Tencor Instruments Receives Multiple Orders for Surfscan SP1 Unpatterned Wafer Inspection System; Orders represent rapid industry acceptance for SP1's 300mm wafer and 0.18 micron device processing inspection capabilities.

MILPITAS, Calif.--(BUSINESS WIRE)--Feb. 18, 1997--Tencor Instruments (Nasdaq:TNCR) today announced multiple orders for the recently introduced Surfscan(R) SP1 wafer inspection system -- the industry's first 300mm-capable unpatterned surface inspection system. According to Tencor, the more than 20 SP1 orders placed since July 1996, by wafer, equipment and integrated circuit (IC) manufacturers worldwide, demonstrate rapid acceptance for an inspection system that addresses the challenges posed by 300mm unpatterned wafers used in emerging 0.18 micron technologies.

Commenting on the significance of the orders, George Kren, Tencor's director of marketing, unpatterned surface inspection systems, noted, "These orders validate the SP1's technical approach of providing the inspection capabilities that support the industry's migration to larger substrates and sub-quarter-micron design rules. In particular, the orders signal that these capabilities meet the needs of wafer manufacturers -- a primary business objective of the Surfscan SP1 program."

The SP1 systems are being used for 300mm processing equipment development, as well as 200mm production and 300mm research and development (R&D) at key wafer manufacturers. This includes Wacker Siltronic (Burghhausen, Germany), a key partner in developing the SP1 system. Dr. Peter Wagner, manager of Wacker Siltronic's R&D surface characterization, stated that the SP1 addresses the stringent inspection technology requirements associated with the transition to 300mm wafers. "Currently, no other surface inspection system offers the sensitivity, throughput and reliability critical to our 300mm development," said Wagner. "In fact, the beta SP1 system installed at our facility in May 1996 has inspected more than 10,000 wafers. This performance, combined with the system's advanced inspection technology, prompted us to replace the beta unit with a production SP1 system."

The SP1 incorporates proprietary Stationary Beam Technology and axi-symmetrical collection optics enabling the system to uniformly detect defects and haze (a characteristic closely associated with surface roughness) across the entire wafer surface, independent of the defect orientation on the wafer or the wafer orientation in the optical system. These capabilities provide the comprehensive and repeatable defect and surface quality information demanded by wafer, process equipment and integrated device manufacturers for efficient and effective 300mm development and manufacturing.

With two dark field collection domains and an optional bright field channel, based on Nomarski differential interference contrast technology, the Surfscan SP1 provides an unprecedented amount of surface information in a single wafer pass. This increases productivity by reducing inspection steps. The bright field channel captures mounds, dimples and crystallographic defects -- a critical capability for wafer manufacturers. The SP1's multiple channels also enable automatic classification of defect types. Accommodating up to 12 wafer cassette stations, the SP1 allows sorting and disposition of wafers into different output cassettes, based on criteria defined by the user, further increasing production efficiency.

Except for statements of historical fact, the statements in this press release are forward-looking. Such statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from the statements made. These factors include semiconductor industry cycles, risks associated with the acceptance of new products and product capabilities, and other factors detailed in the Company's reports on Forms 10-K and 10-Q, and annual report to shareholders.

About Wacker Siltronic: Wacker Siltronic is a leading producer of hyperpure silicon wafers, with a worldwide market share of approximately 12 percent. In 1996 the company had 5,300 employees on its four production sites: Burghausen; Wasserburg; Freiberg, Germany; and Portland, Oregon, USA. Total sales were DM 1.32 billion. Monocrystalline hyperpure silicon wafers belong to the essential base materials in approximately 95 percent of the worldwide semiconductor industry. Wacker Siltronic globally supplies manufacturers of semiconductor devices with cut, lapped, polished and epitaxial hyperpure silicon wafers, in diameters ranging from 76, 100, 125, 150 to 200 millimeters. The company's overall product mix also includes chlorosilanes, hyperpure poly-silicon and monocrystalline ingots. Wacker Siltronic supplies the global market from its production sites in Germany and USA, supported by its application centers in Germany, USA, Japan and the worldwide sales organizations.

About Tencor: Tencor Instruments, founded in 1976, is a recognized leader in the design and manufacture of innovative wafer defect inspection, software-based yield management, film measurement and metrology systems used in semiconductor manufacturing and related industries. The company reported revenues of $403.2 million for the year ended December 31, 1996. On January 14, 1997, Tencor announced a definitive agreement to merge with KLA Instruments (Nasdaq:KLAC). The transaction is expected to close in the June 1997 quarter. Corporate offices are located in Milpitas, Calif., with sales and service offices worldwide. Tencor's World Wide Web site is located at http://www.tencor.com

CONTACT: Tencor Instruments

Roberta Emerson, 408/571-3000

or

MCA Inc.

Vincent Mayeda, 415/968-8900