!!! Press Release !!!

AIXTRON 2002 final results:
A successful fiscal year in a challenging trading environment
Difficult 1^st quarter 2003 anticipated
Dividend proposal of EUR 0.08

Aachen, March 13, 2003 - AIXTRON, the global market and technology leader for MOCVD equipment, the enabling technology to manufacture compound semiconductors and other multicomponent materials, reports 2002 year-end-results today.
Consolidated revenues amounted to EUR 150.7m (2001: EUR 240.1m), of which 59% were achieved in Asia, 30% in North America and 11% in Europe. EBIT reached EUR 21.1m (2001: EUR 54.2m), earnings before tax EUR 23.2m (2001: EUR 57.7m) and net income EUR 15.3m (2001: EUR 33.6m). Earnings per share were EUR 0.24 (2001: EUR 0.52).
The return on sales of 10.1% (2001: 14.0%) impressively underscores the quality of the company's earnings and profitability, which has been delivered through a contribution of our flexible cost structure and disciplined cost management.
On the balance sheet, AIXTRON reports a high level of cash of EUR 62.3m, which provides the flexibility and financial stability required to implement their strategic goals.
AIXTRON continues to carry no debt and has an equity ratio of 79%. The Executive Board and Supervisory Board intend to maintain the existing dividend policy and will recommend to the AGM on May 8th paying a dividend of EUR 0.08 per share.

Despite the difficult trading environment, AIXTRON has continued to extend their technological leadership and increased their MOCVD equipment market share worldwide to over 60% (2001: 58%). This significant achievement is set against a backdrop of increasing uncertainties about the stability of the world economy compounded by a dramatic drop in the value of the US$ against the EUR during 2002.
Consequently, our customers have become substantially more cautious in their investment decisions. Incoming orders in 2002 totaled EUR 94.1m (2001: 163.4m), and order backlog at the end of the year amounted to EUR 85.0m (2001: 133.0m).
As a consequence, the AIXTRON Executive Board is predicting 2003 revenues of EUR 110m and net income of EUR 0.8m.
The company also gave a first quarter 2003 revenue guidance of EUR 18m with a consequent loss of EURO 2.7m for the quarter, expecting to return to profitability later in the year, due to proportionately higher revenues and the cost cutting measures benefits in the latter periods in the year.

Paul Hyland, President & CEO said: "We are pleased to report another profitable business performance for AIXTRON in fiscal year 2002. The LED market, which is the largest end-user market application for our technology, has continued to grow, even in this difficult trading environment, however it is clear that a general return to previously seen growth rates will strongly depend on a recovery of the global economic environment and a return in investment confidence that goes with that upswing. Industry experts continue to express very positive opinions on the medium to long-term growth prospects for the electronics and photonics sectors, core areas of application for our technology.
The focus for AIXTRON during 2003 will be on continuing to manage our operating cost base to a level that enables us to focus on Customer Service and New Product Development whilst still remaining profitable.
AIXTRON's pre-eminence in the field of Gas Phase Deposition has enabled the successful development of new technology platforms such as the Tricent^® tool for key materials of next-generation IT Chips and OVPD for advanced OLED display technology, supporting the confidence that we can continue to generate further growth in these new, much larger markets, in addition to our existing business sectors.
These are extremely challenging times for all technology companies and AIXTRON has shown itself capable of responding to the changes in our markets and remain profitable. For the AIXTRON management team, that remains the key objective for 2003 and beyond."

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© AIXTRON AG, March 7, 2003

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