EXHIBIT 99.1

                              BIONX IMPLANTS, INC.
                 STATEMENT REGARDING FORWARD-LOOKING INFORMATION

     The Private Securities Litigation Reform Act of 1995 (the "Act") provides a
"safe  harbor" for  "forward-looking  statements"  (as defined in the Act).  The
Annual  Report on Form 10-K to which this  Exhibit is  attached,  the  Company's
Annual Report to Shareholders,  any Quarterly Report on Form 10-Q or any Current
Report on Form 8-K of the Company,  or any other written or oral statements made
by or on behalf of the  Company  may include  forward-looking  statements  which
reflect  the  Company's  current  view  (as of  the  date  such  forward-looking
statement  is made) with respect to future  events,  prospects,  projections  or
financial performance.  These forward-looking  statements are subject to certain
uncertainties  and other  factors  that  could  cause  actual  results to differ
materially  from those made,  implied or  projected  in such  statements.  These
uncertainties  and other factors include,  but are not limited to, the following
matters (as well as other  factors  referenced in the Annual Report on Form 10-K
to which this Exhibit is attached or other filings or written or oral statements
made by or on behalf of the Company):

     History of Operating  Losses;  Accumulated  Deficit;  Uncertainty of Future
Profitability;  Fluctuating  Results of  Operations.  The Company  has  incurred
substantial  operating losses since its inception;  at December 31, 1998, it had
an accumulated deficit of approximately $4.3 million.  Such losses have resulted
principally  from expenses  associated with the development and patenting of the
Company's   Self-Reinforcing   technologies  and  resorbable   implant  designs,
preclinical  and clinical  studies,  preparation  of  submissions to the FDA and
foreign regulatory bodies, the development of sales,  marketing and distribution
channels,  the write-off of acquired in-process research and development and the
development of manufacturing capabilities.  Although the Company's revenues grew
significantly  during 1997 and 1998 and the  Company  reported a profit for 1997
and 1998,  no assurance  can be given that revenues will continue to increase or
that revenues will exceed  expenses  incurred in  anticipation of future revenue
growth.  Accordingly,  the Company may incur significant operating losses in the
future as the Company  continues its product  development  efforts,  expands its
marketing,  sales and  distribution  activities and scales up its  manufacturing
capabilities.  There  can be no  assurance  that  the  Company  will  be able to
successfully commercialize its products or that profitability will continue. The
Company's  results of  operations  have  fluctuated in the past on an annual and
quarterly  basis and may  fluctuate  significantly  from period to period in the
future,  depending  upon a number of  factors,  many of which are outside of the
Company's control. Such factors include the timing of government approvals,  the
medical community's continued acceptance of the Company's products,  the success
of  competitive  products,  the ability of the  Company to enter into  strategic
alliances with corporate partners,  expenses associated with patent matters, and
the timing of expenses related to product launches.  Due to one or more of these
factors,  in one or more future quarters the Company's  results of operating may
fall below the expectations of securities analysts and investors. In that event,
the market price of the Company's Common Stock could be materially and adversely
affected.

     Uncertainty of Market Acceptance. The Company's success will depend in part
upon the  continued  acceptance  of the  Company's  Self-Reinforced,  resorbable
implants,  particularly its Meniscus Arrow products,  by the medical  community,
including  health  care  providers,  such  as  hospitals  and  physicians,   and
third-party  payors.  Such  acceptance  may depend  upon the extent to which the
medical  community  perceives  the  Company's  products as a safe,  reliable and
cost-effective   alternative  to  non-resorbable   products,  which  are  widely
accepted, have a long history of use and are generally sold at prices lower than
the prices of the Company's  products.  Such acceptance may also depend upon the
extent  to  which   the   medical   community   believes   that  the   Company's
Self-Reinforced,  resorbable implants have overcome the strength and composition
difficulties experienced with first generation resorbable implants.  Ultimately,
for the  Company's  products  to gain wide  market  acceptance,  it will also be
necessary for the Company to convince surgeons that the benefits associated with

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the Company's products justify the modification of standard surgical  techniques
in order to use the Company's  implants safely and effectively.  There can be no
assurance that the Company's products will achieve significant market acceptance
on a timely basis, or at all.  Failure of some or all of the Company's  products
to achieve significant market acceptance could have a material adverse effect on
the Company's business, financial condition and results of operations.

     Uncertainties Relating to Licenses,  Trade Secrets, Patents and Proprietary
Rights.  For  information  pertaining  to risks  associated  with the  Company's
licenses,  trade secrets,  patents and proprietary rights, see Item 1 ("Business
-- Licenses,  Trade Secrets,  Patents and Proprietary  Rights") of the Company's
Annual Report on Form 10-K for the year ended December 31, 1998.

