News

DayStar Q3 2008 Milestone Update

Progress Continues; On-Track for Q1 2009 Production

Santa Clara, Calif., Oct. 08, 2008 / PR Newswire-First Call / – DayStar Technologies, Inc. (Nasdaq: DSTI), a developer of photovoltaic products based on CIGS thin film semiconductor technology, today will provide updates on two major areas:  technical accomplishments, including Big Baby progress, and the build-out of the company’s Newark, Calif. production facility.  Dr. Stephan DeLuca, the company’s CEO, will provide these updates in a conference call today at 10 am Pacific time.

To listen to the call, dial 210-839-8501 approximately 10 minutes prior to the start of the call.  The pass code is DayStar. The conference call will be available via a live webcast on the investor relations section of the DayStar website at www.daystartech.com. Access the web site 15 minutes prior to the start of the call to download and install any necessary audio software.  An archived webcast replay will be available on the web site for 12 months. A taped replay will be made available approximately one hour after the conclusion of the call and will remain available for one week.  To access the replay, dial 203-369-3944. The pass code for the replay is 1234.

“We have met all of our Q3 technical goals and we are maintaining our timeline to begin production in Q1 2009 and commercial shipments in Q3 2009,” Dr. DeLuca said. “We have been working on scaling up our deposition process with Big Baby, which allows us to deposit CIGS simultaneously on two, 2ftx4ft glass substrates.  To this date, we have met all of Big Baby’s technical milestones.  The work we have done with Big Baby has given me confidence that we have a fundamental tool design suitable for high volume CIGS production.

“We are on track in building our production line.  CIGS 1 is now being assembled in our Newark facility with the final CIGS 1 chambers due to arrive next week.  We expect to be able to run process in CIGS 1 before the end of this year.  The tenant improvements in the manufacturing building are well under way and on time to meet the scheduled deliveries of the purchased tool sets for the remainder of the process steps.  We continue to closely monitor our vendors to ensure on time deliveries of the production tools.  We have moved engineering and materials management teams to our Newark facility, and we expect to have our complete operations team moved there this quarter," he said.

DeLuca also noted that the Company’s plans to move beyond completion of its production line and facility and to support commercial production are dependent upon securing substantial additional capital to fund future operations.  “We are currently considering various alternatives to secure the necessary additional financing to maintain our production scale-up and commercialization plans,” he said. “Given current market conditions, the ability to secure necessary financing on acceptable terms remains a significant risk, but we believe that our technology and production capabilities are compelling.”