In fiscal 1999, SEZ Group improved its consolidated net sales by 35 percent to CHF 83.7 million (1998: CHF 62.1 million). Operating income (EBIT) increased to CHF 12 m (1998: CHF 4.5 million), and net profit climbed to CHF 10.4 m (CHF 2.5 million). The EBIT margin for the year thus came to 14,3 percent (1998: 7.3%) with a net profit margin of 12.4 percent (1998: 4.0%). In view of the persistently encouraging demand for semicondutor manufacturing equipment, SEZ Group is raising its sales expectations for the 2000 financial year to CHF 140 million (previously CHF 100 million).

The pronounced improvement in results reflects the huge rise in demand in the market for semiconductor equipment as of the second quarter 1999 primarily from contract manufacturers (Silicon Foundries) in Southeast Asia. Despite starting off with no orders in hand in 1999, SEZ Group closed out the year with record orders totalling over CHF 53.5 million. In view of the constantly strong demand - primarily from Southeast Asia - SEZ is raising its sales expectations for the 2000 financial year to CHF 140 million (previously CHF 100 million) with profit margins set to rise even further.

The unrivalled spin-process technology (a wet-process for wafer surface treatment in microchip production) developed by SEZ has established the Group as the world leader in this technology. You will find further information on the Group's home page at www.sez.com.

Villach/Zurich, March 8, 2000