Universal Display First to Achieve 30 Lumens Per Watt White OLED; Researchers Announce Record-Breaking Power Efficiency Achievement Using Novel Striped Red-Green-Blue OLED Architecture At 2005 SPIE Symposia.

EWING, N.J. -- Universal Display Corporation (NASDAQ:PANL), the Company that's lighting the way in developing and commercializing OLED displays, today announced the demonstration of a white OLED lighting panel with a record power efficiency of 30 lumens per watt (lm/W) using the Company's PHOLED(TM) phosphorescent OLED technology at The International Society for Optical Engineering (SPIE) Symposia and Exhibition held in San Diego, CA.

The Company's record-breaking white OLED performance is based on a novel panel design that consists of an array of red, green and blue colored stripes. Adjusting the intensity of each primary color generates infinite shades of white color, typically characterized by color temperature and color rendering index. Power efficiencies of this 6" x 6" prototype panel were measured at color temperatures between 2,900 and 5,700 degrees Kelvin (K). The record 30 lm/W white OLED power efficiency was achieved at a color temperature of 4,000 K, which is comparable to the color temperature and power efficiency of a cool fluorescent lamp. By comparison, typical incandescent light bulbs emit light at around 15-20 lm/W with a color temperature of 2,900 K. This panel can also operate very brightly. For example, this 6" x 6" panel produced 150 lumens of optical power, at an efficiency of 15 lm/W and 3,700 K color temperature. The record performance of this novel OLED panel is also based on the Company's proprietary PHOLED technology which enables very high efficiency of the constituent red, green and blue stripes. In addition, the color rendering index was greater than 80 across the measured color temperatures because of the broad spectral output of the combined colors.

Lighting consumes approximately 765 trillion Watt-hours (TWh) of electricity each year in the United States, or nearly 30% of all electricity produced for buildings. This translates into a cost of almost $58 billion per year for consumers to light their homes, offices, streets, and factories, according to the U.S. Department of Energy. Increasing the efficiency of lighting by a small amount has the potential to generate tremendous savings in both cost and energy use. The development of this white-emitting OLED lighting panel is an important step in this direction.

This advance was reported in a paper, entitled "Phosphorescent organic light-emitting devices for solid-state lighting," presented at the SPIE Optics and Photonics 2005 Symposia, on Monday, August 1st, by Dr. Brian D'Andrade, Senior Scientist at Universal Display, at the San Diego Convention Center. This work was partially funded by a U.S. Department of Energy Small Business Innovation Research (SBIR) grant.

"By harnessing the efficient nature of our proprietary phosphorescent OLED technology in a novel device architecture, we have been able to demonstrate record-breaking power efficiencies in white OLED devices," stated Steven V. Abramson, President and Chief Operating Officer of Universal Display. "This advance is an important milestone toward the future adoption of white OLEDs for lighting applications such as those envisioned under our U.S. Department of Energy research contracts."

About Universal Display Corporation

Universal Display Corporation is a world leader in developing and commercializing innovative OLED technologies and materials for use in the electronic flat panel display, lighting and other opto-electronic markets. Universal Display is working with a network of world-class organizations including Princeton University, the University of Southern California, and PPG Industries. The Company has also established more than 20 agreements and development programs for glass-based OLED products with companies such as Tohoku Pioneer Corporation, who introduced the Company's PHOLED technology in a cell phone subdisplay; Samsung SDI Co., the world's leading OLED manufacturer, who is expected to soon begin producing active-matrix OLED displays using Universal Display's PHOLED technology; AU Optronics Corporation; DuPont Displays, Inc; Seiko Epson Corporation; Sony Corporation; and Toyota Industries Corporation. The Company has also licensed its OVPD technology to AIXTRON AG for the development of next-generation OLED manufacturing equipment. Universal Display currently has rights in over 700 issued and pending patents worldwide.

Universal Display is located in the Princeton Crossroads Corporate Center in Ewing, New Jersey, minutes away from its research partner at Princeton University. Universal Display's state-of-the-art facility is designed to further technology development, technology transfer to manufacturing partners and work with customers to develop products to meet their needs for flat panel displays. Visit Universal Display on the Web at www.universaldisplay.com.

All statements in this document that are not historical, such as those relating to Universal Display Corporation's PHOLED(TM) technology and potential applications of that technology, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on any forward-looking statements in this document, as they reflect Universal Display Corporation's current views with respect to future events and are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated. These risks and uncertainties are discussed in greater detail in Universal Display Corporation's periodic reports on Form 10-K and Form 10-Q filed with the Securities and Exchange Commission, including, in particular, the section entitled 'Factors that May Affect Future Results and Financial Condition' in Universal Display Corporation's annual report on Form 10-K for the year ended December 31, 2004. Universal Display Corporation expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement contained in this document.