouches/laminate can be printed in visible and invisible UV fluorescent gravure/flexo.

C.5 COMPOSITE LABELS WITH A HOLOGRAPHIC ELEMENT

Reference product group 03

We can offer a variety of dry and self-adhesive printed labels with holographic hot-stamping foils.

Typical substrates are as follows:

  • Commercial label paper (dry or self-adhesive)
  • Security paper (dry or self-adhesive) (possible security features in the paper include UV dullness of paper, visible and invisible UV fluorescent fibers, watermarks (cylinder mold or Fourdrinier), chemical sensitization against fraudulent data alteration, various security threads). Typical weight 70 to 90 gsm.
  • Frangible (tamper-evident) self-adhesive paper. There are two types currently used: LEINE SILK is 30 gsm UV bright. ALGRO PRIMESS is 50 GSM UV dull.
  • Frangible satin white (black, yellow) vinyl. This very expensive white 50 micron material is used for applications when humidity/condensation of the substrate surface is likely to be present at the point of label application.
  • Tamper-evident white VOID polyester. This 50 micron thermal transfer printable substrate has selective release and leaves a VOID pattern of the surface of the substrate.

The following finishing operations are possible on base labels:

  • Security printing in offset, intaglio including UV fluorescent, metallised inks, optically variable, thermachromic inks etc.
  • Standard commercial printing (flexo, letterpress, offset)
  • Pattern demetalization of the foil
  • Inkjet numbering
  • Thermal numbering
  • Bar-coding including PDF-417 bi-dimensional barcodes
  • Laser etch numbering and marking
  • Variable shaping by laser die-cut
  • Lamination (including lamination with color films)
  • Overprint (underprint) with DNA/IR matrix

Typical applications of composite labels with OVM's are as follows:

  • Tax stamps (alcohol, cigarettes)
  • Entry visa labels
  • Road tax discs
  • Wine and drinks labels
  • Automotive parts labels
  • Consumer electronics labels
  • Hangtags
  • Video face labels

Product Study 1 – Visa Label

Self adhesive security printed visa label with registered holographic element.

Size of label: 110 x 80mm

Paper: 80 gsm white UV dull self-adhesive paper with visible UV fluorescent fibers.

Printing:

Intaglio border in green monochrome with latent image. Micro-engraved line in same green monochrome to be at bottom of label immediately above the lower intaglio border.

Background in security offset in two color prismatic print and in rainbowed pastel shades to be anti- copy. The background to incorporate national coat of arms. Additionally an invisible UV fluorescent feature in the background. Text in black offset. (total 4 colors offset).

Serial number in red color to fluoresce under UV light.

Offset inks sensitive to water and chemical solvents and mechanical erasure.

Adhesive to provide high tack to prevent removal of visa from passport page. Labels are security kiss-cut to further hinder unauthorized removal.

Holographic image: 20mm x 20 mm registered image on 19 micron polyester hot-stamping foil metallised and embossed with holographic image coated with heat-sensitive adhesive to suit the self-adhesive visa label paper.

Product Study 2 – Motor Vehicle Tax Disc Label

Self adhesive polyester label with holographic element readable from two sides

Size of finished label

NS 60mm x EW 60mm or similar, any shape

Material

70 micron transparent PVC on 90 gsm white backing paper

Adhesive

Permanent acrylic adhesive on the back of the label over printed surface

Print

Layer 1 (visible from back): 4 colours raised security gravure with fine line structure and microtext
Layer 1 (visible from back): 4 colours raised security gravure with fine line structure and microtext
Layer 3 (visible from face): 4 colours raised security gravure (tactile) with fine line structure and microtext

Face print is overwritable for entering vehicle registration number. Printing inks are solvent sensitive to indicate alteration.

Print on reverse of backing paper: offset, one colour guilloche background plus black text containing statutory information on the use of the tax label.

Hologram

Registered holographic SECUTECH® hot-stamped image 20mm x 20mm in size (variable shape) applied to the face of the label over transparent "window" to be seen from both sides.

Numbering

Serial numbering on face in gravure (2 alpha) on face over the hologram area Mechanical sequential numbering (6 numerics) in red ink fluorescing under UV light, on face over the hologram area

Finishing

Security kiss-cut to resist unauthorized removal and supplied in singles.

Validity

Term of validity of the tax label is confirmed by holes, punched though the month and day indicator. Validity of the tax label for a specific vehicle is confirmed by entering the vehicle registration number on the panel provided on the label.

Optional extras

The following extra features can be included in the label format described above

  1. A separate coupon to be kept with vehicle registration documents for inspection. A polyester self-adhesive label 50mm x 80mm or similar analogous in specification to the windscreen label itself (including hologram and UV numbering) and presented on single sheet with the windscreen label separated by perforation.
  2. DNA marker. 1% solution of DNA molecules specially formulated for the customer can be added to gravure ink and include optical UV and/or infrared taggants. UV taggant is activated by a short wave UV lamp. IR taggant is activated via a hand-held portable detector including an invisible IR range laser.
  3. Microbar™ digital watermark can be added to the printing artwork. Different Microbar signature can be used for every vehicle type. Microbar is authenticated by an inexpensive hand-held scanner.
  4. Pattern demetallised holographic image. The holographic image can be pattern-demetallised in register.

Variation:

A windscreen label can be personalized with vehicle registration number and driver details via overprinting with PDF 417 barcodes printable via inkjet or thermal transfer. PDF 417 can be encrypted to prevent unauthorized readings. It provides complete verification of car/driver identity offline without access to the main database. A complete vehicle/ road tax control system with central database and inspection facilities can be put together by HOLOPTICA for a government customer based on PDF 417 format if required.

