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TWST: Can we start with an introduction to Corin Group (London: CRG.L) ?

Mr. Gibson: I founded the company in 1985 with the objective of creating a UK-based orthopedic manufacturing company. I was previously International Vice President with Zimmer where I was responsible for territories including Europe, parts of Africa, and the Middle East, and my motivation arose from recognizing that there were a lot of innovative concepts and orthopedic inventions in the United Kingdom -- in UK hospitals and UK universities -- which were really not being picked up by the leading US-based orthopedic companies, such as the one I worked for. So I really saw that as the opportunity and I can tell you that, almost 18 years to the day later, it¡¦s been a very successful and satisfying history. We are what I would describe as a mainline manufacturer of orthopedic devices. We sell our products through four trading divisions: joint replacement, trauma, spinal implants, and theatre disposable devices used in orthopedic theaters. And we sell our products worldwide: 37% of our sales are in our domestic market, the United Kingdom, 63% is in the rest of the world. In addition to the UK, we have direct sales offices in the United States, France, Germany, Japan, so we¡¦re direct in the five most strategically important markets in the world. And we sell into about 55 other countries through a network of about 100 exclusive distributors. I think what distinguishes Corin from a product technology point-of-view is that the Company has developed a number of products, two in particular, which are suitable for the young active arthritic. Historically, joint replacement for the treatment of degenerative arthritis has really been only available to the elderly. Now, obviously, arthritis is very prevalent in the elderly because osteo-arthritis is basically wear-and-tear and therefore is related to time and age. However, it¡¦s also a disease that affects young people (the orthopedic definition of young is under 65) but joint replacement has not been considered appropriate because the life expectancy of the young active patient is considerably greater than the life expectancy of the implant. Corin has devised products where the standard failure mechanism has been designed out and therefore these products are suitable for this young active patient group, which is really a new market. And that¡¦s what distinguishes Corin from the other major players.

TWST: What¡¦s the biggest opportunity going forward for you in the next 12-24 month?

Mr. Gibson: Again, I have to qualify that depending on what type of opportunity, but if I have to say one thing, the biggest opportunity for us going forward would be the opportunity in the United States. The United States is, as I said earlier, 60% of the world market. We have been there for ten years in a very small, low-key way, really selling our generic devices in a pretty tough overseas market. But we¡¦ve survived, we¡¦ve been profitable, and we¡¦ve learned to speak the language! We now have a following and to some extent a reputation in the United States. And in the last two years, in association with the FDA, we have got two proprietary products into clinical trials which have not been available in the United States prior to the last 18 months.

TWST: This is Cormet and Rotaglide?

Mr. Gibson: This is Cormet and Rotaglide Plus. We¡¦ve also had the FDA approve our Trinity„µ Polyaxial system, which is 60% of our sales now in the United States. Our sales in the USA last year grew in excess of 100%. The Cormet clinical trial will end early 2003 and Rotaglide later in 2003 and we are very confident of the results; the results are very good. We¡¦ve got no surprises because these products have been in clinical use throughout the rest of the world for the last ten years. And we believe that when these products are freely available throughout the United States that will represent a major and substantial opportunity for Corin.

TWST: When would you expect to see them on the market?

Mr. Gibson: There is a two-year moratorium follow-up period, so we¡¦re talking about 2006. In the meantime we anticipate being allowed to continue to supply the trialists but the product will not be freely available, unless they are down-classified, until after the two-year period following the end of the trial.