Feb 29, 2000
Guidant Creates Office of the President

Move Strategically Prepares Company for Future Global Opportunities

INDIANAPOLIS, IN - Guidant Corporation (NYSE and PCX: GDT) today announced that it has created an Office of the President to capitalize on future growth opportunities.

"Guidant is facing market opportunities today that are greater than those we embraced when we launched this enterprise as a public company in December 1994," commented Ronald W. Dollens, President and Chief Executive Officer. "We have reached a critical time as we direct our core technologies toward interesting therapies that do not exist today in treating cardiovascular and vascular disease."

Mr. Dollens continued, "We are strategically aligning our executive team to leverage across the organization our top management's expertise and skills. This move will ensure we are positioned to lead our industry in developing and delivering lifesaving and life-enhancing technologies, while educating the global community as to the value of these technologies."

To meet these goals, Guidant is establishing an Office of the President led by Mr. Dollens, 53, as President and Chief Executive Officer. The following individuals will join the Office and will report to Mr. Dollens effective immediately:

• A. Jay Graf, 52, currently President of Guidant's Cardiac Rhythm Management (CRM) Group, becomes a Group Chairman. Reporting to Mr. Graf in this capacity, will be the Presidents of Guidant's three operating business groups: Cardiac Rhythm Management, Vascular Intervention and Cardiac & Vascular Surgery.

"At the helm of Guidant's CRM Group, Jay Graf has been extremely successful in defining and implementing exceptional operational processes," commented Mr. Dollens. "In this new role, Jay will leverage his extraordinary operational capabilities and 25 years of healthcare expertise to further enhance Guidant's competitive advantage as we build and strengthen our global operations for the future."

• Ginger L. Graham, 44, currently President of Guidant's Vascular Intervention Group, also becomes a Group Chairman. In this new role, the heads of Guidant's four geographic operations: the U.S.; Europe, Middle East and Africa; Japan/Asia Pacific; and Emerging Markets will report to Ms. Graham.

"Ginger Graham brings a wealth of strategic insight and strong customer development skills from her operational successes," said Mr. Dollens. "In this new role, Ginger will further strengthen the company's global clinical partnerships and will guide our efforts in educating patients, healthcare providers and government officials about the value of novel, cost-effective medical device solutions to treat cardiovascular and vascular disease."

In addition to leading Guidant's operational units as the head of the Office of the President, Mr. Dollens will also be responsible for Guidant's functional support groups, the corporation's business development group, Compass, and will continue his active leadership role in global public policy organizations. He currently serves as the Chairman of the Health Industry Manufacturers Association, a Washington, D.C.-based trade association and the largest medical technology association in the world.

In related moves, the corporation made the following changes to Guidant's Management Committee:

• Mark C. Bartell, 40, currently Vice President, Marketing, Guidant Cardiac Rhythm Management Group, is being promoted to President, Guidant U.S. Sales Organization, replacing James Baumgardt, who was recently appointed to the newly created position of President, Guidant Foundation. Prior to assuming his current position in 1997, Mr. Bartell served as a Vice President and General Manager in Guidant's Vascular Intervention Group. Mr. Bartell earned his Bachelor of Science degree from the University of Florida, and holds an MBA from the University of Michigan.

• John M. Capek, Ph.D., 38, currently Vice President and General Manager, Guidant German Operations, is being promoted to President, Guidant Vascular Intervention Group, replacing Ms. Graham. In his current position since 1997, Mr. Capek has successfully managed the company's largest affiliate outside the United States. Prior to this, Mr. Capek served seven years as Vice President, Marketing, Guidant Cardiac Rhythm Management Group. Mr. Capek received his Bachelor of Science degree in Biomedical Engineering in 1983, a Masters of Engineering in Biomedical Engineering in 1984, Masters of Engineering in Electrical Engineering in 1985, a Ph.D. in Biomedical Engineering in 1987 and an MBA in 1987, all from Rensselaer Polytechnic Institute in Troy, New York.

• Fred McCoy, 43, currently President, Guidant Japan/Asia Pacific Operations, is being named President of Guidant's Cardiac Rhythm Management Group, replacing Mr. Graf. Prior to assuming his current position in 1997, Mr. McCoy served as Vice President of Guidant's United States Operations, West. Before that, he was Chief Financial Officer, Guidant Cardiac Rhythm Management Group. Mr. McCoy received his Bachelor of Science degree from the University of North Carolina and holds an MBA from the Kellogg Graduate School of Management at Northwestern University.

• Dana G. Mead, Jr., 40, currently Vice President and General Manager, Stents, Guidant Vascular Intervention Group, is being promoted to President, Guidant Japan/Asia Pacific Operations, replacing Mr. McCoy. Prior to being named to his current position in 1998, Mr. Mead served as Vice President and General Manager, Guidant Cardiac & Vascular Surgery Group. Since joining Guidant in 1992, Mr. Mead has held various Cardiac & Vascular Surgery sales and marketing roles, including Vice President, Global Marketing. He received his Bachelor of Arts degree from Lafayette College and holds an MBA from the University of Southern California.

As previously announced, at the beginning of this year Guido J. Neels, 51, was promoted and joined the Management Committee as President, Guidant Europe, Middle East and Africa, replacing Richard van Oostrom who moved to the newly created position of Chairman, Guidant European Policy Board.

Messrs. Capek and McCoy will report to Mr. Graf and Messrs. Bartell, Mead and Neels will report to Ms. Graham.

"Mark, John, Fred, Dana and Guido all bring exceptional skills and a track record of accomplishments to our executive management team," commented Mr. Dollens. "Our ability to fill these strategically important roles from within our organization speaks to the depth and strength of the talent within Guidant. These individuals join an experienced and committed executive team who have demonstrated an extraordinary ability to lead the company to its position of success today."

For more detailed background information on the individuals included in this announcement, as well as others on the Guidant Management Committee, visit the company''s Web site at http://www.guidant.com/financial/mgmt.htm.

A global leader in the medical device industry, Guidant provides innovative, minimally invasive and cost-effective products and services for the treatment of cardiovascular and vascular disease. For more information about Guidant''s products and services, visit the company''s Web site at http://www.guidant.com.