YAVNE, ISRAEL – Orbotech Ltd. today updated its 2007 revenue forecast for flat panel display inspection equipment to about $50 million, approximately $35 million less than previously anticipated.

About $20 million worth of sales will come in the second half, the company said in a statement today.

After the first quarter, the company indicated it expected a downturn due to lower spending by FPD manufacturers. This downturn is now estimated to be deeper than previously anticipated, as LCD manufacturers delay scheduled “move in” dates for new fabrication facilities to mid-2008, Orbotech said.