ARTIMPLANT ANNUAL ACCOUNTS JANUARY – DECEMBER, 2006

Västra Frölunda, Sweden, February 20, 2007

• Net revenue of 5.5 MSEK (8.2)*
• Net loss of 56.0 MSEK (36.2)
• Net loss of 38.9 MSEK(36.2) if one time write-downs of capitalized R&D costs without cash effect are excluded
• Earnings per share of -0.95 SEK ( -0.73 SEK)
• Strong sales increase for Artelon® CMC Spacer - about 1,050 (200) units sold to end customers during the fourth quarter
• More than 3,000 patients have been treated with Artelon® devices through to 2006
• Received clearance to market Artelon® Tissue Reinforcement for reinforcement of rotator cuff tears in the USA
• Four new Spacers received CE mark
• Hans Rosén was employed as CEO

Events after the period
• Promising results for Artelon® Tissue Reinforcement in foot applications were presented at the Swedish Foot Surgeon Society’s yearly meeting
• Artimplant´s products received great attention during the worlds largest orthopedic conference AAOS


* Numbers within brackets relate to the corresponding period last year