SAN DIEGO, CA, February 9, 2006 - ImageWare® Systems, Inc. (AMEX: IW), a world leading developer and provider of identity management solutions, today announced it has achieved Advanced Partner status in IBM's PartnerWorld Industry Networks. ImageWare can now take advantage of IBM's sales, marketing and technical expertise to develop and deliver solutions that meet customer requirements.

Customers are seeking solutions that can help them better integrate processes and applications and allow them to quickly respond to changing market opportunities—all key elements in transforming to an On Demand business.

ImageWare provides optimized biometrically-enabled identity management solutions to public and private sector markets worldwide. By gaining the Advanced Partner status, ImageWare will further team with IBM to provide expertise in identity management for existing and new customers in numerous markets including defense, public safety, transportation, healthcare, and education. IBM's PartnerWorld Industry Network is an ideal resource bank for ImageWare, providing quick connection with IBM�fs sales and consulting teams and their customers who rely on IBM for expertise identity management.

ImageWare products are designed to operate on such IBM hardware as mobile devices, IBM eServer platforms, and other personal computers and notebooks. Running a mix of heterogenous technologies, ImageWare technology has also been ported to UNIX and Linux environments.

ImageWare has a proven track record in partnering with IBM, most recently on a large-scale identity management project for the Arizona Department of Public Safety. lmageWare developed a scalable digital booking, investigative and identification solution running on IBM servers.

The State of Arizona leverages ImageWare's technologies to not only capture digital mugshots and booking data throughout the state's sheriff's offices, correctional institutions, police departments and juvenile court centers, but also share that critical information in real-time with other law enforcement and criminal justice agencies such as the Federal Bureau of Investigation (FBI), Immigration and Naturalization Service (INS), and U.S. Customs in the state. As a result, Arizona has experienced a significant reduction in investigation time and an improved ability to track known offenders who wander the state.

"ImageWare provides mission-critical identity management solutions to key organizations and government agencies around the world and IBM will further enable us to deliver our world-class solutions by sharing the technology and resources to help us more effectively meet our clients' needs and grow our business," said Jim Miller, Chairman and CEO, ImageWare Systems, Inc.

"Open standards based architecture and cost-effective solutions are must-haves for customers," said Buell Duncan, general manager, ISV & Developer Relations, IBM. "We are pleased to work with ImageWare through IBM's PartnerWorld Industry Networks to deliver effective identity management solutions to customers in the government industry." The IBM PartnerWorld Industry Networks provide ISVs with comprehensive business insight, technical resources, networking opportunities, and marketing and sales support designed to help them reach more customers and close deals faster. Participants in the PartnerWorld Industry Networks can team with IBM to bring on demand solutions to market more easily and to ensure these solutions meet specific industry needs, reflecting how customers buy technology today.

ISVs can sign up for PartnerWorld Industry Networks at www.ibm.com/isv.

About ImageWare Systems, Inc.
ImageWare Systems, Inc. (AMEX:IW), is a leading developer and provider of identity management solutions, providing biometric, secure credential, law enforcement and digital imaging technologies. Scalable for worldwide deployment, the Company's biometric product line includes a multi-biometric engine that is hardware and algorithm independent, enabling the enrollment and management of unlimited population sizes. ImageWare's identification products are used to manage and issue secure credentials including national IDs, passports, driver licenses, smart cards and access control credentials. ImageWare's digital booking products provide law enforcement with integrated mug shot, fingerprint Livescan and investigative capabilities. The Company also provides comprehensive digital workflow solutions for the professional photography industry. ImageWare is headquartered in San Diego, with offices in Washington DC and Canada. For more information visit www.iwsinc.com.

Safe Harbor Statement
This news release may contain forward-looking statements made pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. While these statements are meant to convey to the public the company's progress, business opportunities and growth prospects, readers are cautioned that such forward-looking statements represent management's opinion. While management believes such representation to be true and accurate based on the information available to the company, actual results may differ materially from those described. The company's operations and business prospects are always subject to risks and uncertainties. Important facts that may cause actual results to differ are set forth in the company’s periodic filings with the U.S. Securities and Exchange Commission.

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