Abe Reichental Quotations

We're not building a future for a few years, we're building for a lifetime.

If we get the right talent into the company, we can provide the rest. It's not the systems, it's not the materials, it's the people. And that's why we're basing so much importance on it.

Our goal is to design and build an open, modern, state-of-the-art facility that will be conducive to creativity, innovation, communication and teamwork. We are creating an environment that will both promote interaction among our 3D Systems' team members and also showcase our technology to customers and visitors.

Our future success depends primarily on our ability to attract, train, retain and develop the right people within our organization. We believe that 3D Systems offers a very unique employment value proposition. We are creating an open, friendly and inviting work environment within our state-of-the-art headquarters facility that is being constructed at the Waterford Industrial Park. Most importantly, we offer prospective employees the opportunity to join a company that is founded and grounded on a strong customer centric culture, clear priorities, sensible guiding principles and ethical values.

We are enormously proud to be the first to deliver a truly affordable 3-D printing solution to our customers, one that will no doubt go a long way towards improving our customer's bottom line.

We expect our local presence in Rock Hill to enable us to work closely with our local architects, developers and contractors to ensure that we execute the design and construction of our new facility on time and on budget.

We are very pleased to be able to commence certain operations in Rock Hill. The opening of this office enables us to immediately begin to transition certain day-to-day activities as well as to use it as a base from which to launch our local recruiting, hiring and training of new employees.

Product margins benefited from higher unit sales of new systems and materials, lower costs from our outsourcing activities and favorable price/mix effects.

As we have said before, we believe that our patents are among our most privileged assets, and we intend to take action to protect them when we believe they are being infringed upon.

Not only will we benefit from a steady stream of highly trained, intelligent graduates, but our customers and the community will benefit. It's a win-win-win.

Service margins declined due to lower sales of upgrades for older legacy systems, higher training and field service activity and a special compensation-related charge. While we are disappointed with the absence of a noticeable improvement in profit margins in 2005, the factors that adversely affected them resulted primarily from deliberate strategic decisions we have made for long-term gain, and we expect to see additional margin improvements going forward.