We present the K-band infrared spectrum of the intermediate polar XY Ari. T
he spectrum confirms the cataclysmic binary nature of XY Ari, showing emiss
ion lines of He I (lambda2.0587 mum) and the Brackett and Paschen series of
H I. The broad nature of these lines suggests an origin in an accretion di
sc. The spectrum is strongly reddened by absorption within the molecular cl
oud Lynds 1457 and shows prominent absorption features from the secondary s
tar, from which we determine a spectral type for the secondary of M0V. The
secondary contributes 80 +/- 6 per cent of the K-band light. We derive a vi
sual extinction to XY Ari of A = 11.5 +/- 0.3 and a distance of d = 270 +/-
100 pc, placing XY Ari behind the molecular cloud.