<SEC-DOCUMENT>0001156973-07-000736.txt : 20140306
<SEC-HEADER>0001156973-07-000736.hdr.sgml : 20140306
<ACCEPTANCE-DATETIME>20070504160951
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0001156973-07-000736
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		2
FILED AS OF DATE:		20070504

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			ASML HOLDING NV
		CENTRAL INDEX KEY:			0000937966
		STANDARD INDUSTRIAL CLASSIFICATION:	SPECIAL INDUSTRY MACHINERY, NEC [3559]
		IRS NUMBER:				000000000
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		DE RUN 6501
		CITY:			DR VELDHOVEN
		STATE:			P7
		ZIP:			5504
		BUSINESS PHONE:		31402683000

	MAIL ADDRESS:	
		STREET 1:		P.O. BOX 324
		CITY:			AH VELDHOVEN
		STATE:			P7
		ZIP:			5500

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	ASM LITHOGRAPHY HOLDING NV
		DATE OF NAME CHANGE:	19950215
</SEC-HEADER>
<DOCUMENT>
<TYPE>CORRESP
<SEQUENCE>1
<FILENAME>filename1.htm
<TEXT>
<HTML>
<HEAD>
<TITLE>corresp</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="14%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="70%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="14%">&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD colspan="5" valign="top" align="center"><FONT style="font-size:18pt"><FONT style="font-variant: SMALL-CAPS">Skadden, Arps, Slate, Meagher &#038; Flom (UK)&nbsp;llp</FONT></FONT><BR></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">40 BANK STREET<BR>
CANARY WHARF<BR>
LONDON E14 5DS<BR>
&#151;<BR>
(020)&nbsp;7519-7000<BR>
Fax: (020)&nbsp;7519-7070<BR>
www.skadden.com<BR>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><BR>AFFILIATE OFFICES<BR>
&#151;<BR>
BOSTON<BR>
CHICAGO<BR>
HOUSTON<BR>
LOS ANGELES<BR>
NEW YORK<BR>
PALO ALTO<BR>
SAN FRANCISCO<BR>
WASHINGTON, D.C.<BR>
WILMINGTON<BR>
&#151;<BR>
BEIJING<BR>
BRUSSELS<BR>
FRANKFURT<BR>
HONG KONG<BR>
MOSCOW<BR>
MUNICH<BR>
PARIS<BR>
SINGAPORE<BR>
SYDNEY<BR>
TOKYO<BR>
TORONTO<BR>
VIENNA</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">May&nbsp;4, 2007</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Via EDGAR and Hand Delivery</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
Division of Corporate Finance<BR>
100 F Street, NE<BR>
Washington, D.C. 20549

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Attention: Brian Cascio, Accounting Branch Chief

</DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 6pt">RE: <U>ASML Holding N.V. Form 20-F for the fiscal year ended
December&nbsp;31, 2006 (File No.&nbsp;000-25566)</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Dear Mr.&nbsp;Cascio:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On behalf of ASML Holding N.V. (&#147;ASML&#148; or the &#147;Company&#148;), we are writing to respond to the
comments set forth in your letter to Mr.&nbsp;Peter T.F.M. Wennink, dated April&nbsp;10, 2007, with respect
to the above referenced filing of the Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Set forth below are the responses to the Staff&#146;s comments, which have been provided in each
case following the text of the comment in the Staff&#146;s letter.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>


<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
May&nbsp;4, 2007<BR>
Page 2<BR>
&nbsp;

