News | May 9, 2001

3D Systems and Align Technology Conclude Agreement for Purchase of Up to 39 High-End Machines

Source: 3D Systems, Inc.

3D Systems Corp. and Align Technology Inc., the inventor of the Invisalign® System, a proprietary method of straightening teeth without unsightly wires and brackets, today announced they have signed a two-year contract for as many as 39 SLA® 7000 systems, 3D Systems' top-of-the-line solid imaging machine.

The contract includes a long-term commitment to deliver consumable resin materials for the systems, as well as machine maintenance.

"The volume-purchase agreement with Align Technology is a significant step in our development of custom niche applications for solid imaging technology," said Grant Flaharty, senior vice president of worldwide sales and marketing for 3D Systems. "We've worked closely with Align to develop and implement customized solutions for their manufacturing needs, and we're very pleased that our relationship has continued to grow."

Align's first volume-purchase agreement with 3D Systems for 10 SLA 7000 systems was fulfilled last year, two months ahead of schedule. 3D Systems has shipped five of the 39 systems under the current agreement.

Flaharty said, "Align Technology is establishing itself as a leader in mass customization in the medical device market segment, more specifically, orthodontic applications. Our stereolithography systems enable a quick and highly automated means of converting a digital representation of a patient's teeth to a series of appliances that are unique to each patient and each stage of straightening."

"Our agreement with 3D Systems assures very competitive volume pricing on a critical piece of equipment related to our manufacturing process. The co-development and evolution of the technology involved with the SLA systems is essential to meet our unique requirements for mass customization," said Zia Chishti, chief executive officer of Align Technology.

The agreement also calls for enhancements to the SLA systems' digital signal processing (DSP) component; a process variability study to optimize part throughput and quality; a custom maintenance program; and an overall system optimization plan.

According to Flaharty, "In less than two years, we have worked together with Align to reduce the price-per-part costs. We continue to find more ways to bring the technology to its full potential in Align's manufacturing process.

"To meet Align's particular needs, we made several adjustments to the SLA 7000 systems, including reducing the profile to allow for more systems to fit in a given location, altering the material vat depth, and customizing system software," he said.

About 3D Systems

3D Systems provides solid imaging products and services that substantially reduce the time and cost required to design, test and manufacture products. The company's systems utilize patented technologies that create physical objects from digital input.

3D Systems currently offers the ThermoJet® office printer and SLA® industrial systems, which include proprietary software and materials. The company also licenses the 3D Keltool® process, a complementary application that produces injection molding and die casting inserts from SLA system master patterns. In February 2001, 3D Systems announced it acquired OptoForm, a French company that developed stereolithography systems that use paste materials. In April 2001, the company announced the signing of a definitive merger agreement to purchase DTM Corporation, contingent on, among other conditions, obtaining adequate financing to complete the acquisition.

About Align Technology Inc.

Align Technology, with headquarters in Santa Clara, Calif., designs, manufactures and markets the Invisalign System, a proprietary new method for treating malocclusion, or the misalignment of teeth. The Invisalign System corrects malocclusion using a series of clear, nearly invisible, removable appliances that gently move teeth to a desired final position.

Because it does not rely on the use of metal or ceramic brackets and wires, the Invisalign System significantly reduces the aesthetic and other limitations associated with braces. Invisalign is appropriate for treating adults and older teens. Align Technology was founded in March 1997 and received FDA clearance to market the Invisalign System in 1998.

Note to editors: ThermoJet, SLA, Keltool and the 3D logo are registered trademarks of 3D Systems. Invisalign is a registered trademark of Align Technology.

Certain statements in this news release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance and achievement of 3D Systems to be materially different from any future results, performance or achievement expressed or implied by those forward-looking statements. Factors that may cause actual results to differ from the forward-looking statements contained in this release and that may affect the company's prospects in general include, but are not limited to: changes in general and industry-wide economic and business conditions, the availability of capital on acceptable terms, the availability of financing, actions of competitors and customers, the impact of competitive products and pricing, the availability and acceptance of 3D Systems' products generally, the extent to which 3D Systems is able to develop new products and markets for its products, and other factors as described in 3D Systems' filings with the Securities and Exchange Commission, including its annual report on form 10-K for the year ended Dec. 31, 2000, and current report on form 8-K filed on April 10, 2001.

3D Systems, Inc., 26081 Avenue Hall, Valencia, CA 91355. Tel: 661-295-5600; Fax: 661-294-8406.