Ultrabook at your budget is "difficult"
Depends on how extensively you use Adobe Illustrator, laptops with Intel HD 4000 IGPU may be fine, or you may need some discrete GPU (Nvidia / AMD).
Some conventional laptop for your consideration:
Dell 14"
Inspiron 14, i3-3110M + Intel HD4000@RM1399[2.1kg], 2GB, 500GB(5400rpm), W8
HP 14"
Pavilion G4-2110TU, i3-3110M + Intel HD4000@RM1599, 2GB, 500GB(5400rpm), W7HP
Lenovo 14"
G480, i3-3110M + Nvidia GT635M@RM1499, 2GB, 500GB(5400rpm), FreeDOS
G480, i5-3210M + Intel HD4000@RM1499, 2GB, 500GB (5400rpm), FreeDOS
Some ultrabook that is near your budget for your consideration:
Lenovo 14"
S400, i3-2365M + AMD HD7450M@RM1699[1.8kg], 4GB, 500GB(5400rpm), W7HB (this use the older 2nd gen iCore CPU)
Price is RSP, negotiable (a little bit for budget line).
Lenovo spec look nice but price is without W7/W8 so meaning need to top up for OS