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U><B>Form&nbsp;20-F for the year ended December&nbsp;31, 2006</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>Item&nbsp;5. Operating and Financial Review Prospects &#151; Page 23</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>A. Operating Results &#151; Page 23</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B><U>Critical
Accounting Policies Using Significant Estimates &#151; Page 23</U></B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U><B>Share-based compensation expenses &#151; Page 26</B></U></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Comment 1:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><I>We see that during fiscal year 2006 you began using the implied volatility of your publicly
traded stock options to estimate the stock price volatility. We note that the volatility
used in the Black Scholes valuation method decreased from 65.6% in 2005 to 30% in 2006 as a
result of this change. Please tell us how you determined that implied volatility is more
reflective of market conditions and a better indicator of expected volatility. Your
explanation should include (a)&nbsp;why you changed your method of determining estimated
volatility and (b)&nbsp;why you now only use implied volatility and not a combination of
historical and implied volatility. Your response should also include your evaluation of the
factors listed in Questions 3 and 4 of SAB Topic 14.D.1. In future filings, provide the
disclosures in Question 5 of SAB Topic 14.D.1 including a summary of your evaluation of the
factors listed in Questions 2 and 3. We also refer you to SEC Release No.&nbsp;FR-60 and Section
V, &#147;Critical Accounting Estimates,&#148; in SEC Release No.&nbsp;FR-72.</I></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Response:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ASML wishes to inform the Staff that the Company changed its method of estimating expected
share price volatility as of January&nbsp;1, 2006 from the exclusive use of historical volatility
to the exclusive use of implied volatility primarily because historical volatility showed a
significant and consistent downward trend over the past five years that ASML believes is the
result of the semiconductor industry becoming more mature and less cyclical. ASML also
examined implied volatility indirectly calculated from current traded option prices reported
by Bloomberg using an option pricing model (Black Scholes). Based on this analysis, ASML
concluded that average historical share price volatility over a period commensurate with the
expected term of its employee stock options (4-5&nbsp;years) is no longer likely to be indicative
of future share price movements. Instead, the Company concluded that the use of implied
volatility results in a more accurate estimate of the expected share price volatility
because it more appropriately reflects market expectations.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">As disclosed in Item&nbsp;3A under Historical Data in ASML&#146;s Annual Report on Form&nbsp;20-F for the
year ended December&nbsp;31, 2006, ASML&#146;s historical share price volatility decreased from 89% in
2002 to 28% in 2006. The implied volatility in
respect of 2006 applied by ASML was approximately 30%, which is
significantly lower
than the average historical volatility of 55% over the five year period then ended,
and much closer to the actual volatility of ASML&#146;s share price in 2006 of 28%.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
May&nbsp;4, 2007<BR>
Page 3<BR>
&nbsp;

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->

<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ASML also considered whether it could exclusively rely on implied volatility. SAB
Topic 14.D.1 provides guidance that an issuer with actively traded stock options
generally should consider when evaluating the extent of its reliance on the implied
volatility derived from those traded options as an estimate of expected volatility.
Questions 3 and 4 of the Topic provide factors to consider when conducting this
analysis. The Company has considered the factors set forth in Question 3 and 4 as
follows:</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="12%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="86%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U>Valuation model with constant volatility</U><BR>
ASML uses the Black Scholes option valuation model to value its employee stock
options. This model is based upon a constant volatility assumption.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U>Volume of market activity</U><BR>
ASML has actively traded shares and actively traded stock options on Euronext.
In 2006, 280&nbsp;million options were traded on Euronext; ASML had approximately 477
million shares outstanding at December&nbsp;31, 2006.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U>Synchronization of variables</U><BR>
ASML measures market prices (trades or quotes) of traded options and underlying
shares at a similar point in time to each other and on a date reasonably close
to the grant date of the employee stock options. For 2006, ASML measured market
prices of traded options and underlying shares at the grant dates of the
employee stock options, and compared such prices to the implied volatility as
calculated by Bloomberg at the grant dates.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U>Similarity of exercise prices</U><BR>
ASML uses the implied volatility as calculated by Bloomberg, which is based on
multiple traded stock options with an average exercise price close to the
exercise price of the Company&#146;s employee share options.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U>Similarity of length of terms</U><BR>
ASML uses implied volatility as calculated by Bloomberg, which is based on an
average of traded stock options that have a remaining maturity of up to 4&nbsp;years,
a period commensurate with the expected 4-5&nbsp;year term of ASML&#146;s employee share
options at the time of grant. As the staff notes in footnote 50 of SAB Topic
14, the implied volatility derived from a traded option with a term of one year
or greater would typically not be significantly different from the implied
volatility that would be derived from a traded option with a
significantly longer term.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
May&nbsp;4, 2007<BR>
Page 4<BR>
&nbsp;

