Arthroscopy Journal Publishes Two-Year Study Results Showing TOPAZ(TM) as Effective When Used in the Treatment of Tendons; ArthroCare Sports Medicine's TOPAZ Technology Shown to Provide Rapid Improvement of Tendon Conditions.

AUSTIN, Texas -- New study data published this month in Arthroscopy: The Journal of Arthroscopic & Related Surgery showed the use of a Coblation-based technology known as TOPAZ -- developed by ArthroCare(R) Corp. (Nasdaq:ARTC) -- to be effective when used in the treatment of common tendon disorders such as lateral epicondylitis, the condition commonly known as tennis elbow.

"Our findings from the study demonstrate this procedure is technically simple to perform and is associated with a rapid and uncomplicated recovery," said James P. Tasto, M.D. of San Diego Sports Medicine and Orthopedic Center, one of the study's authors and Professor of Orthopedic Surgery at the University of California, San Diego. "All participating patients showed significant improvement. Based upon the results of this study, the use of TOPAZ in the treatment of tendons is safe and effective for at least two years, post-op. Treatment utilizing the TOPAZ MicroDebrider offers a new, minimally invasive alternative for millions of patients for whom conservative therapies have failed."

The study, titled "Microtenotomy Using a Radiofrequency Probe to Treat Lateral Epicondylitis," consisted of thirteen subjects who had been suffering symptoms for six months or longer. Each of the patients had failed to achieve relief after conservative treatment. After treatment in which TOPAZ was used, the patients reported significant improvement only seven to 10 days after the procedures. In fact, 10 of the 13 subjects reported noticeable improvement only one or two days after the procedure.

"It's extremely gratifying when a study concerning one of our technology applications reveals such dramatically positive results," said Jack Giroux, ArthroCare Sports Medicine's President. "This is especially the case when the device in question, the TOPAZ MicroDebrider, has the opportunity to help such a large population -- those suffering from tendon conditions. While this particular study focused on the most common tendon-related complaint by patients seeking medical attention, TOPAZ is designed to be used to treat most tendons throughout the body."

The TOPAZ MicroDebrider is a wand-like device about the diameter of a pencil tip. Through a small incision, generally an inch in length, the physician applies the device to the problem tendon for multiple 500 millisecond intervals of treatment. By combining low temperature radiofrequency energy with saline, a charged plasma gas is formed at the tip of the TOPAZ wand and is precisely directed into and through the damaged tissues. From start to finish, the whole process takes less than 20 minutes.

"It should be noted," Tasto said, "that over the same period of time that the data was collected for this study, patients with other tendon conditions in the elbow, knee or shoulder were also treated using the TOPAZ wand -- and yielded similar results. I see great promise for this technology in an array of applications."

TOPAZ technology is now available in a quickly growing number of operating rooms around the country. To learn more about the procedure, visit www.TOPAZinfo.com.

About ArthroCare

Founded in 1993, ArthroCare Corp. (www.arthrocare.com) is a highly innovative, multi-business medical device company that develops, manufactures and markets minimally invasive surgical products. With these products, ArthroCare targets a multi-billion dollar market opportunity across several medical specialties, significantly improving existing surgical procedures and enabling new, minimally invasive procedures. Many of ArthroCare's products are based on its patented Coblation technology, which uses low-temperature radiofrequency energy to gently and precisely dissolve rather than burn soft tissue -- minimizing damage to healthy tissue. Used in more than four million surgeries worldwide, Coblation-based devices have been developed and marketed for sports medicine; spine/neurologic; ear, nose and throat (ENT); cosmetic; urologic and gynecologic procedures. ArthroCare also has added a number of novel technologies to its portfolio, including Opus Medical sports medicine and Parallax spine products, to complement Coblation within key indications.

SAFE HARBOR STATEMENTS

Except for historical information, this press release includes forward-looking statements. These statements include, but are not limited to, the company's stated business outlook for fiscal 2005 and 2006, continued strength of the company's fundamental position, the strength of the company's technology, the company's belief that strategic moves will enhance achievement of the company's long term potential, the potential and expected rate of growth of new businesses, continued success of product diversification efforts, and other statements that involve risks and uncertainties. These risks and uncertainties include, but are not limited to the uncertainty of success of the company's non-arthroscopic products, competitive risk, uncertainty of the success of strategic business alliances, uncertainty over reimbursement, need for governmental clearances or approvals before selling products, the uncertainty of protecting the company's patent position, and any changes in financial results from completion of year-end audit activities. These and other risks and uncertainties are detailed from time to time in the company's Securities and Exchange Commission filings, including ArthroCare's Form 10-Q for the quarter ended March 31, 2005 and Form 10-K for the year ended Dec. 31, 2004. Forward-looking statements are indicated by words or phrases such as "anticipates," "estimates," "projects," "believes," "intends," "expects," and similar words and phrases. Actual results may differ materially from management expectations.