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News Release
April 27, 2006

ZYGO Receives First Production Order for Advanced Helmet Mounted Display Units

MIDDLEFIELD, CT, Apr 27, 2006 (MARKET WIRE via COMTEX News Network) -- Zygo Corporation (NASDAQ: ZIGO) announced today that its Optical Systems Group (Costa Mesa, CA and Tucson, AZ) has been awarded the first production order ($2.3 million) for its next-generation Advanced Helmet Mounted Display (AHMD). The AHMD is a high-resolution, optical see-through display system that overlays computer-generated battlefield scenery on the real-world environment. Designed for flight simulator applications, the AHMD is compact, and fits on top of the pilot's personal flight helmet. The AHMD also tracks the pilot's head movement such that the overlaid information is automatically aligned with the user's instantaneous view of the world.

The patented optical design and the novel optoelectronic approach developed for the AHMD enable users to move freely between simulator stations, making it possible for training schools to rapidly reconfigure multi-user battle simulation systems.

The AHMD is extremely flexible and can be deployed in a wide variety of military and non-military simulations. The company estimates a total market of up to $40.0 million over the next few years in military flight simulation alone. Non-military applications of the technology -- for example, in civilian aviation -- also are being considered.

The AHMD was developed jointly by ZYGO and Optical Research Associates (ORA), a leading optical design firm based in Pasadena, California. "This is a fine example of what two industry leaders can accomplish together. The AHMD is the result of excellent optoelectronic engineering and design. We believe ZYGO and ORA are well positioned to serve the domestic military and civilian markets for high performance, optoelectronic imaging and projection devices," said Bruce Robinson, ZYGO's Chairman, President, and CEO.

The AHMD offers an instantaneous field-of-view to the user of 100 degrees (Horizontal) by 50 degrees (Vertical) with a 30 degree binocular overlap region. Projected resolution seen by each eye is 1280 x 1024. The AHMD offers an eye relief exceeding 50 mm that significantly reduces the claustrophobic feeling HMD users usually develop. The AHMD's all-digital/high-speed fiber optic data bus provides reliable operation in high-level radiated interference fields.

Zygo Corporation, headquartered in Middlefield, Connecticut, is a worldwide supplier of optical metrology instruments, precision optics, and electro-optical design and manufacturing services, serving customers in the semiconductor capital equipment and industrial markets. See ZYGO's website at www.zygo.com for additional information.

Optical Research Associates, headquartered in Pasadena, California, is a worldwide supplier of optical design services and is the world's largest supplier of optical design software serving customers in consumer and industrial markets. See ORA's website at www.opticalres.com for additional information.

All statements other than statements of historical fact included in this news release regarding our financial position, business strategy, plans, anticipated growth rates, and objectives of management of the Company for future operations are forward-looking statements. Forward-looking statements are intended to provide management's current expectations or plans for the future operating and financial performance of the Company based upon information currently available and assumptions currently believed to be valid. Forward-looking statements can be identified by the use of words such as "anticipate," "believe," "estimate," "expect," "intend," "plans," "strategy," "project," and other words of similar meaning in connection with a discussion of future operating or financial performance. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors. Among the important factors that could cause actual events to differ materially from those in the forward-looking statements are fluctuations in capital spending of our customers, fluctuations in net sales to our major customer, manufacturing and supplier risks, dependence on and timing of new product development, rapid technological and market change, risks in international operations, dependence on proprietary technology and key personnel, length of the sales cycle, environmental regulations, and stock price. Further information on potential factors that could affect Zygo Corporation's business is described in our reports on file with the Securities and Exchange Commission, including our Form 10-K for the fiscal year ended June 30, 2005.

For Further Information Call:
Walter A. Shephard
Vice President Finance, CFO, and Treasurer
Voice:  860-704-3955
Contact via http://www.marketwire.com/mw/emailprcntct?id=5A70B5B5B53F4A70

SOURCE: Zygo Corporation



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