For more information, contact:

Mike El-Hillow Advanced Energy Industries, Inc. 970.407.6570 mike.el-hillow@aei.com

Cathy Kawakami Advanced Energy Industries, Inc. 970.407.6732 cathy.kawakami@aei.com

FORT COLLINS, Colo., April 17, 2003—Advanced Energy Industries, Inc. (Nasdaq: AEIS) today reported financial results for the first quarter ended March 31, 2003. Advanced Energy offers a comprehensive suite of process-centered solutions critical to the production of semiconductors, flat panel displays, data storage products, architectural glass, laser, medical and other advanced product applications.

For the 2003 first quarter, revenues were $56.2 million, up 31 percent from $42.9 million for the first quarter of 2002 and down 2 percent from $57.4 million for the fourth quarter of 2002.

Net loss for the first quarter of 2003 was $8.6 million or $0.27 per share, compared to a net loss of $8.7 million in the first quarter of 2002, or $0.27 per share. This compares to fourth quarter 2002 net loss of $22.0 million, or $0.68 per share. Both the first quarter of 2003 and the fourth quarter of 2002 had charges associated with the operational changes that the Company has implemented in response to reduced market demands. In the first quarter of 2003, these charges, net of tax, totaled $1.1 million or $0.04 per share, principally attributed to restructuring charges, and $14.2 million in the fourth quarter of 2002 or $0.44 per share. Excluding these charges, the 2003 first quarter net loss would have been $7.5 million or $0.23 per share and the fourth quarter 2002 net loss would have been $7.8 million or $0.24 per share.

Doug Schatz, chairman and chief executive officer, said, "As we expected, the first quarter of 2003 presented continued sluggish demand in our end markets, especially the semiconductor capital equipment sector. Our order pattern has remained essentially linear since late in 2002 and there are no indications that this will change in the near term. While the industry has remained suppressed, we continue to find ways to increase our addressable markets. We have done this by continuing our focus on the development of products and technologies that leverage the application value of the plasma for our customers. By focusing our research and development on our core product groups, we believe we can realize more high-value revenue possibilities, continue to develop the most reliable products at the lowest possible cost and have the quickest time from concept to commercialization."

"Based on information we have today, we anticipate second quarter revenue in the $56 to $60 million range and a loss per share range of $0.18 to $0.21 that reflects continued improvements from our operational changes," said Mr. Schatz.

First Quarter Conference Call

Management will host a conference call today, Thursday, April 17, 2003 at 9:00 am Eastern time to discuss Advanced Energy's financial results. You may access this conference call by dialing 888-713-4717. International callers may access the call by dialing 706-679-7720. For a replay of this teleconference, please call 706-645-9291, enter the passcode 8359076. The replay will be available through Thursday, April 24, 2003. There will also be a webcast available at www.advanced-energy.com.

About Advanced Energy

Advanced Energy is a global leader in the development and support of process-centered technologies critical to plasma-based manufacturing processes used in the production of semiconductors, flat panel displays, data storage products, compact discs, digital video discs, architectural glass, laser, medical and other advanced product applications.

Leveraging a diverse product portfolio and technology leadership, AE creates solutions that maximize process impact, improve productivity and lower cost of ownership for its customers. This portfolio includes a comprehensive line of technology solutions in power, flow and thermal management, plasma and ion beam sources, and integrated process monitoring and control for original equipment manufacturers (OEMs) and end-users around the world.

AE operates globally from regional centers in North America, Asia and Europe, offering global sales and support through diView Report