Varian Semiconductor Awarded Workforce Training Fund Grant; Local Technology Leader Recognized by Massachusetts Division of Employment.

Business Editors

GLOUCESTER, MA--(BUSINESS WIRE)--February 12, 2002

Varian Semiconductor Equipment Associates, Inc. (NASDAQ: VSEA), the leading supplier of ion implantation systems, the largest private employer on Cape Ann and one of the largest exporters in Massachusetts, today announced it has received a Workforce Training Fund Grant from the Massachusetts Division of Employment and Training (DET).

The Workforce Training Fund is a DET program that provides matching grants to companies for job-related employee training.

"This grant will enable us to offer our employees an opportunity to increase their technical knowledge and advance their careers at Varian Semiconductor," said Ernie Godshalk, Varian Semiconductor's president and chief operating officer. "We appreciate the state's recognition of our contribution to the local economy and for providing us with these additional resources to strengthen our talented workforce. Our employees are the most important element in our world leadership position, contributing to the success of our company and the local economy."

Dignitaries from the Massachusetts Division of Employment and Training visited Varian Semiconductor to tour the facility and present the check to company officials. According to DET Director Jack King, "The Massachusetts Workforce Training Fund is designed to help leading edge companies on the move, like Varian Semiconductor, obtain the resources to provide employees with the necessary job-related training they need. DET is pleased to recognize that commitment to workforce training today."

Varian Semiconductor's goal in using the Workforce Training Fund is to provide employees with the necessary instruction to complete the VSEA Basic Semiconductor Electronics Certificate Program. The program will be held at the company, with training provided by Northern Essex Community College.

About Varian Semiconductor

Varian Semiconductor Equipment Associates is the leading producer of ion implantation equipment used in the manufacture of semiconductors. The company is headquartered in Gloucester, Massachusetts, and operates worldwide. Varian Semiconductor maintains a web site at www.vsea.com. The information contained in the company's web site is not incorporated by reference into this release, and the web site address is included in this release as an inactive textual reference only.

Note: This press release contains forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. For this purpose, the statements concerning the company's expectations regarding the customer discussed in this release, market share and technology leadership, technological capabilities and benefits are forward-looking statements and any statements using the terms "believes," "anticipates," "expects," "plans," or similar expressions are forward-looking statements. There are a number of important risks and factors that could cause actual events to differ materially from those suggested or indicated by such forward-looking statements. These include, among others, volatility in the semiconductor equipment industry; economic conditions in general and as they affect the company's customers; significant fluctuations in the company's quarterly operating results; the impact of rapid technological change; the company's dependence on the development and introduction of new products; the company's concentration on ion implantation systems and related products; concentration in the company's customer base and lengthy sales cycles; the highly competitive market in which the company competes; risks of international sales; foreign currency risks; and general economic conditions; and other factors identified in the company's Annual Report on Form 10-K, and the most recent Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission. The company cannot guarantee any future results, levels of activity, performance or achievement. The company undertakes no obligation to update any of the forward-looking statements after the date of this press release.