Agreement on nano technology

Xaar PLC
15 March 2005


FOR IMMEDIATE RELEASE                                            15 March 2005

                                    Xaar plc

                   JOINT DEVELOPMENT ON NANO TECHNOLOGY WITH

                               MOLECULAR IMPRINTS

Xaar plc ('Xaar'), the inkjet printing technology group headquartered in
Cambridge, is pleased to announce a Joint Development Agreement with Molecular
Imprints Inc. ('MII') of Austin, TX, USA. MII, a spinout from the University of
Texas, has developed a unique combination of lithography and 3-dimensional
printing to pattern nano-scale devices and structures incorporating Xaar's
inkjet technology.

The MII technique is based on a Step and Flash Imprint Lithography (S-FILTM)
process, and MII holds over 100 patents covering all aspects of the technology
and its implementation.  MII has developed a range of equipment using the S-FIL
process in conjunction with Xaar's inkjet printheads and electronics from Xaar
subsidiary, Vivid Print Innovations Inc.  This equipment is now being sold to
integrated circuit makers, chip makers and device makers in a wide range of
markets including semi-conductor component devices, photonic and optical
structures, nano fabrication, data storage and advanced packaging.

MII sells its equipment direct to end users or via distributors which include
Carl Zeiss SMT, KLA Tencor Corp. and Hakuto.

Commenting on the agreement, Nigel Berry, head of business development for Xaar,
said; 'I am delighted to announce this tie up with MII, a leading innovator in
the use of imprint lithography to radically restructure future production
processes in the semiconductor and device market.  Not only did the team at MII
develop their unique technology, but they went on to raise significant funding
in order to commercialise it, and have now brought an impressive range of
equipment to market. We are pleased they consider Xaar and its technology to be
an ideal partner for them and we look forward to working with them to
incorporate the next generation of our technology into their development
programme.' (www.xaar.co.uk).

Commenting from MII, S.V. Sreenivasan, CT0, said: 'We are pleased to announce
this agreement with Xaar and Vivid.  These two companies are the leaders in
fluid dispense technology and will continue to provide the pioneering work
required for our nanolithography applications.  We look forward to a long and
productive relationship with them.' (www.molecularimprints.com).

                                      Ends

Contacts

Xaar plc:                                                         01223-423663
Ian Dinwoodie, Chief Executive                                  www.xaar.co.uk
                                                                
Nigel Berry, Group Finance Director & Deputy Chief Executive

Bankside Consultants:
Steve Liebmann                                    020-7444-4163 / 07802-888159


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