# GUIDANT CORPORATION

EXHIBIT 99

# Factors Possibly
Affecting Future Operating Results

From time to time, Guidant
Corporation (the Company) publishes forward-looking statements relating to anticipated
financial performance, business development (mergers, acquisitions, etc.), product
development and regulatory approval timelines, intellectual property matters, market
developments and similar matters. A variety of factors could cause the Companys
actual results to differ materially from those projected, including the following:

| | 1. | Product development and production factors, including:
| | -- | ------------------------------------------------------

| | a. | The difficulties and uncertainties inherent in new product development
          (including new products such as drug eluting stents), including products that
          appear promising during development but fail to reach the market or reach the
          market later than expected as a result of safety, performance or efficacy
          concerns, inability to obtain necessary regulatory approvals, unanticipated
          restrictions imposed on approved indications, excessive costs to manufacture or
          technological advances by competitors of the Company.
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| | b. | Unexpected safety, performance or efficacy concerns arising with respect to
          marketed products, whether or not scientifically justified, leading to product
          recalls, withdrawals or declining sales.
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| | c. | Unexpected interruptions of operations as a result of regulatory enforcement
          actions by the Food and Drug Administration (FDA) of the US, Japanese Ministry
          of Health, Labor and Welfare (MHLW), Medicines and Healthcare Products
          Regulatory Agency (MHRA) of the United Kingdom, or other regulatory authorities
          or the unavailability of necessary components or materials used in manufacturing
          the Companys products.
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| | 2. | Litigation and other legal factors that could preclude commercialization of
                    products, negatively affect the level of sales or profitability of existing
                    products or otherwise affect the Companys reported results, including
                    litigation of product liability matters, commercial, shareholder and patent
                    litigation or regulatory enforcement actions, which could result in injunctions, the payment of
                    royalties or other damages or penalties.  As further described in this filing (Part II,
Item 1. Legal Proceedings), significant patent litigation concerning the basic design of coronary stents is ongoing
among all substantial market participants; further, the Company is likely to face similar, fundamental challenges
as the Company progresses with the development and sale of drug eluting stents, including challenges relating to
product design, manufacturing and composition.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 3. | Competitive factors, including:
| | -- | -------------------------------

| | a. | The ability of the Company to obtain intellectual property rights sufficient to
          protect its products or the acquisition of patents by competitors that prevent
          the Company from selling a product or including key features in the
          Companys products.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | b | The introduction of new products or therapies by competitors, including competitive stent
launches in Japan, as well as the new entrant in cardiac resynchronization therapy in the
US.
| | - | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | c. | Scientific or medical developments that render the Companys existing
          products less competitive.
| | -- | ----------------------------------------------------------------------------------------------------------

| | 4. | Domestic and international governmental factors including changes to laws and
               regulations, policies and judicial decisions that affect the regulation and
               reimbursement of medical devices, product liability, healthcare reform or tax
               laws.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 5. | Healthcare industry factors, including increased customer demands for price
               concessions, reductions in third-party (Medicare, Medicaid and other
               governmental programs, private healthcare insurance and managed care plans)
               reimbursement levels or refusals to provide reimbursement for procedures using
               the Companys products. Customers may limit the number of manufacturers or
               vendors from which the customers will purchase products, which can result in the
               Companys exclusion from large hospital system, integrated delivery network
               or group purchasing organization contracts.
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 6. | Internal factors, such as the loss of key employees and changes in business
               strategies.
| | -- | ------------------------------------------------------------------------------------------------------

| | 7. | The impact of restructuring and business combinations, including the integration
               of acquired businesses.
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| | 8. | Changes in the accounting treatment, including with respect to the expensing of stock options,
which could materially adversely affect the Company's reported results of operations
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| | 9. | General economic factors, including changes in foreign currency exchange rates,
               interest rates and inflation.
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| | 10. | Other factors beyond the control of the Company, including earthquakes
               (particularly in light of the fact that the Company has significant facilities
               located near major earthquake fault lines), floods, fires, explosions or acts of
               terrorism or war, the outcomes of which may not be covered by insurance.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The Company does not undertake to
update its forward-looking statements.

The Companys Annual Report on
Form 10-K further describes risks associated with manufacturing, patents,
competition, regulation, third-party reimbursement and related matters.