Amtech Systems, Inc. Automates Large Semiconductor Production Fab.

Business Editors and Technology Writers

TEMPE, Ariz.--(BUSINESS WIRE)--Feb. 29, 2000

Amtech Systems, Inc. (Nasdaq:ASYS) announced it has secured additional follow-on orders for $1 million of IBAL automation products from a world-class Texas-based semiconductor manufacturer.

The order is for automating additional 200mm (8 inch) horizontal furnaces and represents another step in the automation of a large horizontal semiconductor fabrication facility ("fab"). These systems include complete cassette-to-cassette wafer transfer capability. During calendar year 1999, the Company won, announced and completed initial and repeat orders for more than $1.8 million of IBAL automation for this same customer. The Company estimates that orders for IBAL automation products from this Texas based semiconductor manufacturer could reach a total of $8.2 million. Upon completion of the above announced orders there will remain an estimated $5.5 million of planned automation of horizontal diffusion furnaces at that facility, including future capacity expansion under consideration by the customer.

J.S. Whang, the Company's President and CEO, stated "I am proud that our products were selected to automate this world-class semiconductor manufacturer's 8 inch production fab, especially considering the caliber and nature of the competition for this business. Many semiconductor manufacturers have facilities full of horizontal furnaces that may need to be automated. This is particularly true in the semiconductor fabs that manufacture devices used in communications, automotive and non-computer consumer electronic products, some of the fastest growing segments of the semiconductor market, and the segment we serve best. Currently, there is also a much greater awareness of good ergonomics, a natural out-growth of the advances in industrial safety made during the 1980's and 1990's. The fact that we have products that serve a rapidly growing market segment and that satisfy a growing need to increase efficiencies and solve ergonomic problems, indicates that Amtech has the right products at the right time. We intend to capitalize on this exciting opportunity."

The Company's patented IBAL Automation solutions have several competitive advantages compared to its competition. It has a near zero footprint, making it ideal for retrofitting automation into existing facilities. The system is also modular, making it easier to configure to customers' requirements and to maintain. IBAL is more cost effective and more reliable than some of its competition, as proven by these repeat orders from a world class Texas semiconductor manufacturer. Also, IBAL loads individual boats of wafers, while some competing systems require intermediate carriers to hold the boats, which are not as desirable when processing wafers. The Company's cassette-to-cassette wafer transfer capability will further automate the loading and unloading of horizontal diffusion furnaces and will reduce the need for human intervention. The customer is in the process of installing new horizontal diffusion furnaces and upgrading existing ones in order to increase the fab's capacity, make the entire facility capable of processing 200mm wafers and to improve manufacturing efficiencies.

Amtech Systems, Inc. manufactures capital equipment and related consumables used in the manufacture of various thin-wafer materials, primarily silicon wafers for the semiconductor industry, and in certain thermal processes used in fabricating semiconductor devices.

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by Amtech Systems, Inc.) contains statements that are forward-looking. Such forward looking information involves a number of known and unknown risks and uncertainties that could cause actual results to differ materially from those discussed or anticipated by management. Potential risks and uncertainties include, among other factors, industry specific and general business conditions, competitive market conditions and the success of Amtech's growth and sales strategies. For more information, review the Company's filings with the Securities and Exchange Commission, including, but not limited to, Amtech Systems, Inc.'s annual report on Form 10-K and quarterly reports on Form 10-Q.