Sagitta Announces Gatan’s Acquisition of Sagitta’s Centar Product Line Business together with the SMPT Patent and proprietary technology

Kfar-Saba, Israel, 16-JAN-2006

Sagitta Ltd announced today that Gatan, Inc has acquired the assets of the Failure Analysis/Centar product line from Sagitta Ltd and that Gatan plans to increase development and support for the Centar Product line. Sagitta Ltd is the developer of automated polishing systems used in failure analysis and semiconductors process monitoring, as well as process equipment for the fiber optics component manufacturers. However, the fiber optic products are not part of the Gatan, Inc. acquisition.

According to Gatan’s press release , “The Centar product line will be manufactured wholly at Gatan’s Warrendale, Pennsylvania facility. Gatan has been looking to expand its portfolio with additional standalone products that complement our existing SEM and TEM specimen preparation product lines, areas where we are the market leader. We are very excited about the addition of the Centar product line with its proprietary technology since it further enhances our comprehensive product offering, especially for failure analysis in the Semiconductor market," said Tom Connelly, Gatan Chief Executive Officer.

Sagitta’s Chief Executive Officer, Ronen Zexer, further explained, “Although the market has enthusiastically received the Centar product line, especially with the addition of the Centar Frontier for parallel polishing, selling capital equipment to the semiconductor market requires a significant investment in sales and marketing, which is better served by a company like Gatan that already has a broad range of products and an established network of sales channels for such products.” “Recently, we have been looking for a company with a complementing product portfolio to take over the Centar product line and grow it further. I am very pleased that Gatan decided to invest in it and confident that it will be beneficial for our customers, as well as both companies,” said Efrat Raz Moyal, Sagitta VP FA Product line,

Terms of the transaction were not disclosed.

About Sagitta

Sagitta was founded in 1997 and provides advanced, high-productivity manufacturing equipment solutions to the global fiber optics and semiconductor industries. The company is headquartered in Rosh Haayin, Israel. A core holding of patented technologies in precision automation, machine vision and sub micron polishing has led to the introduction of multiple systems into the aforementioned markets. Specific introductions include several integrated automated polishing and inspection systems for high-value fiber optic components. Already a leader in failure analysis equipment for the semiconductor and media fields, Sagitta provides an award-winning suite of sample preparation tools used for cross sectional, SEM or TEM semiconductor inspection. Sagitta is a global company with machines installed in Fortune 500 companies. For more information on Sagitta and our products please visit the company's website at www.sagitta.com, or send your inquiries to info@sagitta.com.

About Gatan

Gatan, Inc. is the world's leading manufacturer of instrumentation and software used to enhance and extend the operation and performance of electron microscopes. Gatan's products, which are fully compatible with all brands of electron microscopes, cover the entire range of the analytical process from specimen preparation and manipulation to imaging and analysis. Our customer base spans the complete spectrum of end users of analytical instrumentation typically found in industrial, governmental and academic laboratories. The applications addressed by these scientists and researchers include metallurgy, semiconductors, electronics, biological science, new materials research and biotechnology. The Gatan brand name is recognized and respected throughout the worldwide scientific community and has been synonymous with high quality products and the industry's leading technology. Gatan, Inc. is a member of the Analytical Instrumentation segment of the Roper Industries, Inc. family of companies.