Artimplant fulfils six out of seven goals for 2005 and builds distributor network within Odontology

Artimplant fulfils six out of the seven goals communicated in share issue prospectus in May 2005. The company launches initiative to market its Odontology products through own personnel in Scandinavia and through distributors in the rest of the world.

Goals for 2005 In connection with Artimplant’s share issue in May 2005 the following goals for 2005 were communicated in the prospectus; • Generate revenue from 4-5 products • Generate the first revenue within Odontology • Increase the Nordic revenue by increasing the number of clinics purchasing Artimplant’s products • Sign three new product development and license agreements within orthopedics • Sign two new product development and license agreements within odontological/craniofacial surgery • Apply for regulatory approval in line with defined goals • Utilize and continue to reinforce the cooperation with existing partners Artimplant has met six out of seven goals. When it comes to new product development and license agreements within odontological/craniofacial surgery has no license agreement yet been signed. Build Distribution Network within Odontology Artimplant’s market strategy within orthopedics is to out-license its technology to global partners. The company’s opinion is that, within Odontology, the potential is greater by serving customers through own personnel and distributors. The range of Odontology products improve existing procedures by providing dental bone void fillers and membranes manufactured of Artimplant’s patented, degradable biomaterial Artelon®. Compared to for example Artelon® Spacer for thumb base osteoarthritis, those products are not training intensive, easy to use and the procedure as well as use of biomaterials is well known by the dental professionals. This makes it intriguing for Artimplant to take a more direct approach to the market. Artimplant will, during the spring of 2006, set up a network of distributors for products within Odontology rather than looking for a licensee. The company is gathering early clinical experiences on the Scandinavian market and the European product launch is planned for April 2006. The current estimate is to receive marketing clearance for Odontology products in the USA during the second quarter of 2006. Continued contact with potential licensees in craniomaxillofacial and reconstructive surgery During 2005 Artimplant has negotiated potential agreements within the craniomaxillofacial field (CMF). The negotiations were terminated rather late in the process as the parties could not agree on the terms. Artimplant continues its efforts regarding CMF and expects to sign one or more license agreements during 2006. CEO Tord Lendau says; ”We managed to fulfil most of our goals for 2005. It underlines the trust our shareholders gave us in the May 2005 share issue. We have high expectations for 2006 but the company is still an expectation company. It is crucial for us to introduce new products to the market and continue to increase sales from existing products during 2006.”