Item 2.05 Costs Associated with Exit or Disposal Activities.

On May 19, 2009, Axcelis Technologies, Inc. ("Axcelis") communicated a plan of termination to employees under which material charges will be incurred under generally accepted accounting principles applicable to Axcelis. These reductions were required to better align Axcelis' operating costs with near term revenue expectations in light of the severity of the downturn in semiconductor capital equipment industry. The reductions are estimated to yield savings of $25 million annually.

Axcelis anticipates recording restructuring charges in connection with one-time termination benefits in the range of $5 million to $6 million during the second quarter of 2009. These benefits will be paid in cash to employees, over their severance periods. No other type of costs are expected to be incurred in connection with this action.

On May 20, 2009, the Company issued a press release disclosing the plan of termination. A copy of the Company's press release is furnished with this Current Report on Form 8-K as Exhibit 99.1 and incorporated herein by reference.

Item 9.01 Financial Statements and Exhibits

(c) Exhibits

Exhibit No. Description
99.1 Press Release dated May 20, 2009

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