Carl Zeiss Surgical, Inc. Anticipates Record Breaking Revenues for 2005.

THORNWOOD, N.Y. -- Please replace the release with the following corrected version due to revisions.

The corrected release reads as follows:

CARL ZEISS SURGICAL, INC. ANTICIPATES RECORD BREAKING REVENUES FOR 2005

Carl Zeiss Surgical, Inc. today reported that it is on target to break all previous year's records for revenue generation. This unprecedented achievement in what was previously considered a flat market is in large part due to the recent introduction of the new OPMI(R) Pentero neurological surgery platform. "The OPMI Pentero is unlike any other surgical microscope. In addition to providing premiere quality optics, the OPMI Pentero serves as an information and communication platform, allowing the surgeon to incorporate and utilize various types of information and data from multiple sources," explains Mike Brennan, Neurosurgery Marketing Manager.

The launch of the new Superlux(R) Eye xenon illumination for ophthalmic surgical microscopes is an additional contributor to this year's significant jump. Prior to this innovation, Ophthalmic surgeons were unable to benefit from the bright, natural-colored xenon light which has been a standard among other surgical discipline's. "Carl Zeiss has optimized this light for ophthalmology. It is just as safe as halogen illumination. During an ophthalmic surgical procedure, the surgeon is now able to see exceptionally high-contrast, detailed, true-color microscope images. Another benefit: a xenon lamp burns up to 10 times longer than a halogen lamp, giving OR nurses a lot of extra time," comments Jutta Sesselmann, Ophthalmology Marketing Manager.

This growth trend within the US market is expected to continue as Carl Zeiss, the parent company, undertakes additional global activities that support future growth and innovation. A clear indicator of their focus is the recent announcement that research and development at Carl Zeiss has reached an all time high of EUR 209 million with innovations up 8% to 371 new patent applications. Another indicator is their recently changed legal status to Carl Zeiss Surgical GmbH which is the German equivalent to the US version of a limited liability company. This new legal status will enable the organization to respond to the market with increased agility. Other aggressive growth-oriented activities include the recent merger of Carl Zeiss AG and SOLA who have combined their eyeglass business and the acquisition of IOLTECH by Carl Zeiss Meditec.

"All of these global activities ultimately have a powerful impact on our bottom line at the local US level," comments Carl O'Connell, President Carl Zeiss Surgical, Inc. "Innovations like the OPMI(R) Pentero(TM) surgical microscope are driving current revenues. Meanwhile the new corporate infrastructure is setting the stage for continued aggressive growth strategies by offering our customers new technology, faster and with more dynamic, innovative features then ever before. It's a very exciting time to be a part of this organization."

Carl Zeiss is a leading international group of companies operating worldwide in the optical and opto-electronic industry. Carl Zeiss AG is headquartered in Oberkochen, Germany. The Carl Zeiss Group consists of six business units that operate with sole responsibility. They are generally ranked first or second in the three strategic markets of biomedical research and medical technology, system solutions for semiconductor, automotive and mechanical engineering industries, and optical consumer goods such as eyeglass lenses, camera lenses and binoculars.

For more information contact Carl Zeiss Surgical, Inc., Thornwood, NY 10594, 800.442.4020, www.zeiss.com/surgical