(NASDAQ: CRAY), announced today they
are collaborating to offer a highly affordable solution that provides local
forecast information for a variety of uses that is scalable, flexible,
entirely customizable and delivered on the award -winning Cray XD1
supercomputer. It provides localized model forecast elements such as
temperatures , winds, pressure and precipitation, to assist in weather
forecasting, scientific research or operational support.

geoscience hydrosphere

com. These include the technical
challenges of developing high-performance computing systems , the successful
porting of application programs to Cray computer systems, reliance on
third-party suppliers, and Cray's ability to keep up with rapid
technological change.

Cray is a registered trademark, and Cray XD1 is a trademark, of Cray Inc.

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The Cray XD1 system also provides application acceleration
capabilities using field-programmable gate array (FPGA) technology tightly
connected to the direct -connect structure.gov/home

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The x86-based Cray XD1 system supports a broad range of 32-
and 64-bit HPC applications on AMD Opteron single- or dual-core
processors. For a discussion of these and other risks, see
"Factors That Could Affect Future Results" in Cray's most recent Quarterly
Report on Form 10-Q filed with the SEC.

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The AER software is based on science and technology
originally developed to support severe weather forecasting for the Athens
Olympics. The Cray XD1 supercomputer's scalability for meeting
high-performance processing requirements, and AER's nCast software
architecture with unique storm advection and visualization capabilities,
complement each other, benefiting the customer and delivering valuable
environmental information as web-based graphics for mission-critical uses . AER provides
web-based graphical products as well as GRIB products, installation and
model training , and support and maintenance packages.
Building on years of experience in designing, developing, marketing and
servicing the world's most advanced supercomputers, Cray offers a
comprehensive portfolio of HPC systems that deliver unrivaled sustained
performance on a wide range of applications .com for more
information.
The program has three components: the Geospace Supporting Research and
Technology program supports theoretical research, development and exercise of
models and simulations , analysis and interpretation of data to identify and
understand the physical processes important to geospace structure and
dynamics; the Geospace Instrument Development Program supports the development
of instrument technologies that show promise for use in scientific
investigations on future geospace science missions; and the Geospace Low Cost
Access to Space program supports research in geospace science that requires
the space-flight of instrumentation.

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Optional features
include automated alerting, key forecast indices and cloud or precipitation
advection models.

NASA Awards University of Alaska Science Grant

For information about NASA and agency programs on the Web, visit:

http://www.

Earth science, also known as geoscience, is the study of the physical properties of the land, atmosphere, inland waters and oceans on earth.

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PRESS RELEASE AER Partnering With Cray to Offer Advanced Modeling Capabilities on Cray's XD1 System

AER Web Site

nCast is a local weather software package that is easily tailored to meet
very specific needs. In
addition to its Lexington , MA headquarters, AER has offices in Omaha, NE,
and San Francisco, CA. All other trademarks are the property of their respective
owners.

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Purpose-built for demanding HPC applications such
as computational chemistry, environmental forecasting and CAE, the Cray XD1
system lets users simulate, analyze and solve complex problems more quickly
and accurately.aer.

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AMD, AMD Opteron and combinations thereof are trademarks of Advanced Micro
Devices, Inc.
The research also supports the Vision for Space Exploration, NASA's long-
term plan to return astronauts to the moon and extend exploration to Mars and
beyond.

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Atmospheric and Environmental
Research, Inc., a leader in earth, atmosphere and space science R&D, and
global supercomputer leader Cray Inc.

The Cray XD1 supercomputer combines direct-connect system architecture,
high-performance computing (HPC)-optimized Linux, management and
reconfigurable computing technologies to deliver exceptional performance on
real-world applications .

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About Cray

As the global leader in HPC, Cray provides innovative supercomputing
systems that enable scientists and engineers in government, industry and
academia to meet both existing and future computational challenges. There are certain
factors that could cause Cray's execution plans to differ materially from
those anticipated by the statements above.nasa.

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Forecasting severe
weather with tools such as these has relevance worldwide," stated Per
Nyberg, Cray's Earth Sciences Business Manager.

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The combination of AER's advanced science and Cray's powerful
supercomputers offers an end-to-end solution for addressing the local
forecasting and alerting needs of organizations constrained by modest or
limited budgets.

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"We are enthusiastic about the potential of our modeling and alerting
capabilities on the Cray platform. The AER-Cray solution is very well
suited to deliver exceptional results for a broad range of users," said
Cecilia Sze, AER's President and CEO.

About AER

Founded in 1977, Atmospheric and Environmental Research, Inc.

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WASHINGTON , NASA's Science Mission Directorate,
Washington awarded the University of Alaska, Fairbanks, a geospace science
program grant with a maximum value of $386,779.
NASA solicited proposals for the program to support its goal of
understanding the space that surrounds and is influenced by various solar
system bodies.

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Go to www.

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cray.

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"AER's advanced science has resulted in an application that offers the same
flexibility and scalability supported by our hardware, and leverages the
benefits of Cray's superior price/performance metrics.

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is an
award-winning environmental research and consulting company with
demonstrated expertise in numerical weather prediction, remote sensing,
satellite meteorology, climate dynamics and radiation, circulation
diagnostics, atmospheric chemistry, air quality and risk assessment,
oceanography, planetary sciences, space weather and systems engineering . For more information, visit our web site at
www. Supported studies cover regions that begin with Earth's
neutral upper atmosphere, extend outwards through the ionosphere and beyond
the magnetosphere .

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Safe Harbor Statement

This press release contains forward-looking statements.