Jun 13, 2002
Guidant Reaffirms Commitment to Paclitaxel Eluting Stent Program

Guidant Comments on Summary Judgment Ruling in Cook-Boston Scientific Litigation

Indianapolis, Ind. - Guidant Corporation (NYSE and PCX: GDT) reported today that the United States District Court for the Northern District of Illinois has ruled that the agreement between Cook Incorporated and Guidant relating to the development and distribution of paclitaxel eluting stents is not allowed by Cook''s agreement with Angiotech Pharmaceuticals, Inc., relating to the licensing of the drug paclitaxel.

"Guidant continues to believe that Cook has the right to enter into a distribution agreement with Guidant. We are disappointed with the judge''s ruling, which Cook plans to appeal," stated Ronald W. Dollens, president and CEO, Guidant Corporation. "The Angiotech license explicitly contemplates a range of strategic relationships to allow sales of the licensed product. We will define an organizational construct consistent with the Court''s ruling today and the Angiotech license agreement that allows for the commercialization of paclitaxel eluting stents."

"We are committed to addressing the concerns raised by the Court through the appeal process," stated Phyllis McCullough, chairman, Cook Incorporated. "We will continue to aggressively explore options with Guidant under the Angiotech license that enable us to advance this important lifesaving therapy."

"Over the past nine months, Cook has made substantial progress in the development and manufacture of paclitaxel eluting stents based on Guidant components," said John M. Capek, Ph.D., president, Guidant Vascular Intervention. "At Guidant we are committed to bringing the latest treatments for life-threatening conditions to physicians and patients worldwide, and as such we will continue to pursue regulatory approvals and commercialization of the ACHIEVE Stent System in Europe this year, and in the United States next year, which may represent the first available paclitaxel eluting stent system."

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 press release includes forward-looking statements concerning litigation, product development, commercialization and business relationships. The statements are based on assumptions about many important factors, including continuing developments relating to the case, regulatory processes and timelines, clinical developments, ongoing arrangements between the parties and other factors listed on exhibit 99 to Guidant''s most recent 10-K. As such, they involve risks that could cause actual results to differ materially. The company does not undertake to update its forward-looking statements.