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Coherent Inc. The Leader in Photonics 1/15/2008
Coherent Inc.
The Leader in Photonics
Needham Conference, January 2008 Superior Reliability & Performance
P. 2
1/15/2008
Forward-Looking Statements & Non-GAAP Measurement
Forward-Looking Statements
The statements in this presentation that relate to future plans, events or performance are forward-looking
statements that involve risks and uncertainties, including risks associated with business and economic conditions, customer
and/or supplier contract cancellations, manufacturing risks, competitive factors, successful introductions of new products,
uncertainties pertaining to customer orders, demand for products and services, growth and development of markets for the
Company's products and services, and other risks identified in our filings made with the Securities and Exchange Commission,
including, most recently, our Form 10-K for the year ended September 30, 2006. Actual results, events and performance may
differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of
the date hereof. The Company undertakes no obligation to release publicly the result of any revisions to these forward-looking
statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated
events. Readers are encouraged to refer to the risk disclosures described in the Companys Form 10-K for the year ended
September 30, 2006 and subsequent reports on Forms 10-K, 10-Q and 8-K, as applicable.
Non-GAAP Measurement
The Companys statement regarding its adjusted EBITDA percentage target is a non-GAAP financial measure. The most
comparable GAAP measurement is net income, which is not currently accessible on a forward-looking basis. Adjusted EBITDA
reflects earnings before interest, taxes, depreciation, amortization, stock compensation expenses and other non-operating income
and expense items. These items, which are required to determine GAAP net income, are subject to significant change by the end
of fiscal 2010, given the impact of potential acquisitions, tax rate changes and other operational factors which will heavily impact
these items and are also impacted by the Companys historical stock option investigation and the effect of any compensation
charges arising from future equity grants. Superior Reliability & Performance
P. 3
1/15/2008
The Photonics Company
____________________
Note: Photonics is the Merger of Lasers, Optics and Electronics
Source: Company management as of 9/30/07.
Founded in 1966
Sales $601.2 Million
Orders $591.0 Million
~2,300 Employees
Sales 32% U.S. and 68% International
411 Patents, 103 Pending
Provider of Photonics Solutions Primarily Lasers for
Commercial and Scientific Research Applications Superior Reliability & Performance
P. 4
1/15/2008
Our Strategy and Objectives
Leverage the depth & breadth of our technology portfolio to
optimize growth and performance
Create new markets through internal and independent application
development
Continue to lead the revolution in commercial lasers
Complement internal product/market development through
acquisitions
Deliver superior financial performance through EBITDA
expansion and continued strong cash flows Superior Reliability & Performance
P. 5
1/15/2008
Communicating
Measuring, Sensing
Reading, Writing
Projecting
Engraving, Marking
Etching, Exposing
Micromat'l Processing
Cutting, Drilling
Welding, Joining
Scie
nce
Med
ical
Micr
oele
c
Con
s. El
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Tele
com
m
Ligh
t Mfg
.
Hea
vy M
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Def/
HS
Market Leading Position Benefiting From Multiple
Growth Vectors Superior Reliability & Performance
P. 6
1/15/2008
Diversified Applications
Microelectronics
OEM Components
& Instrumentation*
Scientific Research
& Gov. Programs
Mask writing, semiconductor inspection,
marking, flat panel display and advanced
packaging and interconnects
Microscopy, DNA sequencing, flow cytometry,
drug discovery, Raman spectroscopy and
forensics
Marking, welding, engraving, cutting and drilling,
textile manufacturing and rapid prototyping
Computer-to-plate printing, writing data to
master disks, entertainment, photo finishing and
laser projections
Regenerative amplification, multiphoton
excitation microscopy, pollution analysis,
metrology, spectroscopy, physical chemistry,
laser components
Materials
Processing
Applications
20%
29%
16%
35%
Materials
Processing
Microelectronics
OEM Components
& Instrumentation*
Scientific Research
& Gov. Programs
Revenue Mix
(as of 9/29/07)
Revenue Mix
(as of 9/29/07)
33%
29%
32%
6%
Europe
United States
R.O.W.
Asia Pacific
Geographic Sales Distribution
(as of 9/29/07)
Geographic Sales Distribution
(as of 9/29/07)
*Graphic Arts and Display (GAD) have been merged into OEM Components and Instrumentation. GAD bookings in FY07 were ~$18.3M. Superior Reliability & Performance
P. 7
1/15/2008
Microelectronics Market Overview
____________________
Source: The Laser Marketplace Microelectronic consists of Optical Storage, Telecommunications, Inspection & Measurement vertical industries. Growth is driven by flat panel
display (FPD) and
semiconductor front end and
back end capital expenditure The pace of miniaturization is
driving laser-based solutions
into more applications Front-end includes laser
applications in photo-mask
manufacturing, wafer
inspection, metrology and
yield management Back-end includes laser
applications for wafer scribing,
singulation and micro via
drilling
Applications
Products
Technology
Photomask writing
SabreFreD
Innova
Nova Tex
RegA
Frequency doubled
Ion
Excimer
Ultrafast
Semiconductor inspection &
metrology
Vitesse
Compass Series
Paladin
Verdi
AZURE, Indigo
Sapphire
Innova iLine
Ultrafast
DPSS
DPSS
DPSS
DPSS
OPS
Ion
Marking Vector
DPSS
Packaging & Interconnects
Avia
Diamond
FAP family
Paladin
Vector
Prisma
DPSS
CO2
Semiconductor
DPSS
DPSS
DPSS
Flat Panel Display
LSX-C
Avia
Diamond
Excimer
DPSS
CO2

