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<br>New Xerox Phaser Hits 36 Color ppm
Xerox Rolls out Fast, Affordable Phaser 7400 Color Printer, Versatile Multifunction Systems. New Black-and-White Systems Deliver High Quality, Performance.

WILSONVILLE, OR, Oct. 10, 2005 - Xerox Corporation (NYSE:XRX) today unveiled four additions to its growing office line, including a network printer that runs 33 percent faster and costs $550 less than the closest comparable competitive model from Hewlett-Packard.

Fastest in Class
At a starting price of $2,999, the Xerox Phaser(R) 7400 is the fastest desktop color printer in its class. It equips small- and medium-sized businesses to turn out high-quality spreadsheets, brochures, presentations and other business-critical documents at 36 color or 40 black-and-white pages per minute.

In addition, Xerox has launched a family of three black-and-white office multifunction, printing and copying products featuring exceptional print quality. The most advanced is the Xerox WorkCentre(R) Pro 133, a 33-ppm multifunction system that combines printing, copying, scanning, faxing and e-mailing in one easy-to-use system.

The offerings are the latest in a series of 40 Xerox office printers and multifunction products announced this year. Virtually all of Xerox's office product line has been refreshed within the past two years.

"Productivity and value spell success for small- and medium-sized
businesses, and that's what these hard-working Xerox products
deliver," said Tim Williams, president, Xerox Office Group. "They
perform better than the competition while being easy to use, reliable
and versatile. These attributes help customers stay focused on their
business and work smarter."

Xerox Phaser 7400
Like other Xerox Phaser products, the Phaser 7400 delivers
industry-leading printing speeds, vivid color and reliable operation.
The Phaser 7400 supports not only letter-size paper but also media
sizes up to 12" x 18" and heavier media weights up to 270 gsm so
people can print spreadsheets, brochures, presentations and
collaterals on a variety of paper sizes and types. Finishing features
that were not previously available in the Phaser printer line --
including booklet making, saddle stitching, stapling and hole punching
for up to 1,000 sheets -- are optional.

The Phaser 7400's combination of low price and high performance
helps customers increase productivity, control costs, and print the
materials they need to conduct business in-house and on-demand.

Customer replaceable consumables are now top-loading so people can
replace toner cartridges, imaging units, and other consumables without
pulling the printer away form the wall or turning the printer to
access the consumables. Network connectivity is a standard feature on
all configurations of the Phaser 7400.

Xerox CopyCentre/WorkCentre/WorkCentre Pro 133
The 33-ppm black-and-white family includes a multifunction system,
digital copier and digital copier/printer. For customers that want to
consolidate stand-alone equipment, the WorkCentre Pro 133 monochrome
MFP offers best-in-class media support from 16 lb. to 110 lb. and
print quality up to 1200 x 1200 dpi. These multifunction systems can
handle multiple jobs at the same time, allowing an office worker to
scan a document while a print job is running. With a 20GB hard drive,
Adobe Postscript 3 and the ability to handle paper as heavy as 110 lb.
index, these systems have the power to print complex office documents
quickly.

The CopyCentre(R) 133 stand-alone digital copier starts at an
estimated retail price of $5,148; the WorkCentre(R) 133 copier/printer
offers copying and printing with optional fax and starts at $6,148;
and the WorkCentre Pro 133 advanced multifunction system starts at
$8,899. These products further expand Xerox's line of multifunction
systems available through resellers and dealers.

All three systems use Xerox's patented emulsion aggregation (EA)
toner, which standardizes the size and shape of toner particles so
prints and copies have sharper image quality and fine line text. EA
toner uses an environmentally friendly manufacturing process that
consumes an estimated 25 percent less energy than traditional toner,
and it avoids the use of organic solvents commonly required to make
particles in the nanometer-or-less size range.

Availability
The Phaser 7400 comes with a one-year, on-site warranty and is available immediately worldwide through Xerox authorized resellers, distributors, authorized sales agents, dealers, direct sales, concessionaires, via 800-ASK-XEROX and http://www.xerox.com/direct. The CopyCentre 133, WorkCentre 133, and WorkCentre Pro 133 are available immediately in North America through Xerox authorized dealers and resellers, and they also are available in developing markets.
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