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="12%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="86%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Based on the foregoing, ASML believes that consideration of the factors set forth
in SAB Topic 14.D.1 Questions 3 and 4 supports its conclusion that it is
appropriate to exclusively rely on implied volatility as an estimate of expected
stock price volatility to be consistently applied for stock option grants
occurring after January&nbsp;1, 2006.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ASML wishes to inform the staff that in future filings of its Annual Report on
Form&nbsp;20-F, the Company will provide substantially the following disclosures in
Item&nbsp;5A under Critical Accounting Policies and in Note 13 to the Consolidated
Financial Statements in accordance with SAB Topic 14.D.1 Question 5 and SEC
Release No FR-60 and FR-72:</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="14%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="84%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#147;We changed our method of estimating expected volatility for all stock options
granted after January&nbsp;1, 2006 from the exclusive use of historical volatility to
the exclusive use of implied volatility. The primary reason for this change is
that historical volatility had showed a significant and consistent downward trend
over the five years ended December&nbsp;31, 2006, which we believe is the result of the
semiconductor industry becoming more mature and less cyclical. Within this period,
historical share price volatility decreased from 89% in 2002 to 28% in 2006. The
implied volatility as applied by ASML in 2006 was approximately 30%, which is
significantly lower than historical share price volatility of 55% over the
five-year period then ended, and was much closer to the actual volatility of
ASML&#146;s share price over fiscal year 2006 of 28%. Consequently, we no longer
believe that an average historical volatility over a period commensurate with the
expected term of the employee stock options (4-5&nbsp;years) is likely to be indicative
of future stock price behavior. Instead, we believe that the exclusive use of
implied volatility results in a more accurate estimate of the expected stock price
volatility because it more appropriately reflects market expectations of future
stock price volatility. Our stock options are actively traded on Euronext. For
this purpose, we use implied volatility as calculated by Bloomberg, which is based
on an average of traded stock options:</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;with market prices reasonably close to the date of grant;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;that have exercise prices close to the exercise price of the
employee stock options; and</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;that have a remaining maturity of up to 4&nbsp;years.&#148;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
May&nbsp;4, 2007<BR>
Page 5<BR>
&nbsp;

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U><B>Item&nbsp;15. Controls and Procedures &#151; Page 54</B></U></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Comment 2:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><I>It does not appear that your certifying officers have reached a
conclusion that your disclosure controls and procedures are
effective. Please confirm to us that, based on the evaluation
of the effectiveness of disclosure controls and procedures
performed by management of ASML, you have concluded that your
disclosure controls and procedures are effective. Please
revise future filings to appropriately address your officers&#146;
conclusions regarding the effectiveness of your disclosure
controls and procedures. Refer to Exchange Act Rule&nbsp;13a-15(e).</I></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Response:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The omission of the Chief Executive Officer&#146;s and Chief
Financial Officer&#146;s conclusion as to the effectiveness of
ASML&#146;s disclosure controls and procedures from the 2006 20-F
filing was an inadvertent error. The Company wishes to confirm
to the Staff that the Chief Executive Officer and Chief
Financial Officer, based on their evaluation of the
effectiveness of disclosure controls and procedures as of
December&nbsp;31, 2006, have concluded that ASML&#146;s disclosure
controls and procedures are effective.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ASML will appropriately address the conclusions of the Chief Executive Officer and
Chief Financial Officer regarding the effectiveness of disclosure controls and
procedures in future Annual Reports on Form&nbsp;20-F that the Company files with the
Commission.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B><U>Consolidated Financial Statements</U></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>Note 13. Employee Benefits &#151; Page F-24</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U><B>Stock Option Extension Plans and Financing &#151; Page F-27</B></U></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Comment 3:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><I>We see that for options issued prior to 2001, you offered a virtual financing arrangement whereby you
loaned the tax value of the options granted to employees and management under interest free loans which
are either repaid upon exercise of the options or forgiven if the options are not exercised. We also note
that in 2006 you issued options that will become effective only after options issued in 2000 expire and
that the virtual employee loan feature will be transferred to the new option, creating a perpetual loan.
Please tell us how you are accounting for the options issued prior to 2001 as well as the options issued
in 2006. Please reference the accounting literature in APB Opinion No.&nbsp;25, FIN 44, EITF 95-16, EITF 00-23
and SFAS 123-R, as appropriate, to substantiate the accounting treatment.</I></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Response:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The employee options issued prior to 2001 (the &#147;A Options&#148;) were accounted for under APB 25 and Fin 44 as
permitted under SFAS 123. In accordance with APB 25, the Company
accounted for stock option plans using the intrinsic value method
and provided pro forma disclosure of the impact of the fair value method on net
income and earnings per share. Under the intrinsic value method, no compensation
expense was recorded as the exercise price of the options was equal to the stock
price at the grant date.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
May&nbsp;4, 2007<BR>
Page 6<BR>
&nbsp;

