APPLICATIONS

SEATTLE, WA – Supercomputer provider Cray Inc. (Nasdaq:CRAY) today announced that it has received an order valued at more than $16 million from the U.S. Department of Defense for a Cray T3E supercomputer system and related services. Delivery is scheduled for the third quarter of 2002. No other details were disclosed. With this order and other orders closed during the quarter ended March 31, 2002, Cray's backlog exceeded $37 million. ``In our most recent financial guidance we indicated we anticipated over $30 million of booked orders at the end of the quarter,'' said Jim Rottsolk, president and chief executive officer. ``We are very pleased to have exceeded that goal, and it's a tribute to the efforts of our entire staff.'' ``It was just two years ago that we formed Cray Inc.,'' said Rottsolk. ``Since that time we have assembled the broadest range of high performance computer products and services in the industry. With the Cray MTA-2 now in production and the Cray SV-2 nearing production, these new products in particular offer the opportunity for accelerating growth ahead, and we believe we are well on the road to more consistent performance. These accomplishments have taken the combined efforts of the entire Cray family and the support of our customers and vendors to accomplish. We look forward to continued success.''