Jan 10, 2003
Guidant Strengthens Advanced Patient Management Initiative with Increased CardioNet Investment

Wireless Telecommunications Enable Remote Monitoring of Heart Patients with Implanted Devices

Indianapolis, Ind. - Guidant Corporation (NYSE and PCX: GDT), a world leader in the treatment of cardiac and vascular disease, today announced that it has increased its equity investment in CardioNet, Inc. CardioNet is an integrated medical technologies and services company involved with cardiac arrhythmia patient ambulatory monitoring. Guidant has now invested a total of $13.4 million in CardioNet, bringing Guidant''s equity ownership in the firm to just under 20 percent.

"CardioNet has made substantial progress in a field of considerable interest to Guidant," said Fred McCoy, president, Cardiac Rhythm Management, Guidant Corporation. "CardioNet''s innovative approach to help physicians diagnose and treat patients accelerates our learning in our Advanced Patient Management(tm) initiative, a potentially revolutionary set of cardiac performance solutions."

CardioNet''s mission is to develop products and services that help physicians provide better care for patients with cardiovascular disease'"merging cardiac monitoring, wireless and Internet technologies. The company''s unique capabilities blend external ambulatory electrocardiogram technology with wireless telecommunications to enable remote, real-time cardiac patient monitoring via the Internet. CardioNet technology potentially allows early identification of patients who may be candidates for Guidant therapies. The CardioNet service model holds considerable promise to further advance patient care in a cost-effective way.

"CardioNet welcomes the increased investment from Guidant and the vote of confidence in our company and technology platform," said James M. Sweeney, chairman and CEO of CardioNet. "Guidant''s investment will help us expand CardioNet''s services to new markets."

Advanced Patient Management is being designed to allow physicians to continuously monitor patient heart function remotely and automatically. Currently in the developmental stage, Guidant intends to equip its pacemakers, defibrillators and resynchronization devices with the latest telecommunications and information technologies that will potentially enable real-time awareness, diagnosis and treatment of abnormal heart rhythms. Advanced Patient Management could decrease hospitalization rates and the need for routine follow-up physician visits, potentially reducing costs and improving clinician productivity while enhancing quality of care and patient convenience.

Guidant Corporation pioneers lifesaving technology, giving an opportunity for better life today to millions of cardiac and vascular patients worldwide. The company, driven by a strong entrepreneurial culture of more than 10,000 employees, develops, manufactures and markets a broad array of products and services that enable less invasive care for some of life''s most threatening medical conditions. For more information visit www.guidant.com.

This release includes forward-looking statements concerning Advanced Patient Management. The statements are based on assumptions about many important factors, including regulatory timelines and approvals, continuing clinical and other developments, and other factors identified on Exhibit 99.1 to the company''s most recent 10-Q. Actual results may differ materially. The company does not undertake to update its forward-looking statements.

NOTE TO MEDIA: For more information about Guidant, including its products and services, please visit the company''s newsroom at www.guidant.com/newsroom.