[rp-ml] Stratasys to stop selling/servicing Objet Edens

I know this only affects the North American market, but is anyone
else surprised to hear this? Really puts a crimp in my plans.

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Stratasys Transitioning Out Of Eden Product Distribution Next Year

MINNEAPOLIS-(BUSINESS WIRE)-Aug. 1, 2006- Stratasys, Inc. (Nasdaq:SSYS)
today announced
it will discontinue the sale of Eden products on January 1, 2007.
Stratasys intends to sell Eden products for the remainder of 2006, and
will conduct maintenance until August of 2007 on the systems it has
installed, ensuring a seamless transition for its customers. Objet
Geometries will assume full responsibility for Eden sales beginning in
2007. The Eden product line is currently distributed by Stratasys for
Objet Geometries, based in Israel.

"After evaluating our options to maintain the Eden product line within
our family of high-end productivity systems, we have concluded that our
best option is to discontinue the distribution of the product line
beginning in 2007," said Scott Crump, chairman and chief executive
officer of Stratasys. "This action is based on strategic and financial
considerations."

"Our intention is to provide a smooth transition for our customers, but
going forward, we will focus our efforts on the many growth
opportunities presented by our proprietary fused deposition modeling
technology. This will include new products targeting 3D printing,
traditional rapid prototyping, and the emerging market for rapid
manufacturing," Crump concluded.

Stratasys Inc., Minneapolis, manufactures office-based rapid prototyping
and manufacturing systems and 3D printers; and offers rapid prototyping
and manufacturing parts services. According to Wohlers Report 2006,
Stratasys supplied 34 percent of all systems installed worldwide in
2005, making it the unit market leader, for the fourth consecutive year.
Stratasys patented the rapid prototyping process known as fused
deposition modeling (FDM). The process creates functional models
directly from any 3D CAD program using ABS plastic, polycarbonate, and
PPSF. The company holds 175 granted or pending rapid prototyping patents
globally. Stratasys products are used in the aerospace, defense,
automotive, medical, education, electronic, and consumer product
industries. The company's systems are also used for rapid manufacturing
and rapid tooling applications. Stratasys and FDM are registered
trademarks of Stratasys, Inc. Objet and PolyJet are trademarks of Objet
Geometries Ltd., and may be registered in certain jurisdictions. For
more information on the company, go to www.Stratasys.com;
www.RedEyeRPM.com; or www.DimensionPrinting.com.

Forward Looking Statement

All statements herein that are not historical facts or that include such
words as "expects", "anticipates", "projects", "estimates" or "believes"
or similar words are forward-looking statements that we deem to be
covered by and to qualify for the safe harbor protection covered by the
Private Securities Litigation Reform Act of 1995. Our belief that we
have the largest part-building service claim is based on the number of
dedicated machines. Except for the historical information herein, the
matters discussed in this news release are forward-looking statements
that involve risks and uncertainties; these include the continued market
acceptance and growth of our Dimension(TM) line, Prodigy Plus, FDM
Maxum(TM), FDM Vantage(TM), and Titan(TM) product lines; the size of the
3D printing market; our ability to penetrate the 3D printing market; our
ability to maintain the growth rates experienced in this and preceding
quarters; our ability to introduce and market new materials such as
PC-ABS and the market acceptance of this and other materials; the impact
of competitive products and pricing; the timely development and
acceptance of new products and materials; our ability to effectively and
profitably market and distribute the Eden polyjet line and the Arcam
product line; the success of our recent R&D initiative to expand the
rapid manufacturing capabilities of our core FDM technology; the success
of our RedEyeRPM(TM) and other parts services; and the other risks
detailed from time to time in our SEC Reports, including the annual
report on Form 10-K for the year ended December 31, 2005 and 10-Q filed
throughout 2006.

This release is also available on the Stratasys Web site at
www.Stratasys.com.

--
Doug Mitchell
Ford Motor Company Design
Components & Scheduling Dept.
dmitchel@ford.com