     Regulatory  Submission  Dates  Subject  to  Change.  From  time to time the
Company  publicizes  estimates  regarding future  regulatory  submission  dates.
Regulatory  submissions can be delayed, or plans to submit proposed products can
be canceled,  for a number of reasons,  including  the receipt of  unanticipated
preclinical  or clinical  study  reports,  a  determination  by the FDA that PMA
approval  rather than 510(k)  clearance is required with respect to a particular
submission,   changes  in  regulations,   adoption  of  new,  or   unanticipated
enforcement of existing, regulations, technological developments and competitive
developments.  Accordingly,  no  assurances  can be  given  that  the  Company's
anticipated submissions will be made on their target dates, or at all. Delays in
such submissions could have a material adverse effect on the Company's business,
financial condition and results of operations.

     Government Regulation.  For information regarding the risks associated with
U.S.  and  international  government  regulation,   see  Item  1  ("Business  --
Government  Regulations")  of the  Company's  Annual Report on Form 10-K for the
year ended December 31, 1998.

     Competition.  Many of the Company's  competitors have substantially greater
financial,  marketing,  sales, distribution and technological resources than the
Company.  Such  existing  and  potential  competitors  may be in the  process of
seeking FDA approval for their  respective  products or may possess  substantial
advantages in the process of seeking FDA approval for their respective  products
or may possess substantial  advantages over the Company in terms of research and
development expertise,  experience in conducting clinical trials,  experience in
regulatory  matters,  manufacturing  efficiency,  name  recognition,  sales  and
marketing expertise or distribution channels. There can be no assurance that the
Company  will  be  able  to  compete  successfully  against  current  or  future
competitors or that  competition  will not have a material adverse effect on the
Company's business,  financial  condition and results of operations.  See Item 1
("Business -- Competition") and Item 7 ("Management's Discussion and Analysis of
Financial  Condition and Results of  Operations - Results of Operations  for the
years ended December 31, 1996,  1997 and 1998 - Product Sales") of the Company's
Annual Report on Form 10-K for the year ended December 31, 1998.

     Dependence Upon Independent  Sales Agents,  Distributors  and Dealers.  The
Company markets and sells its products in large part through managed networks of
independent sales agents in the U.S. and independent distributors and dealers in
foreign countries.  As a result, a substantial portion of the Company's revenues
are  dependent  upon the sales efforts of such sales  agents,  distributors  and
dealers. The Company may also rely on its distributors to assist it in obtaining
reimbursement and regulatory approvals in certain international  markets.  There
can be no assurance that the Company's sales agents,  distributors  and dealers,
certain  of which  operate  relatively  small  businesses,  have  the  financial
stability to assure their continuing presence in their markets. The inability of
a sales  agent,  distributor  or  dealer  to  perform  its  obligations,  or the
cessation of business by a sales agent,  distributor or dealer, could materially
and adversely affect the Company's business,  financial condition and results of
operations. There can be no assurance that the Company will be able to engage or
retain  qualified  sales  agents,  distributors  or  dealers  in each  territory
targeted by the Company. The failure to engage such entities in such territories
would  have a  material  adverse  effect on the  Company's  business,  financial
condition and results of operations.  See Item 1 ("Business -- Sales,  Marketing
and  Distribution")  of the  Company's  Annual  Report on Form 10-K for the year
ended December 31, 1998.

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     Risks  Relating  to  International  Operations.  Approximately  15%  of the
Company's  product sales during 1997 and  approximately 20% of sales during 1998
were  generated  in  international  markets.  A number of risks are  inherent in
international  operations.  International sales and operations may be limited or
disrupted by the imposition of government controls, export license requirements,
political instability,  trade restrictions,  changes in tariffs, difficulties in
managing  international  operations,  import  restrictions  and  fluctuations in
foreign  currency  exchange rates.  During 1998, the Company  incurred a loss of
$236,000 resulting from foreign currency transactions.  The international nature
of the  Company's  business  subjects  it and its  representatives,  agents  and
distributors to the laws and regulations of the foreign  jurisdictions  in which
they operate,  and in which the Company's  products are sold.  The regulation of
medical devices in a number of such jurisdictions,  particularly in the European
Union,  continues  to  develop  and there can be no  assurance  that new laws or
regulations will not have a material  adverse effect on the Company's  business,
financial condition and results of operations.

     Product  Liability  Risks;  Limited  Insurance  Coverage.  For  information
regarding  risks  associated with the Company's  exposure to products  liability
claims,  see Item 1  ("Business  -- Product  Liability  and  Insurance")  of the
Company's Annual Report on Form 10-K for the year ended December 31, 1998.

