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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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MIC-Info: RSA-MD5,RSA,
 CRC0yFOMmxeqakwlCLxkqEcjUvuWmwja20lfxljJt5kpwu8KlnEkSvRXHJFbgVW1
 cFitoHDDtsOqJcuhFZJZLg==

<SEC-DOCUMENT>0001181431-06-069531.txt : 20061213
<SEC-HEADER>0001181431-06-069531.hdr.sgml : 20061213
<ACCEPTANCE-DATETIME>20061213190542
ACCESSION NUMBER:		0001181431-06-069531
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20061211
FILED AS OF DATE:		20061213
DATE AS OF CHANGE:		20061213

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			CREDENCE SYSTEMS CORP
		CENTRAL INDEX KEY:			0000893162
		STANDARD INDUSTRIAL CLASSIFICATION:	INSTRUMENTS FOR MEAS & TESTING OF ELECTRICITY & ELEC SIGNALS [3825]
		IRS NUMBER:				942878499
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1031

	BUSINESS ADDRESS:	
		STREET 1:		215 FOURIER AVE
		CITY:			FREMONT
		STATE:			CA
		ZIP:			94539
		BUSINESS PHONE:		5106577400

	MAIL ADDRESS:	
		STREET 1:		215 FOURIER AVE
		CITY:			FREMONT
		STATE:			CA
		ZIP:			94539

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			HOUSE DAVID L
		CENTRAL INDEX KEY:			0001281443

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-22366
		FILM NUMBER:		061275349

	BUSINESS ADDRESS:	
		BUSINESS PHONE:		4083335019

	MAIL ADDRESS:	
		STREET 1:		13340 OLD OAK WAY
		CITY:			SARATOGA
		STATE:			CA
		ZIP:			95070
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>rrd139444.xml
<DESCRIPTION>HOUSE DECEMBER FORM 4
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2006-12-11</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0000893162</issuerCik>
        <issuerName>CREDENCE SYSTEMS CORP</issuerName>
        <issuerTradingSymbol>CMOS</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001281443</rptOwnerCik>
            <rptOwnerName>HOUSE DAVID L</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>C/O CREDENCE SYSTEMS CORPORATION</rptOwnerStreet1>
            <rptOwnerStreet2>1421 CALIFORNIA CIRCLE</rptOwnerStreet2>
            <rptOwnerCity>MILPITAS</rptOwnerCity>
            <rptOwnerState>CA</rptOwnerState>
            <rptOwnerZipCode>95035</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>1</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
        </reportingOwnerRelationship>
    </reportingOwner>

    <derivativeTable>
        <derivativeTransaction>
            <securityTitle>
                <value>Stock Option Right to Buy</value>
            </securityTitle>
            <conversionOrExercisePrice>
                <value>5.33</value>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2006-12-11</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>A</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>100000</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>0</value>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <exerciseDate>
                <footnoteId id="F1"/>
            </exerciseDate>
            <expirationDate>
                <value>2013-12-11</value>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>Common Stock</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>100000</value>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>219500</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </derivativeTransaction>
    </derivativeTable>

    <footnotes>
        <footnote id="F1">Stock options granted from 2005 Stock Incentive Plan.  The options vest, subject to continuous service as Chairman of the Board of Directors, at the rate of twelve and one-half percent (12.5%) six (6) months from the date of grant with the remaining shares vesting in fourteen (14) equal and successive quarterly installments upon the optionee's completion of each additional three (3) month period of service thereafter.  The option expires seven (7) years from date of grant.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>Byron Milstead for David House</signatureName>
        <signatureDate>2006-12-13</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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