St. Jude Medical Announces Court Ruling in Guidant Patent Litigation

Business Wire, Feb 14, 2002

Business Editors & Health/Medical Writers

ST. PAUL, Minn.--(BUSINESS WIRE)--Feb. 14, 2002

St. Jude Medical, Inc. (NYSE:STJ) announced today that on February 13, 2002, Judge David F. Hamilton of the U.S. District Court for the Southern District of Indiana, ruled on all of the post trial motions filed by the parties in the patent lawsuit Guidant Corporation and related parties brought against St. Jude Medical, Inc.

Two U.S. patents (`472 and `288) relating to implantable cardiac defibrillators (ICDs) were the subject of the trial. On July 3, 2001, the jury found that the `472 patent was valid and infringed, and awarded Guidant and the other plaintiffs $140 million in damages. The jury found that the `288 patent was valid but not infringed. Judge Hamilton's February 13, 2002, opinion overturns the jury's verdict in many respects, including finding that both patents are invalid. As a result of the various rulings by Judge Hamilton, the court concluded that St. Jude Medical is not responsible for any damages, and entered judgment in favor of St. Jude Medical.

St. Jude Medical expects Guidant will appeal Judge Hamilton's decision. The Company is filing a Form 8-k with the U.S. Securities and Exchange Commission today that describes the February 13, 2002, ruling in more detail. The full text of Judge Hamilton's 186 page opinion on this case can be accessed on the Internet at: www.insd.uscourts.gov/opinions/ip961718.pdf.> St. Jude Medical, Inc. (www.sjm.com) is dedicated to the design, manufacture and distribution of innovative medical devices of the highest quality, offering physicians, patients and payers unmatched clinical performance and demonstrated economic value.