Given Imaging Announces Permanent CPT Code for Reimbursement of Capsule Endoscopy

Yoqneam, Israel -- October 2, 2003 -- Given Imaging Ltd. (NASDAQ: GIVN) announced today that the American Medical Association (AMA) has assigned a permanent CPT code for reimbursement of capsule endoscopy, effective January 1, 2004. The permanent code for capsule endoscopy will be CPT 91110. Reimbursement value of the new code is expected to be published later this year by the Center for Medicare and Medicaid Services (CMS) as part of the 2004 physician fee schedule.

"This is a major milestone for the Company and the world of gastroenterology. The FDA has already established capsule endoscopy as a first line tool for detecting small bowel disorders, and now with the assignment of a permanent CPT code by the AMA, capsule endoscopy is clearly established as a standard of care," said Gavriel D. Meron, President and CEO of Given Imaging. "From a reimbursement standpoint, this will simplify the billing process and facilitate establishment of additional coverage policies."

With CPT 91110, the billing process will be streamlined, enabling physicians to use one code for submitting reimbursement claims for capsule endoscopy to insurers. CPT 91110 will apply to both private insurers and as well as Medicare.

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. More than 50,000 capsules have been used in clinical practice. Thousands of patients around the world have benefited from the M2A which has been used 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 http://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.

9.Nov.'03