Press Release

• Sales 2007: € 229.5 million, EBIT: € 1.1 million
• Gross margin 2007 significantly improved
• Positive trend in orders for Blu-ray
• First dual layer Blu-ray machine delivered
• High order intake for STANGL solar equipment

Kahl am Main, March 28, 2008 – The SINGULUS TECHNOLOGIES Group (SINGULUS) met its own forecast for the business year 2007. Adjusted for ETA Optik and BESS, which were deconsolidated in the meantime, sales amounted to € 229.5 million (previous year: € 283.1 million). The operating result (EBIT) came to € 1.1 million in the year under review (previous year: € 4.0 million).

The gross profit margin rose significantly in the business year 2007. The increase to 29.3 % (previous year: 25.2 %) was mainly due to the high share of sales in strong-margin activities in the segments Semiconductor and Solar. “This high gross margin proves that we enter the year 2008 strengthened and that we expect good margins for the future in particular due to the order intake in the Solar division as well as the orders for Blu-ray machines", comments Stefan A. Baustert, CEO.

The order intake for the full-year 2007 totaled € 203.8 million (previous year: € 319.0 million) and was below previous year’s level in the 4th quarter 2007 at € 36.2 million (previous year: € 46.0 million). The decrease in the order intake was impacted by the format dispute between Blu-ray and HD DVD as well as weakness in CD and DVD machines. The order backlog amounted to € 55.8 million as of December 31, 2007 (previous year: € 81.5 million).

Expectations 2008: start of Blu-ray machine investments

“Hollywood� has decided – Toshiba will stop the HD DVD format! Warner Bros.’ decision to change over to the Blu-ray camp announced during the CES Fair 2008 in Las Vegas had a massive impact on the sector. In the end, Warner’s decision prompted Toshiba to give up the HD DVD format. With this decision the Blu-ray standard supported by Sony and Panasonic will prevail as the successor of the DVD.

Since the decisions in favor of Blu-ray have become public, the project activities in the segment Blu-ray disc have picked up markedly. At the end of February 2008 SINGULUS presented the new Dual Layer Blu‑ray disc production machine BLULINE II to nearly 300 guests from all over the world during the company’s internal fair at its main site in Kahl am Main. In the meantime the first machines have been ordered.

STANGL and SINGULUS – a strong team in solar technology

STANGL and SINGULUS will consistently expand the solar activities. The subsidiary STANGL confirmed its forecast for 2008 as well. The sustained uptrend of the solar market is reflected by a high level of order intake at STANGL received in the 1st quarter of 2008.

Both companies perfectly complement each other in order to be able to offer a broad product range of machines and equipment for the photovoltaics industry in the next couple of years. While STANGL is focused on wet-chemical processes, SINGULUS’ core competence is physical coating technology.

In March 2008 SINGULUS TECHNOLOGIES partnered up with the most important solar cell producer worldwide for the development of this new machine and won the company as a key customer. Q-Cells will significantly contribute its know-how into the development of this machine. The goal is to further expand the globally leading position for production equipment for crystalline solar cells in the next couple of years.

Optimistic future outlook

The continuous improvement of our cost base will remain the focus of management in the business year 2008 as well.

With the just now emerging Blu-ray business and the successful entry into the solar sector, we have taken a huge step towards our target of providing a solid starting point again for future growth of SINGULUS. The Executive Board is convinced that the two core business areas Optical Disc and Solar are a good combination for the new positioning of the Group.

Singulus Technologies – consolidated key figures IFRS