Exhibit 99.1

                             Financial Update by CFO

                                  June 19, 2003

As is usual for the third month of a quarter, we currently have quite a few
systems in various stages of installation and test at customer sites. Depending
on the amount of time it takes to complete these efforts, acceptance and revenue
could occur either this quarter or next, meaning the immediate visibility is a
bit murky. However, the most likely expectations we have at this time are that
the results for the current quarter will still tend to reinforce the comments
made in the 1Q03 earnings release teleconference call and last month's CFO
update. We continue to anticipate revenue for 2Q03 to be up by about 5%-10%
sequentially from 1Q03. Gross margin still looks to come in at about our near
term model of 40%, given the expected product mix for the quarter. Operating
expenses for 2Q03 look to be up about 10%-15%, on an absolute dollar basis, from
1Q03, primarily due to greater R&D spending to meet the increased laser thermal
processing commitment. We also still anticipate booking a very nominal (less
than $100k) income tax provision in 2Q03, because of overseas jurisdictional
effects. Cash flow expectation continues to improve to where we now anticipate
it to be neutral to slightly positive.

For the full year of 2003, the comments made in the 1Q03 earnings release
teleconference call and last month's CFO update also appear to remain generally
valid. Visibility into the second half of the year has improved to where annual
revenue growth could achieve greater than 30%-35% compared with 2002. Operating
expenses continue to look to be favorable and down about 5%-10% for the year, on
an absolute dollar basis, compared to 2002, excluding that year's special
charges. The projected tax impact for the year still looks to reflect
jurisdictional effects, as the projected revenue from Japan grows. Our estimated
tax rate for the year remains about 15%. We continue to anticipate that cash
flow should be positive for the year. Our goal for 2003 remains to outperform
our near-term financial model, which calls for gross margin of 40% and breakeven
operating margin. Our long-term financial model has gross margin of 50% or
greater and operating margin of 15% or greater, which we hope to achieve in
2004.


Safe Harbor Statement
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Certain of the statements contained herein may be considered forward-looking
statements under Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended, that involve
risks and uncertainties, such as the cyclicality in the nanotechnology and
semiconductor industries, delays, deferrals and cancellations of orders by
customers, pricing pressures, competition, lengthy sales cycles for the
company's systems, ability to volume produce systems and meet customer
requirements, the mix of products sold, dependence on new product introductions
and commercial success of any new products, integration and development of the
laser thermal processing operation, sole or limited sources of supply,
international sales, customer concentration, manufacturing inefficiencies and
absorption levels, risks associated with introducing new technologies, inventory
obsolescence, economic and political conditions in Asia, delays in collecting
accounts receivable, extended payment terms, changes in technologies, the
outbreak of Severe Acute Respiratory Syndrome (SARS) and any adverse effects of
terrorist attacks or military actions in the United States or elsewhere on the
economy in general or our business in particular. Such risks and uncertainties
are described in the company's SEC reports including the company's Annual Report
on Form 10-K filed for the year ended December 31, 2002 and its Quarterly Report
on Form 10-Q filed for the quarter ended March 30, 2003.