7043 South 300 West
Midvale, Utah 84047
Telephone: 801-566-1200
FAX: 801-566-2062

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UTMD Projects Financial Results for Fourth Quarter 2000
and Year 2001
December 14, 2000

Contact: Paul Richins
(801) 566-1200

Salt Lake City, Utah - Because of the current prevalence of earnings warnings from other companies and its lack of independent investment firm research analyst coverage, Utah Medical Products, Inc. (Nasdaq:UTMD) projects its best estimate of earnings per share (eps) for year 2000 including current fourth quarter results, and year 2001, looking forward.


Calendar Year, ending DEC:

Diluted Earnings Per Share:
EPS Increase over prior year:
$ .587
$ .760
$ .90

Despite lower sales activity in 2000 compared to 1999, UTMD expects its operating profits to be higher due to higher gross profit margins and tightly controlled operating expenses. The excellent increase in eps results from the effect of a 17% decrease in diluted shares used to calculate eps.

In 2001, UTMD will again benefit from about a 16% decrease in diluted shares, depending on the share price at the time earnings are reported, as a result of its repurchase of shares in the September 2000 tender offer. In addition, UTMD expects to increase both sales activity and net profits about 6% as a result of new products introduced in 4Q 2000 and improved distribution of its existing core products.

"If I were a stock analyst, I would point out that if UTMD’s P/E ratio were anything close to its 22% eps growth rate, the stock should be trading around $20 per share," states CEO Kevin Cornwell. "The current average P/E ratio for comparable medical device companies is about 22x, and the current S&P 500 P/E ratio is about 23x. At $20/ share, UTMD’s resulting fully-diluted enterprise value would be less than 10 times trailing EBITDA."

Investors are cautioned that this press release contains forward looking statements and that actual results may differ from those projected. Risks factors that could cause results to differ materially from those projected include market acceptance of new and/or competitive products, timing of regulatory approval of new products, UTMD’s ability to efficiently manufacture, market, and sell its products, among other factors that have been outlined in UTMD’s public disclosure filings with the SEC. The 10-K for year 2000 will be filed with the SEC by March 30, 2001 and will be available for direct access on the Internet for shareholders by linking through UTMD’s website www.utahmed.com. The 2000 Annual Report to shareholders will be mailed about April 1, 2001.

Utah Medical Products, Inc., with particular interest in healthcare for women and their babies, develops, manufactures, assembles and markets a broad range of disposable and reusable specialty medical devices designed for better health outcomes for patients and their care-providers.