Fremont, CA, January 20, 1999 - Asyst Technologies, Inc. (Nasdaq:ASYT), the leading supplier of manufacturing automation and Standard Mechanical InterFace (SMIF) isolation solutions to the global semiconductor industry, today reported results for the third quarter of fiscal 1999 ended December 31, 1998.

Net sales for the third quarter of fiscal 1999 were $16.9 million, compared to net sales of $42.3 million for the third quarter of fiscal 1998. Net loss for the third quarter was $3.9 million, or ($0.35) per share, compared to net income of $3.4 million, or $0.26 per share on a diluted basis, for the comparable period last year.

For the nine months ended December 31, 1998, the Company had net sales of $66.9 million, versus net sales of $120.3 million for the nine month period ended December 31, 1997. Net loss from continuing operations for the first nine months of fiscal 1999 was $15.6 million, or ($1.33) per share, compared to net income from continuing operations of $12.9 million, or $1.08 per share on a diluted basis, for the same period last year.

Commenting on the Company's performance, Asyst Chairman and Chief Executive Officer Dr. Mihir Parikh noted that global economic conditions, marked by constrained capital budgets and a sparse order flow, remain relatively unchanged from the previous quarter. "Asyst has continued its strategic focus on those business processes which best contribute to the Company's future growth. We continue to manage the business accordingly, given the indefinite state of the current market," commented Parikh. "Asyst has the industry's most comprehensive suite of automated tool front-end and fab upgrade solutions. Increasingly, customers are realizing the benefits that these collective products bring to their fab automation strategies. The follow-on multimillion-dollar order recently received from Worldwide Semiconductor Manufacturing Company (WSMC) is testament to the Company's core business performance. Moreover, it further extends Asyst's leadership as a global SMIF provider."

Asyst President and Chief Operating Officer Terry Moshier added, "As a result of the cost reduction programs implemented in prior quarters of fiscal 1999, we have significantly lowered the Company's cost structure. In addition, we are pleased with the improved gross margin performance in all of the Company's businesses. We are balancing limited market visibility while focusing on long-term customer relationships." Moshier continued, "By combining strategic investments with cost reduction measures and asset management programs, we continue to strengthen the overall capability of Asyst."

"Despite weak global market conditions, Asyst achieved its planned modest sequential increase in revenues for the third quarter," noted Doug McCutcheon, senior vice president and chief financial officer. "We are pleased with our success in reducing inventory levels by 16 percent from the previous quarter and improving gross margins to 38 percent. We firmly believe in the long-term fundamentals driving our business and remain confident in our ability to expand our current market leadership."

Except for statements of historical fact, the statements in this press release are forward-looking. Such statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from the statements made. These factors include, but are not limited to, general economic conditions, semiconductor industry cycles, risks associated with the acceptance of new products and product capabilities, and other factors more fully detailed in the Company's most recent Forms 10-K annual report and 10-Q quarterly report on file with the SEC.

Condensed Consolidated Statements of Operations
Condensed Consolidated Balance Sheets

	Three months ended December 31,		Nine months ended December 31,
	1998	1997	1998	1997
Net sales Cost of sales	$ 16,871 10,387	$ 42,310 23,374	$ 66,907 41,076	$ 120,308 67,276
Gross profit	6,484	18,936	25,831	53,032
Operating expenses:
Research and development     Selling, general, and administrative     Purchased in-process research and development     Restructuring expence	3,575 9,457 --- ---	3,350 8,541 --- ---	10,967 30,438 7,100 2,922	9,388 25,595 --- ---
Total operating expenses	13,032	11,891	51,427	34,983
Operating income(loss) Other income, net	(6,548) 542	7,045 1,095	(25,596) 2,028	18,049 2,090
Income (loss) from continuing operations     before provision (benefit) for income taxes	(6,006)	8,140	(23,568)	20,139
Provision (benefit) for income taxes	(2,042)	2,930	(8,013)	7,250
Income (loss) from continuing operations	(3,964)	5,210	(15,555)	12,889
Discontinued operations:     Loss on closure of Asyst Automation, Inc.,        net of applicable income taxes	---	(1,840)	---	(1,840)
Net income (loss)	$ (3,964)	$ 3,370	$ (15,555)	$ 11,049
Basic earnings (loss) per share:     Income (loss) per share from continuing        operations	$ (0.35)	$ 0.44	$ (1.33)	$ 1.16
Net income (loss) per share	$ (0.35)	$ 0.28	$ (1.33)	$ 0.99
Diluted earnings (loss) per share:     Income (loss) per share from continuing        operations	$ (0.35)	$ 0.41	$ (1.33)	$ 1.08
Net income (loss) per share	$ (0.35)	$ 0.26	$ (1.33)	$ 0.93
Shares used in per share calculation of:
Basic earnings (loss) per share	11,365	11,925	11,700	11,129
Diluted earnings (loss) per share	11,365	12,853	11,700	11,882

	December 31, 1998 (unaudited)	March 31, 1998
ASSETS
Current assets: Cash and cash equivalents Short-term investments Accounts receivable, net Inventories Prepaid expenses and other current assets Deferred tax asset Net current assets of discontinued operations	$   5,367 35,853 12,024 18,783 2,994 17,154 21	$ 12,288 70,487 26,534 18,851 4,241 7,697 1,438
Total current assets	92,196	141,536
Property and equipment, net Other assets, net	11,417 18,868 $ 122,481	11,133 1,802 $ 154,471
Liabilities and Shareholders' equity
Current liabilities: Accounts payable Accrued liabilities and other current liabilities Customer deposits Income taxes payable       Total current liabilities	$ 2,733 10,625 999 702 15, 059	$ 8,671 13,124 1,267 606 23,668
Shareholders' equity: Common stock Retained earnings (deficit)	108,521 (1,099)	116,347 14,456
Total shareholders' equity	107,422 $ 122,481	130,803 $ 154,471

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