PRESS RELEASE

March 8, 2006

REDEYE TO EMPLOY POLYJET RAPID PROTOTYPING PROCESS
Technology Provides Excellent Feature Detail; Offers Surface Finish Smoothness Unavailable in Older Photo-polymer Technologies

MINNEAPOLIS, March 8, 2006 - RedEye™, the world's largest rapid prototype and part-building service today announced the availability of PolyJet™ (photo-polymer jetting) technology. RedEye is a business group of Stratasys (NASDAQ: SSYS).

PolyJet Eden systems can build layers as fine as 16 microns (0.0006 inch) for a Z-axis resolution more than 300% finer than the older rapid prototyping method, SLA (or stereolithography). This results in parts with an ultra-smooth surface finish. And high resolution in the X and Y axes allows parts to be built with excellent feature detail. In a process similar to ink jet printing, liquid photo-polymer resin is jetted out in fine layers to build a part.

"PolyJet's advantages complement the strengths of RedEye's core technology - FDM (fused deposition modeling)," says RedEye director Eric Lindberg. "FDM is known for building accurate plastic parts with superior strength, and with the addition of PolyJet, we have a solution for customers requiring excellent feature detail and superior surface finish. RedEye offers clients the best of both worlds in rapid prototyping and manufacturing - FDM for tough, functional prototypes and rapid manufactured parts using engineering thermoplastics, and PolyJet for fine detail and surface finish."

Readers wishing to try the RedEye automated quoting process should go to www.RedEyeOnDemand.com.

RedEye, a business unit of Stratasys, is the world's largest provider of rapid prototyping and direct digital manufacturing services. With more than 80 systems in its facilities, RedEye is the source for low-volume, high quality models and working parts made from one of the largest selections of thermoplastic materials available, such as ABS, polycarbonate, ISO certified and more. From digital files, RedEye quickly builds models and parts of any size, while maintaining precise design accuracy and allows for multiple iterations throughout the design process. Get a secure instant quote from your 3D CAD files now.
On the Web: www.RedEyeOnDemand.com.

Stratasys Inc., Minneapolis, makes rapid manufacturing and prototyping systems and 3D printers, and it offers prototyping and manufacturing services. Stratasys equipment is used in industries such as aerospace, automotive, defense, medical, and consumer products. In 2004, the company installed 36 percent of all systems sold worldwide, making it the unit market leader for the third consecutive year, according to Wohlers Report 2005. Stratasys patented the rapid prototyping process known as fused deposition modeling (FDM®). The process creates functional models directly from any 3D CAD program using ABS plastic, polycarbonate, PPSF or other materials. The company holds 175 granted or pending global prototyping patents. In addition to manufacturing products, Stratasys is the exclusive North American distributor of PolyJet rapid prototyping systems and Arcam rapid manufacturing and prototyping systems.
On the Web: www.Stratasys.com

Largest part-building service claim is based on number of dedicated machines.

All statements herein that are not historical facts or that include such words as "expects", "anticipates", "projects", "estimates" or "believes" or similar words are forward-looking statements that we deem to be covered by and to qualify for the safe harbor protection covered by the Private Securities Litigation Reform Act of 1995. Except for the historical information herein, the matters discussed in this news release are forward-looking statements that involve risks and uncertainties; these include the continued market acceptance and growth of our Dimension BST™, Dimension SST™, Prodigy Plus™, FDM Maxum™, FDM Vantage™, and Titan™ product lines; the size of the 3D printing market; our ability to penetrate the 3D printing market; our ability to maintain the growth rates experienced in this and preceding quarters; our ability to introduce and market new materials such as polyphenylsulfone and the market acceptance of this and other materials; the impact of competitive products and pricing; the timely development and acceptance of new products and materials; our ability to effectively and profitably market and sell multiple distributed products and technologies; and the other risks detailed from time to time in our SEC Reports, including the annual report on Form 10-K for the year ended December 31, 2005 and the quarterly reports on Form 10-Q filed throughout 2005.

RedEye and BuildFDM are trademarks of, and FDM is a registered trademark of, Stratasys, Inc. PolyJet is a trademark of Objet Geometries Ltd. and may be registered in certain jurisdictions.

Attention Editors: If you wish to publish reader-contact information, please use: GoDigital@redeyeondemand.com, www.RedEyeOnDemand.com, 866-882-6934. International: 1-952-906-2725

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Investor Contact:
Shane Glenn
(952) 294-3416
sglenn@stratasys.com

Editorial Contact:
Ruth Jacques
RedEye
952-294-3420
Ruth.Jacques@redeyeondemand.com