FEI Company Terminates Discussions With Carl Zeiss SMT

Feb 07, 2006, 00:00 ET from FEI Company

    HILLSBORO, Ore., Feb. 7 /PRNewswire-FirstCall/ -- FEI Company
 (Nasdaq:   FEIC) announced today that it has terminated discussions with Carl
 Zeiss SMT, a unit of Carl Zeiss AG regarding the potential acquisition of FEI
 by Carl Zeiss SMT.  The discussions were initiated by Carl Zeiss.
     Commenting on this announcement, Vahe Sarkissian, chairman, president and
 CEO of FEI stated, "We are renewing our focus on generating improved operating
 results in 2006, building on our market focus and restructuring activities of
 2005.  Our potential as a leader in tools for nanotechnology is very large,
 and we are concentrating on taking advantage of that potential, generating
 positive shareholder returns in the process."
     About FEI
     FEI's Tools for Nanotech(TM), featuring focused ion- and electron-beam
 technologies, deliver 3D characterization, analysis and modification
 capabilities with resolution down to the sub-Angstrom level. With R&D centers
 in North America and Europe and sales and service operations in more than 50
 countries around the world, FEI is bringing the nanoscale within the grasp of
 leading researchers and manufacturers and helping to turn some of the biggest
 ideas of this century into reality. More information can be found on the FEI
 website at:  http://www.feicompany.com .
     Safe Harbor Statement
     This news release contains forward-looking statements relating to certain
 discussions between FEI and Carl Zeiss and the company's current focus.
 Factors that could affect these forward-looking statements include, but are
 not limited to, changes in FEI's strategic direction, market developments and
 opportunities, the competitive landscape, product and technological
 developments and general economic conditions. Please also refer to the
 company's Form 10-K, Forms 10-Q, Forms 8-K and other filings with the U.S.
 Securities and Exchange Commission for additional information on these factors
 and other factors that could cause actual results to differ materially from
 the forward-looking statements. FEI assumes no duty to update any forward-
 looking statements.