ASML to acquire Brion Technologies Inc.
19 December 2006
Safe Harbor
“Safe Harbor” Statement under the U.S. Private Securities Litigation Reform Act of 1995:
This document contains forward-looking statements that involve risks and uncertainties
concerning ASML's proposed acquisition of Brion Technologies, Inc., ASML's strategic and
operational plans, anticipated customer benefits, and the future performance of ASML.
Such statements are based on estimates, intentions, beliefs and assumptions. Actual
events or results may differ materially from those described in this press release due to a
number of risks and uncertainties. The potential risks and uncertainties include, among
others, the possibility that the transaction will not close or that the closing may be delayed;
the reaction of customers of ASML and Brion Technologies to the transaction; and ASML's
ability to successfully integrate Brion's operations and employees. Additional factors that
could affect future results include economic conditions; product demand and semiconductor
equipment industry capacity; worldwide demand and manufacturing capacity utilization for
semiconductors (the principal product of our customer base); competitive products and
pricing; manufacturing efficiencies; new product development; ability to enforce patents; the
outcome of intellectual property litigation; availability of raw materials and critical
manufacturing equipment; and the prevailing trade environment. More information about
potential factors that could affect ASML's business and financial results is included in
ASML’s Annual Report on Form 20-F filed with the U.S. Securities and Exchange
Commission, available at the SEC's website at www.sec.gov
/ Slide 2
ASML to acquire Brion
Payment of USD 270 million (approx. EUR 203 million) in cash
Notwithstanding the operational results of Brion during 2007,
ASML estimates non-cash acquisition accounting related
charges of approximately EUR 29 million after tax in 2007
ASML also expects Brion to be cash positive in 2007
Acquisition is subject to approval by regulatory authorities
Closing is expected in Q1 2007
After closing, Brion will operate as wholly owned subsidiary of
ASML
It is anticipated that current management and technical staff at
Brion will remain unchanged
/ Slide 3
Profile of Brion
Brion is a venture-backed startup based in Santa Clara,
California
Field operations at multiple locations in USA, Europe, Japan,
Korea, Taiwan, and China
Founded in 2002
More than 120 employees
8 out of top 10 chip makers are Brion customers
Brion is the largest, fastest growing pure-play in computational
lithography
/ Slide 4
Brion’s core competencies and industry experience
Physics-driven computer simulation of optical
systems and image processing, encompassing
applications, software, and hardware capabilities
Lithography-driven design and manufacturing
Current products for computational lithography:
Litho printability verification to reduce reticle and
wafer costs of defective chip layout, which also saves
significant time to market for customers
Mask-Pattern Design Optimization (known as
RET/OPC*) for optimization of chip layouts and reticle
designs to improve chip yield in manufacturing
* RET = Reticle Enhancement Technology
OPC = Optical Proximity Correction
/ Slide 5
Higher wafer yield
Lithography
Inspection &
metrology
Chip design
Mask-Pattern Design
Optimization
Litho verification
In-situ metrology
ASML’s vision for extended lithography
Extended
Lithography
Mask to
manufacturing
optimization
Manufacturing
Manufacturing
feedback and
correction
/ Slide 6
ASML & Brion: Offering a comprehensive product
portfolio for a broader market
Brion
ASML MaskTools’ Reticle
Enhancement Technologies
LithoCruiser: ASML Scanner
& Mask Optimization
Chrome-less
Phase-shift
technology (CPL)
Scattering Bars
placement
technology
Production Litho
Verification
Production
RET/OPC
Process Window
Coverage
Scanner data and settings
Tachyon
Platform
/ Slide 7
ASML and Brion: an unprecedented combination
With semiconductors shrinking further, improved mask-pattern
design optimization and litho printability verification are needed
to maximize chip yield. This requires:
In-depth knowledge of the processes inside leading-edge
lithography equipment
Control of scanner settings to optimize the scanner for specific
chip designs
Lithography equipment manufacturers can add their expertise
of the scanner to adjust the lithographic processes to specific
customer applications
ASML and Brion will leverage each other’s know-how to bring
lithography to a higher level
ASML and Brion will continue to support their current product
offerings
/ Slide 8
Value to ASML customers
Improved semiconductor manufacturability through:
Mask-pattern design optimization, specifically for manufacturing
Tuning of the lithography system for specific applications
In-situ metrology feedback to provide reality-check and to help
calibrate mask-pattern optimization, verification, and lithography
manufacturing processes
Leading to
More first-time-right reticle optimization:
Reduced costs associated with faulty mask manufacturing cycles
Faster time-to-market
Better printability-optimized reticles:
Higher chip yield opportunity at the most advanced nodes
Faster production ramp of new semiconductor designs
/ Slide 9
Value to ASML shareholders
Products that enhance chip-makers’ ability to deploy low-k1
manufacturing processes, like reticle enhancement, litho
verification, and scanner-tuning, are a fast-growing market
opportunity
Playing a direct role in that market will give us access to new
revenue streams
Current and new products that ASML and Brion create
together will further accelerate the migration of new chip
designs to the most advanced technology nodes…
…accelerating market demand for our leading-edge scanners
Integrated litho manufacturing with computational
lithography and in-situ metrology will differentiate ASML
systems even more in a strong growing market
/ Slide 10
Summary
Brion and ASML are complementary partners
Brion and ASML are leaders in their respective fields
The merger will create significant customer value,
leading to business growth, while staying close to core
competencies
/ Slide 11
Commitment
