GENUS UPDATES SECOND QUARTER AND FULL YEAR 2002 GUIDANCE

SUNNYVALE, Calif. - July 2, 2002 -Atomic layer deposition (ALD) market leader Genus (Nasdaq NM: GGNS) today provided an update to its second quarter and full year 2002 financial guidance.

For the second quarter 2002, Genus expects net revenues to range between $6 million to $7 million. This revision is due to a delay in customer acceptance of one order shipped in the first quarter.

For the full year 2002, Genus continues to expect bookings to be in the range of $55 million to $65 million, with the majority of these bookings occurring in the third and fourth quarters of 2002. However due to continued soft industry conditions, the company now anticipates the expected timing of orders and customer acceptances will result in full year 2002 net revenues in the range of $40 million to $50 million.

"The general uncertainty in the industry has led us to lower our revenue outlook," said Bill Elder, Genus' chairman and CEO. "However, customer interest remains strong, our bookings are on track, and we expect to begin volume production of ALD equipment in the coming months. Genus remains well positioned to benefit as the industry recovers and we expect that the challenges of 2002 will result in improving visibility and strong growth in 2003."


The company anticipates reporting final results for the second quarter 2002 after the market closes on August 5, 2002 and holding an investor conference call in the morning of August 6, 2002.

About ALD
Both the semiconductor and data storage industries continue to migrate toward products with higher density and higher topology. As a result, conformality of deposited films has also become a critical factor. With current technology unable to meet the degree of conformality required to manufacture today's leading-edge technology, the use of Genus' ALD technology in the data storage market has been adopted. ALD enables manufacturers to extend current semiconductor and data storage manufacturing processes by offering greater deposition conformality in smaller feature components with higher aspect ratios.

About Genus
Genus, Inc. manufactures critical deposition processing products for both the global semiconductor and data storage industries. To enable the production of intricate micro computer chips and electronic storage devices, Genus offers its LYNX series production-proven equipment for 200 mm and 300 mm semiconductor production. They also offer thin film deposition products for chemical vapor deposition (CVD), atomic layer deposition (ALD), and pre-clean capabilities.


Genus is at the forefront of market and technology developments in the ALD marketplace, which is gaining acceptance worldwide as a critical technology for sub 0.13-micron production of computer chips and electronic storage devices. Genus' customers include semiconductor manufacturers located throughout the United States, Europe and the Pacific Rim including Korea, Japan and Taiwan. Founded in 1981, the company is headquartered in Sunnyvale, California. For additional information visit Genus' web site at www.genus.com. LYNX2® and LYNX3™ are trademarks of Genus, Inc.

Forward-Looking Statements
This press release contains forward-looking statements regarding the company's future financial and business performance. These forward-looking statements are subject to a number of risks and uncertainties. These contingencies include but are not limited to: actual customer orders received by the company, the extent to which ALD technology is demanded by the marketplace, the actual number of customer orders received by the company, the timing of final acceptance of products by customers, the financial climate and accessibility to financing, general conditions in the thin film equipment market and in the macro-economy, and the influence of global political events. Genus assumes no obligation to update this information. Additional risks and uncertainties are discussed in the Management's Discussion and Analysis of Results of Operations contained in Genus' Annual Report on Form 10-K for the fiscal year ended December 31, 2001 and subsequent quarterly reports on Form 10-Q filed with the Securities and Exchange Commission.