Canon's 157 nm Lithography Program on Track; First 157 nm Systems Ready to Ship on 5000 Platform Q4 2003.

Business Editors/High-Tech Writers

SPIE Microlithography 2003

SAN JOSE, Calif.--(BUSINESS WIRE)--Feb. 24, 2003

The Semiconductor Equipment Division of Canon U.S.A., Inc., a subsidiary of Canon Inc. (NYSE: CAJ), today announced that its 157 nm lithography program for semiconductor manufacturing is still on track and that it expects the first tools ready to be shipped in the second half of 2003.

Speaking at the opening of the annual SPIE Microlithography 2003 exposition in Santa Clara, California, (Canon booth #936), Phil Ware, senior fellow of lithography strategy with the Semiconductor Equipment Division of Canon U.S.A., cautioned that while key technical issues such as calcium fluoride, bifringence and purity obstacles as well as purging systems appear to have been addressed, other major technical challenges need to be overcome, including development of pellicles solutions and suitable photoresist processes.

"Our 157 nm program is well on track and is slated to address semiconductor producers' needs at the 65 nm node and below," said Ray Morgan, strategic marketing manager, Semiconductor Equipment Division, Canon U.S.A.

"While the industry roadmap calls for insertion of 157 nm wavelengths at the 65 nm node, Canon believes that the insertion point will ultimately be determined by customer need and the ability to extend current optical solutions. Already improvements in lens numerical apertures (NA) and resolution enhancement technology have enabled the industry to drive 248 nm with krypton fluoride excimer laser sources (KrF) below 100 nm and it is expected that 193 nm lithography with an argon fluoride light source (ArF) will extend all the way down to the 65 nm."

Canon is confident that it and the industry in general will eventually resolve outstanding technical issues and that Canon's program will remain on track.

"We will be ready to ship our beta tool, FS1, later this year," declared Mr. Ware. "It will be launched on our highly successful 5000 platform, designated the FPA-5800FS1 and will feature 0.80 NA projection optics with a 5x reduction ratio."

Canon will follow that with its production tool, the FS2, which will be ready for shipment in early 2005 and will be launched on its new high productivity single stage FPA6000 platform, which is designed to span three generations of lithography from 248 nm through 193 nm to 157 nm.

FPA-5800FS1                  F2 scanner
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Numerical Aperture (Max.)    0.80
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Reduction Ratio              1:5
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Field Size                   22mm x 26mm
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Exposure Wavelength          157nm
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Reticle Size                 .6" to 0.25"
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Pellicle                     Hard pellicle, 0.8mm thick; or soft
                              pellicle
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Wafer Size                   300mm or 200mm
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Optics Design                Catadioptric System
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Illumination Condition       Automatically Changeable:
                             Normal, Annular, and Quadrupole
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Laser Bandwidth              FWHM 0.7 to 1.0pm
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Aberration Control           Active Compensation System
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The Semiconductor Equipment Division of Canon U.S.A. supplies step-and-repeat and step-and-scan photolithography tools and solutions used in the design and fabrication of semiconductor devices, flat panel displays, microelectromechanical systems (MEMS) and read/write heads for magnetic storage systems.

Canon U.S.A., Inc. delivers consumer, business-to-business, and industrial imaging solutions. In 2001, the Company was listed as one of Fortune's Most Admired Companies in America, and was ranked #41 on the Business Week list of "Top 100 Brands." Its parent company Canon Inc. (NYSE:CAJ) is a top patent-holder of technology, ranking third overall in the U.S. in 2001, with global revenues of $22 billion. Canon U.S.A. employs approximately 11,000 people at over 30 locations. For more information, visit www.usa.canon.com.