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  Disclosure announcement transmitted by euro adhoc. The issuer is responsible
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26.03.2008

AD HOC ANNOUNCEMENT PURSUANT TO SECTION 15 WPHG

                        LPKF presents Annual Report 2007

Key Group figures 2007:

|                    |2007         |2006          |Change         |
|                    |             |              |               |
|Turnover TEUR       |42,208       |39,780        |+ 6.1 %        |
|Profit TEUR         |3,868        |3,973         |- 2.6 %        |
|Net margin          |9.2 %        |10.0 %        |               |
|EBIT TEUR           |6,007        |6,350         |- 5.4 %        |
|EBIT margin         |14.2 %       |16.0 %        |               |
|EPS EUR             |0.36         |0.37          |- 2.7 %        |
|Cash and cash       |             |              |               |
|equivalents         |3,034        |5,156         |- 41.2 %       |
|Capital ratio       |69,3 %       |71,8 %        |               |
|Orders in hand of   |             |              |               |
|Group 31.12. TEUR   |7,622        |6,100         |+ 25.0 %       |
|Orders received by  |             |              |               |
|Group 31.126. TEUR  |43,159       |38,419        |+ 12.3 %       |

Strong expansion of growth segments
LPKF Laser & Electronics AG boosted its turnover  by  6.1 %  year-on-year  to  E
42.2 million. EBIT was on target at E 6.0 million. Intense effort  in  expanding
the three growth segments -  MID,  Plastic  Welding  and  Solar  -  generated  a
performance slightly below the previous year's level.

Turnover in Rapid Prototyping systems rose by 21.1 %  to  E  15.3  million,  and
again delivered a solid foundation for the  Group's  performance.  The  Stencil,
Inspection Systems and PCB Processing segments were strongly affected  by  their
high export share outside of the Euro zone,  and  competition  with  the  Dollar
zone. They failed to match the previous year's turnover levels. Activity in  the
Inspection Systems segment was suspended in favour of the solar business.

The three growth segments have developed very  promisingly  and  boasted  double
figure growth rates. The Plastic Welding business  has  been  strongly  expanded
and enjoyed a 15 % plus in turnover. Framework agreements were also closed  with
key accounts. The MID segment succeeded  in  almost  doubling  its  turnover  in
2007, and made significant progress in internationalising its business.

The still very  new  Solar  segment  developed  particularly  dynamically.  LPKF
became actively involved in supplying laser systems for the  scribing  of  thin-
film solar panels at the beginning of 2007. As  announced,  the  Group  received
further orders from several customers at the beginning of the ongoing  financial
year.

The Board of Managing  Directors  and  the  Supervisory  Board  will  propose  a
resolution at the Annual General Meeting to pay a dividend of 12 Cent per  share
as in the previous financial year.

Positive outlook for 2008
The company has started the 2008 financial year confidently with a 25 % year-on-
year increase in orders in hand.

The Board of Managing Directors intends to boost turnover and profit further  in
the  ongoing  year.  This  is  predicated  on  the  absence   of   any   further
repercussions from the  crisis  on  the  international  financial  markets,  and
continuing economic stability. Given the excellent order situation, there  is  a
good chance to raise the turnover share of the MID, Plastic  Welding  and  Solar
segments from currently 25 % to around 50 % in the medium term.

LPKF Laser & Electronics AG shares are quoted  on  the  Prime  Standard  of  the
Frankfurt Stock Exchange (ISIN 0006450000).


Further inquiry note:
Bettina Schäfer
Tel: +49 (0)5131 7095-382
b.schaefer@lpkf.de

emitter:      LPKF Laser & Electronics AG
              Osteriede  7
              D-30827 Garbsen
phone:        +49(0)5131 7095 382
FAX:          +49(0)5131 7095 90
mail:         investorrelations@lpkf.de
WWW:          ¿U1http://www.lpkf.de¿U0
sector:       Semiconductors & active components
ISIN:         DE0006450000
indexes:      CDAX, Prime All Share, Technologie All Share
stockmarkets: regulated dealing/prime standard: Börse Frankfurt, free trade:
              Börse Berlin, Börse Hamburg, Börse Stuttgart, Börse Düsseldorf,
              Börse Hannover, Börse München 
language:     English