LockNote is actually Steganos' first freeware package, and has been released under the GNU General Public License (GPL), so that the open source community can use and build upon the program's source code.
What's interesting about the package is that it looks like normal text editor and works in the same way, with the small difference that it can only be opened using the correct password.
According to Steganos, data entered into LockNote is automatically encrypted when the application is closed.
As with other applications from Steganos, LockNote 256-bit AES encryption to ensure security. The algorithm has - to date - never been cracked.
The program code is around 300 kilobytes large and encrypts the data within itself. This means that the software can be stored on a USB key and will auto-run from the key when plugged into a PC.
The software can be downloaded here