Rofin-Sinar Technologies (RSTI)

Outlook

Management believes that the general slowdown of the industrial markets and recent fluctuations in exchange rates will have an impact on the Company’s future business. Mid-term predictions are currently quite difficult, but we are confident that our focus on emerging industries and regions is the right strategy for sustained long-term success. Our success in this challenging macroeconomic environment will also depend on our ability to further diversify our markets, enhance our global presence and serve a broader customer base. We should be able to capitalize on our recent investment in Switzerland, India, and China. In addition, addressing less cyclical industries such as military and defense industry should help us to compensate a slowdown in other branches.

Outlook

Management
believes that the general slowdown of the industrial markets and recent
fluctuations in exchange rates will have an impact on the Company’s
future business. Mid-term predictions are currently quite difficult, but we are
confident that our focus on emerging industries and regions
is the right strategy for sustained long-term success. Our success in this
challenging macroeconomic environment will also depend on our ability to
further diversify our markets, enhance our global presence and serve a broader
customer base. We should be able to capitalize on our recent investment in
Switzerland, India, and China. In addition, addressing less cyclical industries
such as military and defense industry should help us to compensate a slowdown
in other branches.

Outlook

Management believes that its global presence will support the Company’s future business, both from the Asian market and the robust economy in Europe, which should compensate for the softer North American markets. Management also believes that the Company’s record backlog and the continued high demand for its macro laser products from the machine tool industry as well as its broad product portfolios for micro and marking applications will support the business in the upcoming quarters. The Company believes also that its diversified customer base should mitigate the worsening of business conditions in single industrial or geographical markets in future.

Outlook

Management believes that near-term growth in the laser macro business depends on the general investment cycle for capital goods. In the marking and micro business, near-term, management sees continuing demand especially from the electronics and medical device industry. In addition, we will further broaden our presence in Asia. The Company believes that its broad product portfolio and its diversified customer base should help a worsening of business conditions in single industrial or geographical markets in future.

Outlook

Management believes that near-term growth in the laser macro business depends, especially in North America and Europe, on the general investment cycle for capital goods. In the marking and micro business, near-term, management sees continuing demand especially from the semiconductor and electronics, medical device, and

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