EXHIBIT 20.1

                     [LETTERHEAD OF HELISYS APPEARS HERE]

                 Helisys Board Appoints Gary S. Moskovitz CEO

     TORRANCE, Calif.--July 20, 1998--Helisys, Inc. (OTC BB:HELI) today 
announced that its board has appointed Gary S. Moskovitz as chief executive 
officer, succeeding Company founder Michael Feygin, who continues as chairman 
and chief technology officer.

     Mr. Moskovitz, 50, joined the Company as president and chief operating 
officer in March, 1998 and has been responsible for day-to-day operations as 
well as overseeing Helisys' senior management team since that time.

     Mr. Feygin said, "This appointment confirms our initial decision to bring 
Gary into Helisys. Since his arrival, he has initiated significant changes which
we believe will contribute to the long-term success of the Company. As the
founder of Helisys, I look forward to continuing my partnership with Gary and
will devote my time to providing strategic technological guidance for our
products."

     Mr. Moskovitz said, "I appreciate the confidence that the board has shown 
in my contributions to date. Together, Michael Feygin and I will provide Helisys
with the caliber of leadership and direction needed to better serve our 
customers, with the goal of building long-term value for our shareholders."

     Helisys develops and manufactures systems for creating physical models, 
industrial patterns, and product prototypes directly from three-dimensional 
computer-generated designs using its proprietary technology, Laminated Object 
Manufacturing (LOM). Helisys' LOM systems are instrumental in bringing products 
to market faster for such customers as automakers, and manufacturers of toys, 
appliances, sporting goods, shoes, electronic hardware, medical devices, 
aerospace components, and other products. Helisys' systems also are used in 
university research environments and supercomputer centers.

Forward Looking Statement:

     The statements in this news release contain forward-looking information 
relating to the Company's future performance. Actual events and performance may 
differ materially from the Company's expectations. The Company hereby makes 
reference to the documents that the Company files with the Securities and 
Exchange Commission, including its Form 10-KSB for fiscal year ended July 31, 
1997; 10-QSB for the periods ended January 31, 1997, April 30, 1997, October 31,
1997, January 31, 1998, and April 30, 1998, respectively; and Registration 
Statement on Form SB-2, as declared effective by the Securities and Exchange 
Commission on March 7, 1996, including, without limitation, the information 
contained in the section to the 

 
Registration Statement entitled "Risk Factors."  These documents identify 
important factors that could cause the Company's actual performance to differ 
from the Company's expectations and the forward-looking statements contained in 
this news release.  These factors include, but are not limited to: quarterly 
fluctuations in operating results due to changes in the Company's sales and 
customer mix, the ability of the Company to raise additional finances, delays in
shipping new systems, the introduction of new products and product enhancements
by Helisys or its competitors, pricing pressures, increases in expenditures 
relating to pursuing the Company's business strategies, general economic 
conditions and other factors; emerging nature of the rapid prototyping industry;
reliance by Helisys on a single product line; continued reliability of the 
Company's products; and dependence by the Company on its proprietary technology.

     --30--

     CONTACT: Helisys, Inc., Torrance
              Dave Okazaki, 310/891-0600
                   or
              Sitrick And Company
              Jeff Lloyd, 310/788-2850