ARTIMPLANT INTERIM REPORT January 1 - June 30, 2006

Västra Frölunda, Sweden, August 8, 2006

• Net revenue increased by 130% to SEK 3.0 million (1.3)* • Net profit of SEK -30.7 million (-19.4) • Net profit of SEK -19.1 (-19.4) if one time write-down of capitalized R&D costs relating to Artelon® Augmentation Device ACL are excluded • Earnings per share of SEK -0.52 (SEK -0.39) • Capitalized product development costs of the Artelon® Augmentation Device ACL was written off, but has no cash effect • Discussions with European dental distributors commenced • Artelon® CMC Spacer LG, a larger CMC Spacer, was introduced • CEO Tord Lendau gave notice for private reasons • Lars-Johan Cederbrant was appointed interim CEO, while maintaining his responsibility as CFO Events after the period • Artelon® MTP Spacer, Artelon® STT Spacer and Artelon® CMC Spacer Arthro for minimally invasive surgery received CE-certificates * Numbers within brackets relate to the corresponding period last year.