Given Imaging Announces Permanent CPT Code with Higher Physician Payment Rate

Yoqneam, Israel – November 3, 2003 – Given Imaging (NASDAQ: GIVN) announced today that the Center of Medicare and Medicaid Services (CMS) established a higher national average global physician payment for the recently announced permanent CPT code for capsule endoscopy as part of its Medicare Physician Fee Schedule for 2004.

Effective January 1, 2004, the temporary code for Capsule Endoscopy, G0262, will be deleted and replaced with the newly established permanent CPT code 91110. In addition, the national average global physician payment will increase from the 2003 payment of $768 to $882. If the procedure is performed on an out-patient basis, the physician will only report for the professional component of the procedure. In this out-patient setting, the national average physician payment will increase from the 2003 payment of $109 to $174.

“We applaud the efforts made by the AMA and CMS as well as the professional medical societies in creating this permanent CPT code for Capsule Endoscopy and updating the reimbursed fee, so that Medicare and Medicaid patients who suffer from small bowel diseases can have wider access to a non-invasive and more effective diagnostic tool,” said Gavriel D. Meron, president and CEO of Given Imaging.

About Given Imaging
Given Imaging develops, produces and markets the Given® Diagnostic System featuring the M2A® Capsule Endoscope, the only non-invasive method for direct visualization of the entire small intestine. The system uses a disposable miniature video camera contained in a capsule which is ingested by the patient. The M2A® capsule passes naturally through the digestive tract, transmitting high quality color images, without interfering with the patient's normal activities. The system received clearance from the FDA in August 2001 and received permission to affix the CE mark in May 2001. Distribution channels for the system have been established in more than 50 countries worldwide. The M2A® capsule has been utilized to diagnose a range of diseases of the small intestine including Crohn's Disease, Celiac disease and other malabsorption disorders, benign and malignant tumors of the small intestine, vascular disorders, medication related small bowel injury, as well as a range of pediatric small bowel disorders. For more information, visit www.givenimaging.com.

This press release contains forward-looking statements about Given Imaging, including projections about our business, our future revenues, and our future profitability, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. For example, statements in the future tense, words such as "anticipates," "estimates," "expects," "intends," "plans," "believes," and words and terms of similar substance used in connection with any discussion of future operating or financial performance identify such forward-looking statements. Those forward-looking statements are not guarantees of future performance and actual results could differ materially from our current expectations as a result of numerous factors, including but not limited to the following: changes in regulatory environment, our success in implementing our sales, marketing and manufacturing plan, protection and validity of patents and other intellectual property rights, the impact of currency exchange rates, the effect of competition by other companies, the outcome of future litigation, the reimbursement policies for our product from healthcare payors, quarterly variations in operating results, the possibility of armed conflict or civil or military unrest in Israel and other risks disclosed in our filings with the U.S. Securities Exchange Commission.

18.May'04