Date: Wed Oct 31 2001 - 18:35:29 EET

With all of the negative mood in the business world, it was a pleasure to see
that the Stratasys Q3 report showed much improved results.

Al Hastbacka

Stratasys Reports Strong 3rd Quarter Revenues and Earnings; Results Exceed

MINNEAPOLIS--(BUSINESS WIRE)--Oct. 30, 2001--Stratasys, Inc. (Nasdaq:<A
HREF="aol://4785:SSYS">SSYS</A>) today announced strong financial results for
the third quarter and the nine months ended September 30, 2001.

Revenues for the third quarter rose to $9,703,008 compared with $9,001,518 in
the third quarter of 2000.

Net income for the third quarter grew to $979,667, or $.18 per share,
compared with income of $171,481, or $0.03 per share, for the same period in

For the nine months ended September 30, 2001, revenues totaled $27,614,412,
compared with revenues of $27,322,772 reported for the same nine-month period
of 2000. Net income for the nine months increased to $1,593,794 or $0.29 per
share compared with $874,139, or $0.15 per share for the same nine month
period in 2000.

"Worldwide acceptance of our newest machine - the Titan(TM) - has produced
strong sales even during this challenging economic time," says Chairman and
CEO Scott Crump. "We've also seen continued demand for our other products,
especially the Maxum(TM) and Prodigy,(TM) which were introduced in the last
18 months. Given our strong balance sheet and corporate objective to contain
expenses, we believe our 2001 growth objectives will be met."

The Company says there is strong demand for its Prodigy, the first low-cost
and simple-to-use office modeling system that makes accurate, durable
prototypes, which permit functional testing all within a networked office
environment. Stratasys says the Prodigy has exceeded its expectations since
it was introduced last year, and it has proven reliable in the field.

"Interest also remains strong for the Maxum, our high-speed, high-accuracy
system," Crump says. The Maxum employs the revolutionary WaterWorks(TM)
technology. This system cuts a user's labor costs and time by dissolving the
disposable model-support material instead of requiring manual removal. "With
the combination of these three new well-received products and a streamlined
organization," Crump says, "we're on target for a successful 2001."

Stratasys, Inc. is a manufacturer of rapid prototyping systems for
automotive, aerospace, military, industrial equipment, recreation,
electronic, medical, and consumer products OEM's. The Company's patented
Fused Deposition Modeling (FDM) rapid prototyping process creates
3-dimensional plastic and wax prototype parts directly from 3-D CAD systems.
The Company can be reached at 14950 Martin Drive, Eden Prairie, Minnesota
55344-2020 and

(Financial Tables to follow)

Except for the historical information herein, the matters discussed in this
news release are forward-looking statements that involve risks and
uncertainties, including the timely development and acceptance of new
products, the impact of competitive products and pricing, and the other risks
detailed from time to time in the Company's SEC Reports, including the report
on Form 10-K for the year ended December 31, 2000, and on Forms 10-Q for the
quarters ended March 31, June 30, and September 30, 2001.

This release is available on the Stratasys website at

For more information about the rp-ml, see

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