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">In accordance with the Dutch wage tax law prior to 2001, the grant of stock options
to employees was a taxable event at the grant date. Employees were required to pay
wage tax on the fair value of the stock options as determined by the Dutch tax
authorities (&#147;Taxable Fair Value&#148;). However, Dutch tax laws permitted ASML and its
employees to avoid income tax payment by entering into a separate loan agreement
that required employees to pay to ASML the Taxable Fair Value at the exercise of A
Options. Since this structure avoided any tax payments at the date of grant, it did
not result in any cash flows between ASML, its employees or the Dutch tax
authorities, which is why ASML referred to the structure as a &#147;virtual financing
arrangement&#148;.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The exercise price of the A Options was equal to ASML&#146;s share price
at the date of grant. However, as a result of the loan structure as described
above, ASML effectively has increased the exercise price of the share option to
its employees, since the employees will only benefit from the exercise of the
share option if ASML&#146;s shares were trading in excess of the exercise price
<U>plus</U> the amount of the loan payable to ASML.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ASML believes that the structure implemented by ASML as described
above differs significantly from the structures described in EITF
95-16 and EITF 00-23. Therefore ASML believes EITF 95-16 and EITF
00-23 provide limited guidance for the accounting assessment of this
structure. However, ASML believes there is an analogy of the virtual
financing arrangement in the discussion set out in Issue 15 of EITF
00-23. In accordance with paragraph 49 of this Issue, ASML has
accounted for Option A as a fixed award as the loan amount is
determined and fixed at the grant date.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">After 2001, ASML&#146;s share price declined significantly to approximately
EUR 5; the share price is currently approximately EUR 20. The
effective exercise price of the A Options (including amounts payable
in respect of the associated loans) ranges from approximately EUR 45
to EUR 60, which is significantly above the current share price.
Management believes it is increasingly probable that the A Options
will expire unexercised. If the A Options expire unexercised the
associated loan issued to employees will be forgiven which would be a
taxable event. This would trigger a wage tax liability for the
employee which would be assumed by ASML in accordance with the loan
agreement. In order to preserve the value of the Company loan and
prevent the payment of wage tax, ASML decided to issue new options in
2006 (the &#147;B Options&#148;).</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
May&nbsp;4, 2007<BR>
Page 7<BR>
&nbsp;

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ASML has accounted for the B Options under the provisions of SFAS
123R. In accordance with SFAS 123R, the Company recorded the fair
value of the options (EUR 0.8&nbsp;million) as an expense in 2006.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The B Options issued in 2006 can only be exercised in the event that
the A Options expire unexercised; the A Options expire between 2008
and 2012. The B Options have an indefinite term and the exercise
price of B Options is equal to the share price of ASML at the date of
grant in 2006. The B Options have no vesting requirements and as such
there is no service period related to these options. Furthermore, the
B Options are mandatorily exercisable when ASML&#146;s share price reaches
a level sufficient for the loan and related wage tax to be repaid from
the proceeds with a gain of EUR 1 per stock option remaining for the
employee. In return for the grant of the B Options to employees, the
loan payable to ASML was converted into a perpetual loan that will no
longer be forgiven at the unexercised expiration of A Options. Since
the B Options do not have a service period, the fair value of the
options was expensed in full at the grant date in 2006 in accordance
with SFAS 123R.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">* * * *
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
May&nbsp;4, 2007<BR>
Page 8<BR>
&nbsp;