Total Addressable Market:
~$1 Billion
5-Year CAGR 10-15% Superior Reliability & Performance
P. 8
1/15/2008
Materials Processing Market Overview Coherents focus is on low-
medium power lasers
designed for non-metal and
thin-metal processing Applications include cutting
and welding plastics The secular driver for this end
market is the flexibility of the
laser-based platforms in
displacing mechanical tools Cyclicality of the business has
been declining as laser
products are being adopted in
newer marking and engraving
markets
Applications
Products
Technology
Marking, engraving, cutting and
drilling
FAP Family
Diamond
Prisma, Matrix
Excistar
Avia
Semiconductor
CO2
DPSS
Excimer
DPSS
Cladding, heat treating and
welding
HighLight Semiconductor
Automotive diesel engine
production
Lambda STEEL series
Excimer
Rapid prototyping
Avia, Matrix
DPSS

Total Addressable Market:
~$1.5 Billion
5-Year CAGR 10-15% Superior Reliability & Performance
P. 9
1/15/2008
OEM Components & Instrumentation Market Overview Market serves a wide
variety of applications and
is defined by the
distribution channel, not
end applications Key product areas in this
vertical include flow
cytometry, Raman
spectroscopy, forensics,
DNA sequencing and
medical OEM Due to the diversified
nature of the end
markets, revenue does
not exhibit a strong
seasonal pattern as some
of the other verticals
Applications
Products
Technology
Confocal Microscopy
Sapphire
Compass
CUBE
OPS
DPSS
Laser Diode Module
DNA Sequencing
Compass
Sapphire
CUBE
DPSS
OPS
Laser Diode Module
Flow Cytometry / Cell
Sorting
Innova family
Compass
Sapphire
CUBE
Ion
DPSS
OPS
Laser diode module
Drug Discovery
Innova family
Compass
Sapphire
CUBE
Ion
DPSS
OPS
Laser diode module
Raman Spectroscopy
Innova family
Compass
Ion
DPSS
Forensics TracER OPSL
Laser Doppler
Velocimetry
Verdi
Innova family
DPSS
Ion
Medical (OEM)
Existar, COMPexPro
Diode Bars
Compass
Sapphire
Gem
Innova Family
Excimer
Semiconductor
DPSS
OPS
CO2
Ion
Bio-agent Detection
Compass, AVIA
CUBE
DPSS
Laser diode module

Total Addressable Market:
~$200 Million
5-Year CAGR 5-10%
Applications
Products
Technology
Computer-to-Plate
Printing
Single-Emitter Diodes
Fiber Coupled Diodes
Diode Bars
Compass Series
CUBE
Diamond K&G Series
Semiconductor
Semiconductor
Semiconductor
DPSS
Laser Diode Module
CO2
Writing Data to
Master Disks
Innova family
AZURE
CUBE
Ion
DPSS
Laser Diode Module
Entertainment Innova
family
Viper
Ion
DPSS
Photo Finishing
Sapphire
Compass
OPS
DPSS
Laser Projection
Sapphire
OPS