AIXTRON Sells Gen 3.5 Manufacturing Tool for Flexible Active-Matrix Displays.

AACHEN, Germany -- Plastic Logic Ltd., based in Cambridge, UK, has purchased an AIXTRON Gen 3.5 deposition tool for thin film deposition of the key organic dielectric layer used in their manufacturing process for flexible organic TFT backplanes. The company has developed a unique process to fabricate active-matrix backplanes on plastic substrates which, when combined with an electronic-paper frontplane material, will be used to create display modules that are thin, light and robust. According to Plastic Logic this will enable a digital reading experience that is much closer to paper than any other technology.

The newly developed equipment, based on AIXTRON's proprietary Close Coupled Showerhead(TM) (CCS(TM)) technology, will be installed and integrated into Plastic Logic's new manufacturing line for production of Gen 3.5 substrates in early 2008.

Dr. John Mills, COO of Plastic Logic, comments: 'AIXTRON has an outstanding record of developing and delivering equipment solutions for complex semiconductor gas phase deposition processes. Based on their success and expertise in large area deposition of organic semiconductors we are convinced that AIXTRON can provide the best solution for our specific challenge.'

In January 2007 Plastic Logic announced that it had raised USD 100 million to build the first factory to manufacture plastic electronics on a commercial scale. The production facility is being built in Dresden, Germany, the heart of 'Silicon Saxony' alongside renowned companies such as AMD and Infineon. The Plastic Logic facility will produce display modules for portable electronic reader devices. It will have an initial capacity of more than a million display modules per year with production starting in 2008.

For further information on AIXTRON AG (FSE: AIX, ISIN DE0005066203; NASDAQ: AIXG, ISIN US0096061041) please consult our website at: www.aixtron.com.

Forward-Looking Statements This news release may contain forward-looking statements about the business, financial condition, results of operations and earnings outlook of AIXTRON within the meaning of the 'safe harbor' provisions of the United States Private Securities Litigation Reform Act of 1995. Words such as 'may', 'will', 'expect', 'anticipate', 'contemplate', 'intend', 'plan', 'believe', 'continue' and 'estimate', and variations of these words and similar expressions, identify these forward-looking statements. The forward-looking statements reflect our current views and assumptions and are subject to risks and uncertainties. You should not place undue reliance on the forward-looking statements. The following factors, and others which are discussed in AIXTRON's public filings and submissions with the U.S. Securities and Exchange Commission, are among those that may cause actual and future results and trends to differ materially from our forward-looking statements: actual customer orders received by AIXTRON; the extent to which chemical vapor deposition, or CVD, technology is demanded by the market place; the timing of final acceptance of products by customers; the financial climate and accessibility of financing; general conditions in the thin film equipment market and in the macro-economy; cancellations, rescheduling or delays in product shipments; manufacturing capacity constraints; lengthy sales and qualification cycles; difficulties in the production process; changes in semiconductor industry growth; increased competition; exchange rate fluctuations; availability of government funding; variability and availability of interest rates; delays in developing and commercializing new products; general economic conditions being less favorable than expected; and other factors. The forward-looking statements contained in this news release are made as of the date hereof and AIXTRON does not assume any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by law.

Language:   English
Issuer:     AIXTRON AG
            Kackertstr. 15-17
            52072 Aachen
            Deutschland
Phone:      [phone]
Fax:        [phone]
E-mail:     [e-mail]
Internet:   www.aixtron.com
ISIN:       DE0005066203
WKN:        506620
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