DIX HILLS, NY - Solar Thin Films, Inc. (OTC BB:SLTN.OB - News) today announced the formation of Solar Thin Power, Inc., a majority owned subsidiary. The purpose of the subsidiary is to pursue international and domestic opportunities to participate in solar energy power projects as part of a strategy to drive increased demand for its line of thin film photovoltaic manufacturing equipment. The subsidiary will primarily pursue opportunities in Europe (and in particular Greece), North America and the Far East and intends to open an office in Athens, Greece in the near future to seek out and obtain new and existing licenses under government programs designed to stimulate the production of solar energy. It is anticipated that the subsidiary will be involved in the project management, marketing and finance of large-scale power projects. These projects will require a substantial supply of thin film photovoltaic modules that may be acquired from existing and new customers of Solar Thin Films' line of manufacturing equipment.

About Solar Thin Films

Solar Thin Films (www.solarthinfilms.com) develops, manufactures and markets a complete line of manufacturing equipment for the production of "thin-film" amorphous silicon and CIGS photovoltaic ("PV") modules, together with a wholly owned subsidiary based in Budapest, Hungary. Personnel associated with the company have been responsible for the setup of 14 thin-film photovoltaic factories worldwide. The Company sells equipment directly to customers including EPV Solar (Hamilton, NJ, USA) and CG Solar (Weihai, China) and offers "turnkey factories" through technology partners including Amelio Solar, Inc. (Ewing, NJ, USA). Management believes that its line of cost-effective thin-film photovoltaic manufacturing equipment positions the Company to take advantage of the rapidly growing demand for solar modules and an expected market shift towards "thin film" PV modules as part of a cost effective, "clean technology" energy solution.

Forward-Looking Safe Harbor Statement

Statements in this news release regarding future financial and operating results, potential applications of the Company's technology, opportunities for the Company, and any other statements about the future expectations, beliefs, goals, plans, or prospects expressed constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements that are not statements of historical fact (including statements containing the words "will," "believes," "plans," "anticipates," "expects," "estimates," and similar expressions) should also be considered to be forward-looking statements. There are a number of important factors that could cause actual results or events to differ materially from those indicated by such forward-looking statements including: limited operating history, need for future capital, and economic conditions generally. Additional information on potential factors that could affect results and other risks and uncertainties are detailed from time to time in the Company's periodic reports, including Forms 10-KSB, 10-QSB, 8-K, and other forms filed with the Securities and Exchange Commission ("SEC").

These statements, and other forward-looking statements, are not guarantees of future performance and involve risks and uncertainties.