     No  Assurance  of  Ability  to  Manage  Growth.  The  Company   experienced
substantial  growth in product  sales  during the second half of 1996 and during
1997 and 1998.  Although  there can be no  assurance  that  such  growth  can be
sustained, products in development may potentially lead to further growth. There
can be no assurance  that the Company will be able to (i) develop the  necessary
manufacturing capabilities, (ii) manage an expanded sales and marketing network,
(iii)  attract,  retain  and  integrate  the  required  key  personnel,  or (iv)
implement  the  financial,  accounting  and  management  systems to meet growing
demand for its products should it occur.  Failure of the Company to successfully
manage  its  growth  could  have a  material  adverse  effect  on the  Company's
business, financial condition and results of operations.

     Uncertainties Regarding  Manufacturing.  The Company currently manufactures
its  implant  products  solely in  Finland.  The  Company  intends  to develop a
manufacturing  capability  in the U.S.  in order to increase  its  manufacturing
capacity for its existing and new implant  products.  For information  regarding
risks  associated  with the  Company's  plans to establish a U.S.  manufacturing
capability,  see Item 1 ("Business --  Manufacturing")  of the Company's  Annual
Report on Form 10-K for the year ended December 31, 1998.

     Limited  Sources  of  Supply;  Lack of  Contractual  Arrangements.  The raw
materials for the Company's PLLA products are currently available to the Company
from  three  qualified  sources,  while  the  Company's  PGA raw  materials  are
available  from two qualified  sources.  The  Company's raw materials  have been
utilized in products  cleared by the FDA and the  Company's  suppliers  maintain
Device Master Files at the FDA that contain basic  toxicology and  manufacturing
information.  The Company does not have long-term  supply  contracts with any of
its suppliers,  although it is currently negotiating a supply agreement with its
principal  PLLA  supplier.  In the event  that the  Company  is unable to obtain
sufficient quantities of raw materials on commercially reasonable terms, or in a
timely manner,  the Company would not be able to  manufacture  its products on a
timely and cost-competitive  basis which, in turn, would have a material adverse
effect on the Company's business, financial condition and results of operations.
In addition, if any of the raw materials for the Company's PGA and PLLA products
are no longer  available  in the  marketplace,  the  Company  would be forced to
further  modify its  Self-Reinforcing  processes to  incorporate  alternate  raw
materials.  The  incorporation of new raw materials into the Company's  existing
products would likely require the Company to seek clearance or approval from the
FDA.  There can be no assurance  that such  development  would be  successful or
that,  if  developed  by the Company or licensed  from third  parties,  products
containing such alternative  materials would receive  regulatory  approvals on a
timely basis, or at all.

     Uncertainties  Relating to Strategic Partners. The Company anticipates that
it  may be  necessary  to  enter  into  arrangements  with  corporate  partners,
licensees or others, in order to efficiently market, sell and distribute certain
of its products.  Such  strategic  partners may also be called upon to assist in
the support of such products,  including support of certain product  development
functions.  As a result,  the success of such  products may be dependent in part

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upon the efforts of such third  parties.  The Company  has  negotiated  one such
agreement  with Ethicon  GmbH, a  subsidiary  of Johnson & Johnson,  pursuant to
which Ethicon GmbH has the right to market and sell in Europe certain  products,
based upon the Company's  membrane patent,  in dentistry and two other unrelated
fields  of use.  There  can be no  assurance  that the  Company  will be able to
negotiate additional acceptable arrangements with strategic partners or that the
Company will realize any meaningful revenues pursuant to such arrangements.

     Possible  Volatility  of Stock Price.  The stock  markets have  experienced
price and volume fluctuations that have particularly affected medical technology
companies,  resulting  in  changes  in the  market  prices of the stocks of many
companies that may not have been directly  related to the operating  performance
of those companies.  Such broad market fluctuations may materially and adversely
affect  the  market  price  of the  Company's  Common  Stock.  Factors  such  as
variations  in the  Company's  results of  operations,  comments  by  securities
analysts,   under-performance  against  analysts'  estimates,  announcements  of
technological innovations,  new products or new pricing practices by the Company
or its  competitors,  changing  government  regulations  and  developments  with
respect to FDA or foreign  regulatory  submissions,  the  results of  regulatory
inspections,  patents,  proprietary  rights or  litigation  may have a  material
adverse effect on the market price of the Company's Common Stock.

     The  words  "believe",  "expect",   "anticipate",   "project"  and  similar
expressions identify  "forward-looking  statements",  which speak only as of the
date that any such statement was made.  The Company  undertakes no obligation to
publicly update or revise any forward-looking statements, whether as a result of
new information, future events or otherwise.