ARTIMPLANT Interim Report 1 January – 30 September 2005

FIRST NINE MONTHS 2005 • Net revenue of 1.8 MSEK (1.1 MSEK) • Net profit of –30.2 MSEK (-22.4 MSEK) • Earnings per share of –0.61 SEK (-0.59 SEK) • Artelon® is successfully applied as carrier for hyaluronic acid • New study shows that Artelon® works as a dermal filler • Electrospinning of Artelon® expands the opportunities for Artimplant within nanotechnology • CE-mark for two new products within odontology EVENTS AFTER THE PERIOD • Four new development and license agreements signed with Small Bone Innovations. One time payments from those agreements will positively affect the fourth quarter. • Artelon® Surgical Suture receives CE-mark and clearance for marketing in the USA • Artelon® electrospun nanofibers successfully used as coating on metal implants • Distribution agreement for Artelon® Surgical Suture signed with ArthroCare Corporation For additional information, please contact: Tord Lendau, CEO, phone +46 (0)31 746 56 00, +46 (0)708 369 403, tord.lendau@artimplant.se Web site: www.artimplant.com Artimplant has also posted the following press releases the last four months on www.artimplant.com Artimplant and ArthroCare Corporation sign distribution agreement for North America Artelon® nanofibers successfully used as coating on metal implants Artimplant signs four new development and license agreements with Small Bone Innovations Artimplant receives CE-mark for Artelon® Surgical Suture Artimplant expands its long-term degradable Artelon® Surgical Suture product range New study shows that Artelon® works as a dermal filler Artimplant expand the field of application for Artelon® Artimplant employs Ms. Susanne Hamilton as Product Manager Odontology Artimplant appoints Lars-Johan Cederbrant as Chief financial Officer Electrospinning of Artelon® in collaboration with IFP Research and Chalmers University of Technology expand the opportunities for Artimplant Artimplant boosts its commercial base through CE-mark for two new products within odontology and craniomaxillofacial surgery About Artimplant Artimplant is a biomaterials company focused on solutions to problems in orthopedic, odontological and reconstructive surgery. The Company is engaged in the development, production and marketing of degradable implants designed to restore active lifestyles and improve quality of life. The proprietary technology Artelon®, a long-term degradable biomaterial, offers new solutions to unmet clinical needs and opens new markets. Artimplant’s business model is that of licensing its products and technology to global partners. The Company currently has six licensing agreements with two global partners. Artimplant is a public company, listed on the Stockholm Stock Exchange, O-list. Forward-looking statements This press release contains forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements. Actual results may differ materially from those indicated by these forward-looking statements as a result of risks and uncertainties impacting the Company's business including increased competition; the ability of the Company to expand its operations and to attract and retain qualified professionals; technological obsolescence; general economic conditions; and other risks detailed from time to time in the Company's filings.