Rehovoth, Israel, July 19, 2002 - Nova Measuring Instruments Ltd. (NASDAQ:NVMI), a leading developer of integrated process control systems for the semiconductor industry, announced today the launch of the NovaScan 2040, the fastest and most advanced Integrated Metrology system for emerging high-end chemical mechanical polishing (CMP) applications.

NovaScan 2040 delivers high quality performance with an overall measurement time of ten seconds per wafer for five measurement sites, compatible with all high-throughput polishers. In addition to the raw speed offered by the system, Nova has, during the development of the 2040, taken advantage of close relations with key CMP polisher providers to create a system that enables optimized sequencing within the polisher, and between the polisher and the NovaScan. Thereby, keeping the effective throughput of the polisher intact. The use of an advanced wafer buffering system with parallel handling enables increased throughput with all wafers measured both pre -and post-polish.

Nova is the only Integrated Metrology provider to offer both wet and dry integrations. This allows customers a larger set of options from which to choose, based on their BKM (Best Known Method) and price/performance considerations. Building upon capabilities of the industry leading NovaScan series, the NovaScan 2040 applies UV spectrophotometry technology to accurately measure the thickness of dielectric and conducting transparent advanced stacks, in a non-contact process environment, down to 200?. Thus, enabling the tightest possible wafer-to-wafer and within-wafer process control. NovaScan 2040 patented, non-contact wafer in-air or in-water technology eliminates operator handling or intervention. Proven effective and implemented industry-wide, this technology eliminates the need for external verification after cleaning and drying, further simplifying the process and creating further added value for customers.

Commenting on the announcement, Mr. Ronen Frish, VP Sales & Marketing said, "We at Nova are committed to providing our customers with the most advanced, highest speed integrated process control solutions for a wide range of applications throughout the manufacturing line. Since the 200mm polishers offered by leading vendors are NovaReady, the NovaScan 2040 will become a logical, cost-effective, and field-proven upgrade path for semiconductor manufacturers. Operating in either air or water, this advanced integrated platform has been designed to meet all high-end application requirements while enhancing throughput and maximizing return on investment."

Nova's complete line of systems will be displayed at SEMICON West 2002, Visit Nova's booth #2806, at the Moscone Center in San Francisco, July 22-24, to learn more about the company's new IPC products and solutions.

About Nova:
Nova Measuring Instruments Ltd. develops, designs and produces integrated process control systems in the semiconductor manufacturing industry. Nova provides a broad range of integrated process control solutions that link between different semiconductor processes and process equipment. The company's web site is www.nova.co.il.

This press release may contain forward-looking statements, including statements related to anticipated growth rates, manufacturing capacity and tax rate. Actual results may differ materially from those projected due to a number of risks, including changes in customer demands for our products, new product offerings from our competitors, changes in or an inability to execute our business strategy, unanticipated manufacturing or supply problems, or changes in tax requirements. Nova cannot guarantee future results, levels of activity, performance or achievements. The matters discussed in this press release also involve risks and uncertainties summarized under the heading ``Risk Factors'' in Nova's Form F-1 filed with the Securities and Exchange Commission on April 9, 2000. These factors are updated from time to time through the filing of reports and registration statements with the Securities and Exchange Commission. Nova Measuring Instruments Ltd. does not assume any obligation to update the forward-looking information contained in this press release.