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In response to the Staff&#146;s request, enclosed is an acknowledgement letter from Mr.&nbsp;Peter
T.F.M. Wennink, Chief Financial Officer of ASML.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Please send a copy of any additional correspondence to the undersigned at 40 Bank Street,
Canary Wharf, London E14 5DS, United Kingdom, facsimile 011 44 20 7519 7070. If you would like to
discuss any aspect of the Company&#146;s response, please call me on 011 44 207 519 7171, or in my
absence James McDonald on 011 44 207 519 7183, Peter van den Oord of ASML Holding N.V. on 011 31 40
268 5041 or Alfred Popken of Deloitte &#038; Touche L.L.P. on 212 436 3693.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">Sincerely,

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%"><U>/s/ Richard A. Ely</U>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">Richard A. Ely

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="65%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Cc:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><I>Securities and Exchange Commission</I></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Kristin Lochhead</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Martin James</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><I>ASML Holding N.V.</I></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Peter Wennink</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Robert Roelofs</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Bert Savonije</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Peter van den Oord</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><I>Deloitte Accountants B.V./Deloitte &#038; Touche L.L.P.</I></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Jan Bune</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Pieter van de Goor</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Alfred Popken</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-left: 80%; margin-top: 6pt"><IMG src="u52605u5259400.gif" alt="(ASML LOGO)">
</DIV>



<DIV align="left" style="font-size: 10pt; margin-left: 80%; margin-top: 6pt">ASML Holding N.V.<BR>
<BR>
De Run 6501<BR>
5504 DR VELDHOVEN<BR>
The Netherlands
</DIV>

<DIV align="left" style="font-size: 10pt; margin-left: 80%; margin-top: 6pt">Phone &#043;31-40-268 3000
</DIV>

<DIV align="left" style="font-size: 10pt; margin-left: 80%; margin-top: 6pt">www.asml.com
</DIV>

<DIV align="left" style="font-size: 10pt; margin-left: 80%; margin-top: 6pt">Trade Register 17085815<BR><BR>
Eindhoven, The Netherlands
</DIV>

<DIV style="margin-top: 24pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Division of Corporation Finance<BR>
Securities and Exchange Commission<BR>
Judiciary Plaza<BR>
450 Fifth street, N.W.<BR>
Washington, DC 20549<BR>
Attention: Brian Cascio, Accounting Branch Chief</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">

</DIV>

<DIV style="margin-top: 24pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Date&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;May&nbsp;4, 2007</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 24pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Reference
Subject&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ASML
Holding N.V. Form 20-F for the fiscal year ended<BR>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
<U>December&nbsp;31, 2006 (File No.&nbsp;000-25566)</U></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 24pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Dear Mr.&nbsp;Cascio,</TD>
</TR>

<TR>
    <TD style="font-size: 24pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In response to the request of the staff of the Securities and Exchange Commission
(the &#147;Commission&#148;) set forth in the staff&#146;s letter to ASML Holding N.V. (the
&#147;Company&#148;) dated April&nbsp;10, 2007, the Company hereby acknowledges that:</TD>
</TR>

</TABLE>
</DIV>


<DIV style="margin-top: 18pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the Company is responsible for the adequacy and
accuracy of the disclosure in the filing;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>staff comments or changes to disclosure in
response to staff comments do not foreclose the Commission from taking
any action with respect to the filing; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the Company may not assert staff comments as a
defense in any proceeding initiated by the Commission or any person
under the federal securities laws of the United States.</TD>
</TR>

