Amtech Systems Enters R&D Agreement for Solar Process Improvement with the Energy Research Centre of the Netherlands

Business Wire, July 5, 2006

TEMPE, Ariz. -- Amtech Systems, Inc. (Nasdaq:ASYS), global supplier of production and automation systems and related supplies for the Semiconductor, Solar Cell, Silicon Wafer and MEMS (microelectromechanical system) industries, today announced that the Company has entered into a research agreement with the Energy Research Centre of the Netherlands ("ECN"). There are three objectives of the agreement: (1) To explore processes that may make it practical to use N-type wafers in the production of solar cells, thereby significantly increasing the total amount of usable silicon available to the solar industry. Currently, the solar cell industry predominately uses P-type silicon wafers and generally does not utilize N-type wafers. (2) To evaluate the Company's existing phosphorous doping process and develop new phosphorous doping processes for solar cells with a high-ohmic emitter, thereby improving the efficiency of the resulting solar cells. (3) To explore additional processes that may further improve efficiency of solar cells produced with P-type wafers.

The Company will provide a Tempress Systems(TM) diffusion furnace for use during the term of the agreement. The Company will receive a non-exclusive license to use, manufacture and sell any products, using process improvements developed by ECN. The Company will pay ECN a royalty on sales of any products incorporating ECN process improvements. ECN will use its solar cell production facilities to produce finished solar cells using Amtech and ECN developed processes and test those cells for any improvement in energy-converting efficiency.

J.S. Whang, President and Chief Executive Officer of Amtech Systems, Inc. said, "It is our goal to expand our share of the rapidly growing solar cell market. One approach we are taking toward expanding our share of that market is to improve the value of the products we sell. As a result, I am very excited to be teaming up with one of the world's premiere solar cell research centers to improve and expand the number of processes we can deliver to the solar cell industry along with our diffusion furnaces. Separately, I am pleased to announce that we have a patent pending on a pressure-controlled phosphorous doping process we have developed, which improves the uniformity of the phosphorous layer used in the production of both solar cells and semiconductors."

The Energy research Centre of the Netherlands ("ECN") is the largest research center in the field of energy in the Netherlands. ECN's technology is used in the production of solar cells, as well as other alternative energy sources. ECN takes the results of basic research conducted at universities and develops practical application of that knowledge and technology. ECN is located near Petten, the Netherlands, and employs approximately 900 people. The ECN website is www.ecn.nl.

This press release contains forward-looking statements that involve substantial risks and uncertainties. Typically, these statements contain words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will" and "would" or similar words. You should read statements that contain these words carefully because they discuss our future expectations, contain projections of our future results of operations or of our financial position or state other "forward-looking" information. There may be events in the future that we are not able to predict or control. Such risks and uncertainties include changes in the technologies used by our customers, change and volatility in the demand for diffusion equipment, the effect of changing worldwide political and economic conditions on capital expenditures, production levels, including those in Europe and Asia, the effect of overall market conditions and market acceptance risks. Other risks include those associated with dependence on suppliers, the impact of competitive products and pricing, technological and product development risks (including the risks inherent in launching new products, such as our vertical furnace) and other risk factors. As a result, our operating results may fluctuate, especially when measured on a quarterly basis. The forward-looking statements included in this release are made only as of the date of this release and we undertake no obligation to update the forward-looking statements to reflect subsequent events or circumstances. For further information, refer to our Securities and Exchange Commission filings, including our Forms 10-K and Forms 10-Q.