VSEA Varian Semiconductor (MM)

Varian Semiconductor Equipment Associates, Inc. ("Varian") (NASDAQ: VSEA) today formally launched its Solion™ photovoltaic ("PV") ion implant platform into the Chinese market at the SNEC PV Power Expo 2011.

Varian said it has partnered with several leading Chinese PV manufacturers to insert Solion patterned ion implantation into volume manufacturing by mid-year. Varian has established engagements with over seven Chinese PV manufacturers who see Solion's potential for accelerating their drive to grid parity by delivering the precision and control required for high efficiency cells while simplifying the manufacturing process to reduce the overall cost per watt.

Solion enables solar module manufacturers to achieve a combination of increased cell efficiency at lower production cost by replacing traditional diffusion doping processes with ion implant. In addition to greater precision and process control for improved junction quality, this approach eliminates multiple production steps, improves cell uniformity, and enables significantly tighter binning.

Early Solion users have already adopted the enabling patterned implant technology to produce crystalline solar cells in volume with conversion efficiencies over 19 percent. Patterned implantation provides a clear roadmap to efficiencies of 22 percent at reduced cost per watt.

"The strong market interest in Solion from so many Chinese PV manufacturers further validates the value of implant for manufacturing high efficiency, low cost solar cells," said Varian's Chief Executive Officer Gary Dickerson. "We are very excited to be partnered with some of the market leaders in the fastest growing region for production of solar cells. The combination of local manufacturing expertise with Varian's technology leadership and world class support will enable the PV industry to take a huge step forward towards achieving grid parity."

Solion draws on Varian's 35-year history of leadership in ion implant for the semiconductor industry, including the industry standard Varian VIISta® product line, which has over 1,200 units in the field. However, Solion is a completely new platform that reflects the needs and priorities of PV module producers, including the innovative ability to perform patterning and doping in a single step using proprietary Precision Patterned Implant (PPI™) technology.

Solion customers also benefit from Varian's highly regarded worldwide service organization, having won the coveted VLSI Research Award for 13 of the last 14 years.

Varian will be exhibiting at SNEC PV Power Expo in Shanghai from February 22 - 24, at booth number 215 in Hall number 5.

About Varian Semiconductor Equipment Associates, Inc.

Varian is a leading supplier of ion implantation equipment used in the fabrication of semiconductor chips and photovoltaic modules. Varian's products are used by manufacturers worldwide to produce high-performance semiconductor devices and solar panels. Customers have made Varian the market leader in ion implant because of its architecturally superior products that lower their costs and improve their productivity.

Varian provides support, training, and after-market products and services that help its customers to obtain high utilization and productivity, reduce operating costs, and extend capital productivity of customer investments through multiple product generations. Varian has ranked #1 in the VLSI Research Customer Satisfaction Survey 13 times over the last 14 years. Varian operates globally and is headquartered in Gloucester, Massachusetts. More information can be found on Varian's web site at www.vsea.com

Safe Harbor This press release contains forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. For this purpose, statements concerning the expected installation base of Varian's Solion implant product in the Chinese market, the expected technical and commercial advantages offered by the Solion implant product to PV cell manufacturers and any statements using the terms "believes," "anticipates," "will," "expects," "plans" or similar expressions, are forward-looking statements. The forward-looking statements involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are: volatility in the semiconductor and solar equipment industries; intense competition in the semiconductor and solar equipment industries; Varian's dependence on a small number of customers; fluctuations in Varian's quarterly operating results; market adoption of Varian's new products, such as the Solion implant product; Varian's exposure to risks of operating internationally; uncertain protection of Varian's patent and other proprietary rights; Varian's reliance on a limited group of suppliers; Varian's ability to manage potential growth, decline and strategic transactions; Varian's reliance on one primary manufacturing facility; and Varian's dependence on certain key personnel. These and other important risk factors that may affect actual results are discussed in detail under the caption "Risk Factors" in Varian's Annual Report on Form 10-K for the fiscal year ended October 1, 2010 and in other reports filed by Varian with the Securities and Exchange Commission. Varian cannot guarantee any future results, levels of activity, performance or achievement. Varian undertakes no obligation to update any of the forward-looking statements after the date of this release.

Contacts: Bob Halliday Executive Vice President Chief Financial Officer 978.282.7597 Tom Baker Vice President, Finance 978.282.2301