</TABLE>
</DIV><TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>


<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">ASML HOLDING N.V.<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" align="left"><U>/s/ Peter T. F. M. Wennink</U>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Peter T. F. M. Wennink&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Chief Financial Officer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<P align="center" style="font-size: 10pt">
</DIV>
</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>2
<FILENAME>u52605u5259400.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 u52605u5259400.gif
M1TE&.#EABP`F`.8``%%14>7EY>?GYX&!@55552`@(-+2TC4U-<_/SSHZ.M_?
MWQP<'#`P,(B(B!D9&4%!0;FYN:BHJ!$1$3T]/=C8V+JZNHZ.CBPL++2TM)24
ME*ZNKA45%<7%Q:JJJKZ^OBDI*5I:6LK*RNSL[,#`P`,#`Y"0D)*2DJ"@H'Y^
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M;+:VMLW-S>KJZM75U</#P^OKZ];6U@$!`?W]_?[^_@```/___R'Y!```````
M+`````"+`"8```?_@'^"@X2%?'Q8/1)I?7V%CY"1DI.4E9:7F)F&;"P2%G$<
M?)JCI*6FIY5]?%0N&R=C#P]RJHZHMK>XN*I?+@P-8#8).VHE7[6YR,G*D:I8
M)ALI=B`.'!4?3R)_C<O<W;>'6R@2-6!*4&D:,`EB#3ELHM[Q\IA\7R42+`)*
M"P97&S=R+!@90.78O(,("85!L2%"@`D)0FC88,-`"B,N%.@8<,@@J3Y:0G"Y
M0O(*%RYZLD!J!!*!!2``;@P!(20'`BP=_V!Q<[)DR0#'M*#A8++DR3:"&HDY
M0_0D!Z2CLG3(0('`!`QT"O`PT&.!"PH`#FC@L^U4GRHL/L!8RY:(@I58_^H`
M^2"#!`D_>_:0D/!!QPBR?[2H@<*V<(-C64:H+;S6A2-594HP+H'I,<LP2@J<
MH0/E@8(&#G3D0;(@`DN6IAJM6>"G=6L2#<L.ZA/D`MZ\)/+B)B'#0EDJ,ERW
MS@LBRS:0!83?!K#E-`*\K@=<(LN&@DIM=,!T*/#`3`,C2_+PV'"%+)\J8*C`
M^]BGC@3E>'^H*J2!M7"]>NWNN6#@6)?@PMG%@`+'L.$`?"0P8$595B@GG27G
MS0`%%TGU4<8"1+SQW0`4_+!!!:J0M5H*ZXW2R`!WP0=#%B7^D4"*PCFP@`Q[
MX$6`%H#]@4!N`9)0@`?'N`'C<#YZD&.#PCTH"?\M>:P`!P$;C*!%+1R@T8,1
M**PQQ`(A_'%(%1"(D$(!1>0TRA8PN%:`?7Z0@$<MC5Q1XW`;H.`&%5N(@$`#
M&[Q`2!\=N+87CS)D<%R@-1HA08J%,N@@):IDH48"11B@!`,[7-<'`@F@0,$0
M8IG'1QD/V"!'`P4T0,5'(?"XAPT`S.F'"_"HXH-R-(@`9Q]>-#$"(>&X)@$/
M@M*PC1<NY.7'`CSP2`(3CB:Y9"-?G`"'"S(TT,8$!P"IBA<A"&!#`1IXR4=B
M5V#@0!$*6-`;:I?T$48#NA5J08I[)%!&4GR<`%UK*&!Q6B-8>%'A&+'F5<``
MPCW`4@!$\,A`LG,2$6W_=))\:<`"0QB0@1%%Q`'"!AQ44<8,=WCP`0)G9%!%
M'V.,5\<9#H!@APE&O-!%BY/PL48"^4$10AKOM2E!ERQ5H&QK$F0@0"-F5FC`
M!VWNT2V,#KS#!Q<.Z$<`!/\6<.2CD?`A1@EHK"#!$'+$8$0#;H!0``=K<&M'
M`&DD<,`6*G1PQ@0PG('!!P!XD8$,/511F09&Z#?$%V-0W28)*6A#E@`T"FK$