Product Study 3 – Tobacco Tax Stamp

Dry paper label with a holographic stripe.

Size

20mm x 44mm

Paper

Security paper with the following properties:

  • UV dull (does not reflect UV light)
  • 70gsm - this is the recommended weight for the majority of tobacco tax stamp application equipment.
  • 1 colour of visible security fibres - visible under normal illumination.
  • 2 colours of invisible security fibres - (green and red), which are only visible under UV light. HOLOPTICA Limited can supply UV lamps, if required.
  • Pen verification feature - The paper is treated with special chemicals during paper manufacture. When a special pen is applied to paper which has been treated with the correct chemicals, the paper changes to a particular colour due to a chemical reaction. Several such colour changes can be induced. Special pens would be supplied by HOLOPTICA for authentication of the paper.

Print

The security print element can include up to 6 print workings, including:

  • Thermochromic working - This is an advanced form of security print technology where the ink temporarily changes colour when exposed to specific temperature changes, revealing a hidden message. The activation temperature selected for the inks being offered is approximately 31o C to provide a convenient and effective authentication feature for the Ministry of Finance.
  • Visible fluorescent feature - visible ink, which fluoresces under UV light
  • Invisible fluorescent working, which fluoresces red under UV light
  • Multi-coloured micro-text
  • Fine-line guilloche background pattern
  • Digital watermark incorporated into part of the print design. This will be detectable by scanning only with special software supplied by HOLOPTICA and a private encryption key held by Ministry of Finance. A detailed description of this cutting-edge technology can be found in the section "Exciting New Technologies".

Hot stamping foil - unique SECUTECH® high-security diffractive technology

Numbering

Sequential number, comprising two letters and 7 digits. Samples of typical numbering styles are provided.

Case Study 4 - Hangtag

220 gsm white stay flat board stock, 50mm x 73mm
50mm x 13mm holographic hot-stamping foil stripe along long edge of tag
2 to 4 color print top side

Punched hole at top of tag
10 digit sequentially numbered
supplied in singles

We can offer a package solution for large-scale projects comprising labels and automatic label application equipment.

Product Study 5 – Video face label

Printed self-adhesive video face label with OVM.

Size: 75mm x 45mm

Material: 80gsm, semi-gloss, self-adhesive label paper with permanent adhesive on honey glassine backing paper.

Print: 4 colour letterpress of flexo process.

Hologram: registered patch 15 mm x 15mm or non-registered stripe 5mm wide along shot side of label.

Finishing: supplied in reels on 3" cores one label across.

C.6 HOLOGRAPHIC HEAT-SHRINKABLE SLEEVES

Reference product group 07

Heat-shrinkable sleeve of 70 (50) micron orientated PVC with holographic stripe. Printed up to 4 colours gravure (thermachromic possible) or clear (unprinted). Holographic stripe applied to the inside of the sleeve is 50 micron tamper-evident polyester metallised and embossed with a holographic image and coated with adhesive to suit the PVC substrate. Twin perforations along the sleeve possible at no additional cost. Each sleeve can be sequentially numbered via durable UV-curable inkjet.

Sleeve will shrink over bottle closure under application of heat in a heat tunnel. Holographic stripe cannot be removed from the inside of the sleeve without causing delamination and destruction of diffractive image (tamper-evidence).

Sleeves can be supplied either pre-formed (for manual or automatic application) or in flat reel format for machine application. Typical application machinery for this product (RF-80, RF-120, RF-200 machines) has application speed of 80-200 sleeves per hour. Pre-forming is a major cost driver for any project of considerable scale, flat reelform is recommended.

The standard sleeve size for a typical 0.5-0.75 liter drinks bottle is 51.5-53mm flat width (corresponding to bottle cap diameter 28-31mm).

C.7. HOLOGRAPHIC COINs

Product group 04

Holographic coins are available in gold-plated brass, silver and gold. One side of the coin can be fully holographic with the other side minted. In this case the size of the coin is limited by 37 mm. If a hologram and a minted pattern is required on the same side, then the coin is made as a bimetallic with a holographic insert i.e. first the base coin is created minted on both sides if necessary and then a holographic insert is attached into a pre-manufactured depression on one side of the coin. In case of this construction both base and insert can be made of one and the same metal or two different metals. Please note that no depth or 3D features are possible on coin holograms due to technical limitations of the embossing process. Therefore any design for a holographic coins has to be based around colour switch and kinetic elements only. There is a huge variation in tool costs depending on size of coin (and insert in case of bi-metallics). Please check with Production for best sizes before giving any preliminary quotes.

Holographic coins are used primarily as commemorative coins (or medals). The technology of protecting the holographic relief is not developed enough to give enough wear resistance for this product to be used as circulation coins.

C.8 DETECTORS FOR COVERT FEATURE AUTHENTICATION

Product Group 08

We supply the following detectors for various covert features incorporated into HOLOPTICA products:

Detector Covert feature Guideline price, USD per unit
Red laser pen 630 nm Reflective cryptograms 15.00
Segment red laser reader 630 nm reader 630 nm Transmissive cryptograms 60.00
Longwave UV detector UV fluorescent features 15.00
Shortwave UV UV taggant in DNA matrix 120.00
Infrared laser detector IR up-converter in DNA matrix 650.00
Pixelcode™ decoders Pixelcode™ patterns 1.20
Portable Microbar™ scanner scanner Microbar™ patterns TBA
Portable microscope X100 Microfeatures in holograms 12.00

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This policy was last modified on 1.January 2013

Contacting Us:

If there are any questions regarding this privacy policy you may contact us using the information below.

www.holoptica.com
425 Old County Road
Belmont, California 94002
U.S.A.
info@holoptica.com