SEATTLE, WA -- (MARKET WIRE) -- 10/09/2006 -- Global supercomputer leader Cray Inc. (NASDAQ: CRAY) today announced that CSC Finland, the Finnish IT center for science, will acquire a Cray massively parallel processing (MPP) system delivering over 70 teraflops (70 trillion floating point operations per second) of compute power to CSC's high performance computing users. The new Cray supercomputer, code-named Hood, will be installed in stages beginning later this year and continuing through 2008. It will replace a four-year-old cluster system that can no longer keep pace with the performance needs of the Finnish research community, which is currently doubling its computer usage every 16 months.

"We selected the Cray Hood supercomputer after an extensive acquisition process that involved surveying 35 different research groups, closely analyzing the available technologies and benchmarking competing systems," said Kimmo Koski, managing director of CSC Finland. "Our goal was to procure the most powerful system for the funds that we had available. The new Cray supercomputer will provide the capability required by our diverse research groups and bring Finland back to the leading edge in Europe."

CSC provides IT infrastructure, skills and specialist services for universities, polytechnic colleges, research institutions and companies across Finland, and collaborates with various research institutions worldwide. The new Hood system will be used for research in areas such as physics, chemistry, nanotechnology, linguistics, bioscience, applied mathematics and engineering. The acquisition project was started in 2005 based on the budget proposal of Finland's Ministry of Education and the Council of State.

"We are delighted to welcome CSC Finland as a Cray customer," said Ulla Thiel, vice president of Cray Europe. "As one of the most prominent supercomputing centers in Europe with a broad range of high performance computing disciplines, CSC is in an excellent position to maximize the advantages of our new Hood MPP system in solving the most demanding scientific problems and exceeding the requirements of a production supercomputer environment."

Hood is the successor to the Cray XT3™ supercomputer that has set new performance records and was named Product of the Year by Scientific Computing & Instrumentation in 2005. The Hood architecture is designed for superior scalability and unsurpassed sustained performance on a wide range of scientific applications. It employs thousands of AMD Opteron™ processors running a lightweight operating system tuned to optimize sustained application performance. Processors are interconnected on a high-bandwidth, low-latency communications network custom designed for scale by Cray, based on HyperTransport™ technology and the unique Cray SeaStar™ routing and communications chip.

About CSC

CSC, the Finnish IT center for science, develops and offers high-quality IT services as part of the Finnish national research structure. Located in Espoo, Finland, CSC participates in a wide range of national and international research projects based on advanced computational science. Research partners and collaborating organizations include educational and research institutions, commercial enterprises and the European Union. Go to www.csc.fi/suomi/info/index.phtml.en for more information.

About Cray Inc.

As a global leader in supercomputing, Cray provides highly advanced supercomputers and world-class services and support to government, industry and academia. Cray technology enables scientists and engineers to achieve remarkable breakthroughs by accelerating performance, improving efficiency and extending the capabilities of their most demanding applications. Cray's Adaptive Supercomputing vision will result in innovative next-generation products that integrate diverse processing technologies into a unified architecture, allowing customers to surpass today's limitations and meeting the market's continued demand for realized performance. For more information, go to www.cray.com.

Safe Harbor Statement

This press release contains forward-looking statements. There are certain factors that could cause Cray's execution plans to differ materially from those anticipated by the statements above. Among these are the technical challenges of developing high performance computing systems, including potential delays in development projects; timing and level of government support for supercomputer purchases and research and development activities; reliance on third-party suppliers, including delays in availability of parts from suppliers; timing of and successful porting of application programs to new computing systems; and successful passing of acceptance tests. For a discussion of these and other risks, see "Risk Factors" in Cray's most recent Quarterly Report on Form 10-Q filed with the SEC.

Cray is a registered trademark, and Cray XT3 and Cray SeaStar are trademarks, of Cray Inc. AMD, AMD Opteron and combinations thereof are trademarks of Advanced Micro Devices, Inc. HyperTransport is a licensed trademark of the HyperTransport Technology Consortium. All other trademarks are the property of their respective owners.