Jul 1, 2003
Guidant Enters Agreement with U.S. Department of Health and Human Services

Corporate Integrity Agreement Strengthens Guidant''s Commitment to Compliance

Indianapolis, Ind. - Guidant Corporation (NYSE: GDT) today announced that it has entered into a corporate integrity agreement with the Office of the Inspector General of the U.S. Department of Health and Human Services. The agreement is the final step in the resolution of the settlement between the company''s EndoVascular Technologies, Inc. subsidiary and the U.S. Department of Justice, which was previously announced on June 12.

Under the terms of the Corporate Integrity Agreement, Guidant will maintain a robust compliance program built around comprehensive policies, procedures and training. EndoVascular Technologies will focus its compliance activities on complaint handling and medical device reporting. The agreement is effective immediately.

The agreement is consistent with Guidant''s commitment to compliance and will serve to strengthen the company''s existing compliance program. Compliance with this agreement will not impact the company''s ability to obtain timely product approvals or to market products.