ASM International 6 months operating results teleconference call

Almere, NETHERLANDS



ASMI 6 months 2000 operating results - financial highlights



6 months revenues surpassed full year1999




Revenues 420.9 Million Euros
Net Earnings 39.3 Million Euros
Net Per (Diluted) Share 0.83 Euro
Earnings From Operations 82.2 Million Euros +200% Vs. FY99
Record Backlog At End June 336.4 Million Euros
New Orders Totaled 573.6 Million Euros
2Q REVENUES UP +250%, VS. 2Q99


2Q Record Net Sales 255.4 million euros
2Q Net earnings 27.0 million
Net per (diluted) share 0.54 euro
2Q Net Sales 5th Consecutive Increase, 4th Quarterly Record
2Q Earnings from Operations 53.7 million euros up nearly 400%
Successful completion of secondary share offering of 4,250,000 shares; net proceeds 120 million euros enabled repayment of short-term debt

ASMI Outlook:


"We are ready to benefit from the tremendous opportunities that are ahead of us in the coming quarters and the coming two-three years. We are ready for the long-term future and many challenges in this industry."
- Arthur del Prado

3Q200 Net sales expected to exceed 2Q00
ASM has positioned itself for long-term participation in the most important trends in the industry:
300mm
Copper
Further linewidth shrinkages in wafer processing
Silicon Germanium Epi
Further integration in assembly and packaging
Participation in Front-End and Back-end ideally positions ASMI to help our customers solve and integrate processing solutions
Expansion in ASMI's global customer base to include most of top ten semiconductor makers promises more stable long-term outlook
ASMI's increase of strategic investments in ASMPT, from 50 to 55% offers greater participation in its highly promising earnings growth

ASMI front-end operations: highlights


"We see little evidence that the capital equipment market growth will slow down any time soon. Our current forecast is for the global front-end capital equipment market to grow 50 percent this year and 40 percent next year."
- Daniel Queyssac

Front-End 2QNet Sales 95.2 million euros up 325%
Front End sales projected to grow 70% for 2000
New Product Introductions:
PULSAR 4000 ALCVD introduced at SEMICON EUROPA
LEVITOR, revolutionary RTP announced at SEMICON WEST

Our new front-end products increase ASMI's Served Available Market (SAM) offering single-wafer solutions for developing technologies. Our patented designs offer Unique Production Solutions unmatched in the industry.

Front-end product/highlights:


PECVD line:
EAGLE-10 and Rapid Fire benefiting from Japanese Market Recovery
Increased interest in low-k Aurora film for copper metalization
Shipment of 300mm equipment begun


ADVANCE 412 300mm Furnace
Volume shipments in US with Europe soon to follow
Installed in all current 300mm pilot lines
ASMI target: 30% market share
Key market advantage: "bridge" tool between 200mm and 300mm


Epsilon epitaxial reactors


SALES up +200% in 6MO 2000 based on success in Silicon Germanium
Improved visibility with current sales trend continuing through 1Q01
Reopened ASM's US manufacturing facilities due to Epsilon demand

Polygon


New cluster tool configured for ALCVD
In demo at 11 of the top 12 semiconductor manufactures


ASM Pacific Technology/Back-End Operatins: Highlights


"By all financial benchmarks, ASMPT is by far the best performing back-end company in the world today. " - Arthur del Prado
"We look forward to the future with confidence." - Patrick Lam

Record sales US$249 million up 61% vs. 6M99 up 2.4% vs. FY99
Net profit US$61.7 million up+200% vs. 6M99
Assembly Equipment Revenue US$211 million up 11% vs. FY99
Record Backlog at June 30 over US$ 180 million
Penetration with AMKOR GROUP and other top ten semiconductor manufacturers
Business with ST Microelectronics continues to grow
Malaysia, Taiwan, Philippines, Korea Thailand 5 largest geographical markets
Increased capacity at China factory to 600,000 sq. ft.

Back-End Product/Highlights:



Next Generation Products in the Market:
AB339 Eagle Gold Wire Bonder
Demonstrated 35 microns linear pad pitch bonding
Customers registered 20% to 30% productivity gain
Improved bond quality
Enhanced impact force and loop
profile control capabilities
Preparations underway for volume production with delivery commencing 4Q00
IDEALmold
Shipments commenced first half
Superior performance and low cost of ownership enhanced market position and won new customers

QFN packaging solutions to offer integrated assembly lines for QFN and solder ball packages

Expanding Product Portfolio:
ASMPT commitments to broadening our Product Portfolio include:
Inline strip testing
Solder ball placement
CSP singulation system
Epoxy dispensing machine
Flip chip bonder

About ASM


ASM International is headquartered in Bilthoven, the Netherlands. ASM International's subsidiaries design, develop, manufacture and market equipment and materials used to produce semiconductor devices. ASM International and its subsidiaries provide production solutions for the wafer-processing, assembly and packaging segments through their facilities in the United States, Europe, Japan and Asia. ASM International's common shares trade on the NASDAQ National Market under the symbol “ASMI” and on the Euronext Stock Exchange in Amsterdam under the symbol “ASM.” More information on ASM can be found on its website at http://www.asm.com

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Safe Harbor Statement under the U.S. Private Securities Litigation Reform Act of 1995: The statements regarding orders, earnings development and the effects of research and new products on ASM’s future, and other matters discussed in this statement, except for any historical data, are forward-looking statements. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. These include, but are not limited to, economic conditions in the semiconductor industry, currency fluctuations, the timing of significant orders, market acceptance of new products, competitive factors, risk factors related to litigation and other risks indicated in filings from time to time with the SEC and Stock Exchange Authorities.