Canon U.S.A. Establishes Marketing Division for SOI Wafers.

Business Editors

LAKE SUCCESS, N.Y.--(BUSINESS WIRE)--March 22, 2001

Canon U.S.A., Inc., a subsidiary of Canon Inc. (NYSE: CAJ), today announced the establishment of a new division for marketing Canon's proprietary ELTRAN silicon-on-insulator (SOI) wafers in North America.

The new division will be located at Canon U.S.A.'s Lake Success, New York, headquarters.

In November 2000, in response to growing market demand, Canon increased production capability for ELTRAN wafers fivefold. Now, 10,000 SOI wafers are produced per month at the Hiratsuka R&D and wafer fabrication facility in Kanagawa, Japan.

In preparation for anticipated growth within the SOI wafer market, the new marketing division will enable Canon to expand ELTRAN-related customer service, which, until now, had been limited to Japan. Services include technical support, orders and delivery.

The new division illustrates Canon's commitment to SOI technology and the importance of the global SOI market. The move, which complements Canon's strengthened SOI production capability with enhanced customer service, is designed to further expand the company's SOI client base.

For the latest information about ELTRAN, visit the ELTRAN web site at http://www.canon.com/eltran/. The ELTRAN marketing contact at Canon U.S.A. is Kikuo (Ken) Yoshikawa at 516/328-4217 (phone), 516/327-2348 (fax), [e-mail] (email).

Canon U.S.A., Inc., a subsidiary of Canon, Inc., provides professional and consumer imaging solutions that give people the Know How to access the latest technology. The company's comprehensive product line includes networked multifunction devices; digital and analog copiers (color and black and white); printers, scanners, image filing systems, and facsimile machines; camcorders, cameras and lenses; and semiconductor, broadcast and medical equipment. Canon employs 12,000 people at more than 30 facilities throughout North, Central and South America and the Caribbean.

All referenced product names are trademarks of their respective owners.

Note to editors:

SOI wafers have an oxide layer between the base substrate and the thin film of monocrystalline silicon hosting the integrated circuit devices. This buried oxide layer reduces capacitance, a parasitic coupling between the circuitry and the bulk silicon beneath. The result is faster transistors that use less power. Epitaxial SOI wafers are garnering considerable industry attention not only because of these two advantages but also because they do not propagate the tiny particles or pits typically found in bulk wafers. This is of vital importance due to the ever-shrinking size of integrated circuit features. SOI epitaxial wafer features are especially significant to makers of high-end logic, memory and digital signal processor ICs. Applications include network servers, laptops and PDAs, as well as the next generation of cellular phones and wireless communications tools.