Feb. 6, 2004 — Veeco Instruments Inc. (Nasdaq: VECO, News, Web), a Woodbury, N.Y., manufacturer of metrology tools for nanoscale applications in the semiconductor, data storage, telecommunications and research markets, announced a fourth-quarter loss of $4.8 million, or 16 cents per share, versus a $116.5 million loss, or $4 per share, in the fourth quarter of 2002.

The company posted fourth-quarter revenues of $76.9 million, versus $68.6 million in the year-earlier period.

Veeco executives credited the fourth-quarter performance to a number of factors, including increased revenue in three out of four of the company’s core markets as well as the effect of cost-reduction initiatives.

For the year as a whole, Veeco posted a loss of $9.7 million, or 33 cents per share, versus a $123.7 million loss in 2002.

“(There was) clearly a broad industry market improvement which was quite dramatic in the fourth quarter,” said Ed Braun, chairman and chief executive, in a conference call this morning. “We appear to be at the start of a sustainable recovery cycle.”

Braun said the company forecasts first quarter revenues will be up approximately 10 percent.