3M and Indigo in strategic packaging alliance.

MAASTRICHT, The Netherlands--(BUSINESS WIRE)--Aug. 28, 1995--Indigo N.V. (NASDAQ/NMS:INDGF), the world leader in digital color electronic printing technology, and 3M, a leading manufacturer of materials for the label and packaging industry, have developed a strategic alliance to offer a range of indigo-optimized substrates.

These stocks have been developed to optimize performance on the revolutionary Indigo Omnius One-Shot Color digital press for the label, packaging and decorative printing markets.

3M will be marketing the new range of substrates through DIGISTAR -- a service that offers guidance for matching imageable label materials and flexible packaging materials to digital imaging jobs for printing on the Indigo Omnius One-Shot Color printing system.

David Rosen, 3M Global Marketing Manager for the new product line, states "Digital Imaging will significantly alter the way consumer and industrial companies package and identify products in the coming decade. Indigo's Omnius technology dramatically changes the economies of producing custom messages and short runs in packaging and we anticipate a rapidly rising demand for materials for short-run, digitally printed packaging."

The Indigo Omnius uses a remarkable Digital Offset Color process called One-Shot Color, which enables this six color press to print on a very wide variety of materials ranging from webs of paper, plastic, foil and fabric, as well as shrink sleeving and labelling stocks.

Benny Landa, founder, chairman and CEO of Indigo, states, "The Indigo Omnius provides a short-run, on demand printing capability for a wide range of label, packaging and decorative printing applications. This strategic alliance with 3M, a renowned materials supplier in the labels and flexible packaging sector will ensure that Omnius customers in these sectors achieve outstanding print quality and performance from their Omnius systems."

Indigo and 3M are excited about the potential growth in the short-run, on-demand label and packaging market. These markets, which primarily serve the food, beverage, pharmaceutical, and personal care product sectors can be further segmented by packaging media: paper and plastic tags and labels, flexible film, folding carton, and plastic and metal containers.

Indigo N.V., a Dutch corporation with wholly owned subsidiaries in Israel and the United States, is engaged in the research, development, production, marketing, distribution and service of electronic printing products. These products include the E-Print 1000 Digital Offset Color press for short run color commercial printing, the Omnius One-Shot Color press for label, packaging and decorative printing, peripherals such as the E-RIP group of off-line image processors, and imaging products including Indigo's proprietary ElectroInk products. Indigo's Digital Offset Color technology combines the quality of liquid ink-based offset printing with performance advantages of electronic imaging. -0-

To learn more about DIGISTAR offerings call the 3M Identification and Converter Systems Division at 1-800-455-4363, extension 100 or write: 3M Identification and Converter Systems Division; Department IC-95, 10701 Hampshire Avenue South, Bloomington MN, 55438. To learn more about 3M Innovations, please visit the 3M World Wide Web home page: http://www.mmm.com If you would like to send a 3M Internet E-mail, our address is: [e-mail]

Indigo, Digital Offset Color, Omnius, One-Shot Color, E-Print, E-RIP and ElectroInk are trademarks or registered trademarks of Indigo, N.V.

DIGISTAR is a service mark of 3M.

CONTACT: Indigo America

Investor Relations:

Patricia Muzzy, 617/937-8954

or Marketing Communications:

Len Bacharach, 617/937-7933

or

Indigo Israel

Marketing Communications:

Amy Matchen, 972-8-381952

or

Broadford & Maloney Inc., Greenwich, Conn.

Media:

Martin Maloney, 203/661-2900

or

3M

Kim Jensen, 612/733-9268