M!454T%PAC:A!8U[8%(V7'HV<8%=K-*3QKP1B#((DQI&$$4`+!8R`P04'*("#
M#$"\,3($"-P@5@$`P&$&"MG"\4"4'C``P!@E%#!'%B]#6D4+1!Y6!0WX^?&!
M_W&US&&$K,(58`,&.39BP7![`-''$\*=0)80\)M0Q@:N[8&'[&2#A!1R`(8A
M,``/$;C`$!"``A@`X0XV8(`:IN:`&]0!`C1``Q*@T(`SW(`!&O#`!900D%0)
M#%)K.(!K'.`M#>C'#T8``V#Z0`$E&`$^DUO``,:0E.\)IW+X<PT0JN`%``Q'
M!ABH`@.$DP$`2BL2/X`!"P)@/#+085AM8%X,XF`#-5CA`T88@AXP(($6P`$)
M$C@!&"[```]`P`%SD(,)4/"Y2?3A!*9[`!BVX(4Q2$!6,YAA'Q0@A`,-!WXD
M,$(*7C:J!Q"I`W_H`+X20`4*+!$O,##`'W0@'"3`8_]VK5'2([2`K1-\@0=M
MQ(-6$,`"(\2@#WBXP`WNP(`'&*`"#D`"&E!@A!)0X`82X((!:E8&6E3B!DN3
MP0+6E($AR`H$>3!('\P0`2+`H"[X\E$%#A$"*+Q&,WTP`/\P&8<(C-,/!!A#
M'][GF@/LZP^@](,H"V&R!LC`"0$@0`'N0`8)3&$-+."`&_0V!C&D@5MLJ(`$
MD'`[(YP``4^8FQI.@(4J*(X28EA4_^PB`S(,X(:M*4`=I*F*+<3!`P``*5Y(
M((1&=&"<)$C`@MJ0)J,9X*.NZ8'`(`#2/13@#8*(YSP?P8<&2``'5J#!`BH0
MO2$T@@H8>`,+'$`!,*C@9;O_NT$<!B"#&+3A!ANP0U+L>(@,X)`$%Q@#!V`P
M)Q(T$72GJ0(=SN>:&P@B"3!J@1EX1;_<&`$#!)"5!AHASB-V"9X!9$87>@`#
M"UB!`!=PHQH.L8H(6,\`'/`"6;`0`0;80`\M@,(`ZN`$+%A"%5VX`0[]0`,M
MB(%8PT&"%ICQ)2C(:@*"X(&L+&`</A1A<GMH``/:BH9&!*"F;8(D8I^XI/-$
MH0!.(P(``D#9/M1@`2W(`P@2``9:"&8#/X!#"R1PA\KT`0V&A.$0=,#>4/3!
M!8+J72,L6J$04<$!2WN`EVSKFB#,9P;YV0,/TKL`K9DA`?T;0".$.AU[LL`,
M;:`%_Q\R@%T10&D&>J!#&!XS`O6Y(03&3$4?,I`B$GQ``'_JPPY`NI<<J`("
M3V`"!-+PAC:`P0-$"%`1_A``E>[!"O!X0^-:,^36.-4\2/C7`PX!RCU\P`8@
MB+*40?`#0U#!`C"(PWD.,0,91`%A)-!`"/26AQZ2P0$U.$N.(,6'"<@*"=?A
MEQXN:1<;-.)*B91``6"P`+JZ9@$8Z(,+Y[0!-M2B"@68DUY<XQNRK'-URWH'
M*%\('Q#`M0K4I6P)9)`"2VT@A`?H700BH%E'"*`YLJE$&I9&`BYXI`]?$`*D
M'="<!RQ-.7:QRP",@[\Y\4`VJE7.'F3P/RI!>@]WZ$,\<?^HEW(](D1]Z,()
M%L"$-/Q@`3ZX`@.>0(8(0.$%(C"MN3Q"B3"\+T4PJ..?=L!J,HC@CZNUBP2`
M`)0OT,\U+3W&'(:$EP+(@1!CR%QK(-"'-:SV/@Y`PTK(4H4FP'$,!%@`VO3&
M@3/;P`XL,$UU*Y-/"7A<`O+AV1_@X("/2P`%$(>"2H5CA`248,-]",`!3-X!
MV;!@`2;W^`1B-X@J?,#D3N"#`G).=(_?P`R3T((%BC`&(C@@`FY8``/@X`-J
MBV$."TC!?#*A"BU0X>M?QPG/J&6&KYOA"V31PAIV<`0@(*$%29C!&XQCN2IT
M@0I=N/M%DZ*%NX.="F<WR"K\WH7!+9PG[W]/_-<--HDJA$$,3S!"$#@0:C?4
M``8_$(,+/.$%>,4KU5`C-]1$H8HJ4+:ZA[#<#*,&^A#779JI-Y>CR3V;J*VD
M#UG(004@P(`#O,&<*!`!#22@`8'17L1</T99:"]-Y/_IV:FNT+3BY=H$W(`,
M$D(!`@8`7<,?/R'@]T8S<G`&7"+!#@S!01AL'_[VSZ,/9"B`$,2`.T-%W_WX
D]P8?NA`",11A`RP0!J;W??E7@,@`?S`0!,9'@`;8@)`0"``[
`
end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
