Artimplant interim report january 1- june 30, 2001

ARTIMPLANT INTERIM REPORT January 1-June 30, 2001 * In June, Artimplant's first product-Artelontm Augmentation Device ACL- received CE approval, enabling sales in Europe. The roll-out in the Nordic countries is scheduled for the third quarter of 2001 and elsewhere in Europe for the first half of 2002. * As an essential part of the roll-out of ACL, two key opinion leader education (KOLED) seminars were held in June at leading clinics in the Nordic region. Another 15 KOLED meetings are planned for the latter half of 2001 in various European countries. * Three-year follow-up data from a pilot study demonstrate that Artimplant's material is biocompatible, that connective tissue vascularizes and grows into the material, and that knees with the implants are stable. The data were presented in May 2001 at ISAKOS in Montreux. * Permission has been granted to start a forced rehabilitation study using the ACL implant. The goal is to show that patients can be rehabilitated faster with retained knee stability. In August 2001, two patients have already been operated on. * In the 12-month follow-up on a pilot study using Artimplant's spacer implant for thumb-base arthritis, patients demonstrated enhanced gripping strength and reduced pain. The results were presented in March at a Scandinavian conference on hand surgery in Malmö, Sweden. * Clinical studies on augmentation sutures made of the degradable material Artelontm are scheduled to start in the latter half of 2001. * In May, the annual shareholders' meeting authorized the Board of Directors to issue up to 2,000,000 new B-shares on one or more occasions during the period until the next annual meeting, with or without shareholders' preferential rights. * According to plan, consolidated income for January-June totaled SEK 11.7 million (SEK 12.4 million one year earlier). The loss after taxes was SEK 21.1 million (SEK 6.8 million loss). The loss per share was SEK 2.28 (SEK 0.74 loss). Scheduled financial information: Nine-month interim report: November 7, 2001 Interim reports are made available on Artimplant's web site, www.artimplant.se, at the same time as they are distributed to the media. For additional information, please contact: Anders Cedronius, Chief Executive Officer, phone +46 (0)31 746-5600, anders.cedronius@artimplant.se Lars Erik Nygren, Chief Financial Officer, phone +46 (0)31 746-5600, lars.erik.nygren@artimplant.se Ulf Åkerblom, Director Corporate Communications, phone +46 (0)709 675- 999, ulf.akerblom@artimplant.se Artimplant Artimplant specializes in biodegradable materials for use in orthopedic surgery. Artimplant is active in the research and development, manufacturing and marketing of biologically degradable implants with the goal of recreating active lives for patients. The biodegradable material the Company has developed is based on a new technology that is opening new markets in the field of orthopedic surgery as well as other specialized fields where there are significant medical needs. After many years of development efforts, Artimplant is now entering a marketing phase. Artimplant has already developed and patented several different degradable ligament implants, now undergoing clinical trials. The Company is focusing on three high-priority areas for this degradable material: an augmentation device for anterior cruciate ligament reconstruction, hand surgery, and augmentation sutures. Artimplant is listed on the OM Stockholm Exchange's O list. ARTIMPLANT'S EARNINGS, JANUARY-JUNE 2001 Consolidated net sales for the period January-June 2001 totaled SEK 11.7 million (SEK 12.4 million for the same period the preceding year). The operating loss for the period was SEK 23.4 million (SEK 10.1 million loss). The loss after tax totaled SEK 21.1 million (SEK 6.8 million loss). Goodwill for Gothenburg Medical Center (GMC) totaled SEK 11.9 million at June 30 and is being amortized over a period of 20 years. The parent company's net sales of SEK 0.5 million consisted primarily of compensation from Mölnlycke Health Care. The sales and operating loss were as planned. Net sales by the subsidiary GMC reached SEK 12.1 million (SEK 10.9 million) for January-June 2001. Operating profit for the January-June period ended at SEK 0.3 million (SEK 0.4 million). ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2001/08/22/20010822BIT00130/bit0001.doc The full report http://www.waymaker.net/bitonline/2001/08/22/20010822BIT00130/bit0001.pdf The full report