Xerox Opens World's Largest Showcase of Digital Production Printing Technology; Launches Faster iGen3 Color Press, Enhanced Xerox Nuvera Systems.

ROCHESTER, N.Y. -- Multimillion-Dollar Center Gives Customers Access to Latest Products, Solutions, Support

The world's largest permanent showcase of digital products for the graphic communications and production printing markets opened today in Rochester -- a state-of-the-art facility designed by Xerox Corporation (NYSE: XRX) to help customers interact with today's digital technologies and imagine the innovative printing possibilities emerging for tomorrow.

The company also announced a faster version of its flagship Xerox iGen3(R) Digital Production Press and an enhanced Xerox Nuvera(TM) black-and-white printer line with new capabilities for check and statement printing.

The new products will be among more than 20 digital systems and software solutions featured in the Gil Hatch Center for Customer Innovation, a multimillion-dollar, 100,000-square-foot facility located in the heart of Xerox's research and manufacturing complex in Webster, N.Y. The center -- the size of about three football fields -- is designed to give current and prospective commercial printers and corporate customers integrated, one-stop access to Xerox's entire portfolio of digital production printing equipment and solutions.

"These are the kinds of offerings that are transforming the world of print," said Quincy Allen, president, Xerox Production Systems Group. "This center enhances the total customer experience and demonstrates real-world ways to increase profits and boost productivity and revenue by improving the entire printing process. At the same time, we're reinforcing Xerox's commitment to building on our world-class manufacturing and research facilities and being a vital part of the Rochester community."

The center represents the vision of Gil Hatch, the former president of Xerox's Production Systems Group who passed away last summer. Hatch was a noted customer champion who believed that "everything we do begins and ends with the customer." He was a leader in the graphic communications field and helped propel Xerox to the forefront of the digital printing industry.

Xerox expects to host several thousand customers a year from around the world at the new center, including commercial, quick, and in-plant printers; professionals from service bureaus; and digital book publishers.

"Xerox goes beyond just selling us the technology," said Janice Van Dyke, chief executive officer of Darwill, a commercial printer in Hillside, Ill., who spoke at the center's opening. "They are truly interested in solving our business problems and making sure we are optimizing our investment in technology and value-added services."

Noted industry analyst Andy Tribute, president of Attributes Associates, pointed to the new product launches and customer center as examples of the increasing market momentum behind Xerox's graphic communications strategy. "While others attempt to replicate the success of Xerox's business model, technology and workflow, the company continues to leapfrog the competition with advancements like the Xerox iGen3 110 and a new customer center that is the most comprehensive of its kind."

In conjunction with the customer center opening, Xerox launched two additions to its industry-leading digital color and monochrome printing technology. The Xerox iGen3 110 Digital Production Press, built on the award-winning technology of the Xerox iGen3, provides 10 percent to 20 percent faster document production and offers several new features that maximize flexibility and productivity of the color press. It prints 110 pages-per-minute for standard 8.5''x11'' jobs and up to 120 ppm for smaller sheet sizes.

The Xerox Nuvera 100/120 MX Digital Production Systems include MICR (Magnetic Ink Character Recognition) capabilities, combining the ability to produce checks and financial statements with the "near-offset" image quality of the Xerox Nuvera printer platform. The new printers broaden Xerox's monochrome line and address the unique needs of service bureaus, corporate data centers, and companies in the financial services and insurance industries.

Among the digital production products and workflow tools housed in the Gil Hatch Center for Customer Innovation are the Xerox iGen3 and DocuColor(R) family of digital color products, black-and-white printing systems such as the Xerox Nuvera Production and Copier/Printer line, and wide-format and continuous-feed printers. Also featured in the center: The latest Xerox FreeFlow(TM) workflow offerings, which are software tools and hardware that help print professionals easily manage a print job from its creation to printing to final invoicing; finishing solutions from Xerox and its partners that help create bound books, stapled brochures and other "complete" documents; and forward-looking technologies from Xerox's global research labs.

More than 60 employees will work at the center, which includes an iGen3 press customer-training lab, a paper feeding and finishing lab, multimedia theater and meeting rooms. Customers invited to the center can also see their own applications printed on the Xerox digital equipment in the facility.

For example, a customer considering adding digital print technologies to their business could bring in a job for a short-run color brochure, catalog or booklet, prepare it with FreeFlow Makeready software, print it on a Xerox DocuColor 8000 press or iGen3 press, and finish the booklets in-line.

In addition to the Gil Hatch Center for Customer Innovation, Xerox will continue to operate existing customer centers in Atlanta; Chicago; Dallas; El Segundo, Calif.; New York; Washington, D.C.; and Toronto.

These centers serve as regional locations where customers can receive executive briefings, see live production and office product demonstrations, work with Xerox consultants and test print applications.

Customer Contacts:

For more information, visit www.xerox.com or call 800-ASK-XEROX.

NOTE TO EDITORS: For more information about Xerox and for photography, visit www.xerox.com/news. XEROX(R), iGen3(R), Xerox Nuvera(TM) and FreeFlow(TM) are trademarks of XEROX CORPORATION.