Checkpoint Systems, Inc. (NYSE:CKP), a leading global supplier of shrink management, merchandise visibility and apparel labeling solutions for the retail industry and its supply chain, today announced its newest RF label series in its Enhanced Performance (EP) Electronic Article Surveillance (EAS) labels range: a first-of-its-kind, clear label for placement over a bar code without jeopardizing bar code scanning. It is also the smallest size EAS label available for protecting small, thin, un-carded cosmetics and other high-value merchandise.

EP CLEAR labels are a visual deterrent to theft and have been proven in retailers’ pilot studies to reduce pilferage by more than 15 percent. The high-theft product category of health & beauty is one of the key areas to benefit from these new RF label circuits, as the labels are small in size and can protect items often targeted by thieves such as cosmetics, perfumes and other small merchandise.

Checkpoint is the first company to achieve the technological breakthrough of manufacturing a label that will not degrade branding or interfere with packaging design, while allowing cashiers to scan product barcodes through the EP CLEAR label at checkout. Until now, the technology made manufacturing an EAS label this small with a large, clear viewing window very difficult.

Increased accuracy and precision are a hallmark of the EP label line introduced by Checkpoint in 2007. This newest addition -- the EP CLEAR label -- continues the trend, providing exceptional EAS detection accuracy and precision in an even smaller-sized label, especially when used with the company’s leading-edge EVOLVE EAS System. EP CLEAR label and EVOLVE antennas have shown a combined 95 percent or higher performance rating in retailer pilots – which is extraordinary for a small-sized label.

The labels may be applied to products in stores by employees; EP CLEAR labels are also easily integrated into high-speed source tagging processes by product manufacturers, so that merchandise arrives in stores shelf ready.

“The EP CLEAR label gives retailers and manufacturers the effective protection they seek for smaller merchandise that is highly susceptible to theft,” noted Farrokh Abadi, Checkpoint Systems’ Worldwide President, Shrink Management Systems. “The proven decline in shrink is due to potential shoplifters seeing that products are clearly protected – the label’s electronic circuit is now visible on the products. For small, high-theft items, visible deterrence is a preferred method of protection.

“The ability to scan barcodes through the EP CLEAR label is another breakthrough advancement that makes the labels especially convenient for small cosmetic merchandise for which retailers are reporting increased shrink,” he continued. By introducing this advancement to our ground-breaking EP labels, we have raised the bar and hit the trifecta our customers are looking for: better theft detection, in a smaller and more attractive label, that is designed to work well for source tagged merchandise.”

EP CLEAR labels are also environmentally friendly. Produced using less aluminum, less paper and less plastic than standard labels, they help retailers reduce their carbon footprint. By replacing standard EAS labels with EP CLEAR labels, retailers and CPG manufacturers can reduce waste material by up to 65 percent.

About Checkpoint Systems, Inc.

Checkpoint Systems is a global leader in shrink management, merchandise visibility and apparel labeling solutions. Checkpoint enables retailers and their suppliers to reduce shrink, improve shelf availability and leverage real-time data to achieve operational excellence. Checkpoint solutions are built upon 40 years of RF technology expertise, diverse shrink management offerings, a broad portfolio of apparel labeling solutions, market-leading RFID applications, innovative high-theft solutions and its Web-based Check-Net data management platform. As a result, Checkpoint customers enjoy increased sales and profits by improving supply-chain efficiencies, by facilitating on-demand label printing and by providing a secure open-merchandising environment enhancing the consumer’s shopping experience. Listed on the NYSE (NYSE: CKP), Checkpoint operates in every major geographic market and employs 5,600 people worldwide. For more information, visit www.checkpointsystems.com.

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