Given Imaging's M2A System Receives Hospital Outpatient Reimbursement by New Jersey and Tennessee Medicare

ATLANTA -- Oct 9 2002 - Given Imaging Inc. (NASDAQ: GIVN) announced today that Riverbend Government Benefits Administrator (RGBA), a Medicare Fiscal Intermediary, has issued a coverage statement for capsule endoscopy performed in an outpatient hospital setting for the states of New Jersey, Tennessee and in Rural Health Clinics in 44 other states. This reimbursement is expected to cover costs pertaining to use of the workstation, the M2A capsule, nurse time and all facility resources. This coverage is in addition to the physician reimbursement already established by Medicare in New Jersey.

"Hospital administrators now have a clear incentive to offer this standard diagnostic procedure to Medicare patients suffering from occult GI bleeding", said Gavriel D. Meron, President and CEO of Given Imaging Ltd. Riverbend has approximately 824,000 Medicare enrollees in Tennessee and 1,194,000 in New Jersey.

This press release contains forward-looking statements, including projections about our business, 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," "intends" 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, and other risks disclosed in our filings with the U.S. Securities Exchange Commission.

19.Sept.'03