Smith & Nephew Trading Update; Strong Performance in Orthopaedics.

Business Editors

LONDON--(BUSINESS WIRE)--Dec. 18, 2003

Smith & Nephew (LSE: SN, NYSE:SNN) is to give a trading update to investors and analysts today ahead of the close period preceding its Preliminary Results Announcement. The company will announce its preliminary results for 2003 on February 5 2004 at noon GMT (7am EST). A meeting for analysts will take place in London later that day at 3pm GMT/10am EST. Investors outside the UK will be able to participate in the meeting via webcast and conference call.

Smith & Nephew has continued to deliver good top line growth in the second half, with underlying sales growth of 10% expected for the full year. Orthopaedics is continuing to perform strongly, with underlying sales growth of 16% expected for the year. Knee sales are growing 23% worldwide, and hips and trauma are growing 15% and 11% respectively. Endoscopy's underlying sales growth is expected to be 4% for the year with blade reuse and lower orders from HealthSouth impacting US growth. Advanced Wound Management is seeing its first half sales growth of 8% continue for the full year.

Chris O'Donnell, Chief Executive of Smith & Nephew said, "Smith & Nephew has sustained its momentum during the second half of 2003. Our strong Orthopaedics sales growth and overall margin improvement continue to give us confidence in meeting our EPSA growth goals."

About Us

Smith & Nephew (LSE: SN, NYSE:SNN) is one of the world's leading medical devices companies, specializing in Orthopedics, Endoscopy and Advanced Wound Management. Smith & Nephew ranks as the global leader in arthroscopy and advanced wound management and is the fastest growing full-line orthopedics company in the world.

Smith & Nephew is dedicated to helping improve people's lives. The company prides itself in the strength of its relationships with its surgeon and healthcare professional customers, with whom its name is synonymous with the highest standards of performance, innovation and trust. The company has 7,500 employees and operates in 32 countries around the world, generating sales of GBP1.1 billion.