Medtronic Announces Strategic Agreement with Osteogenix, Incorporated

MEMPHIS, TENN. – March 21, 2007 – Medtronic, Inc. (NYSE: MDT) today announced it has entered into a development agreement with OsteoGenix Incorporated, a privately-held orthobiologic pharmaceutical company based in California. The agreement will enable OsteoGenix to complete preclinical work on its proprietary bone anabolic agent and advance this program through clinical trials. The agreement will give Medtronic an additional source of bone growth therapies for surgeons whose patients require bone grafting options.

“We welcome the agreement announced today,” said Pete Wehrly, senior vice president and president of the Spinal and Navigation businesses at Medtronic. “We see Osteogenix as bringing a new option to patients and one that will nicely compliment our existing industry-leading bone growth therapies.”

“Working with Medtronic is a wonderful opportunity for us to complete our clinical trials and get this innovative product to patients who need options when it comes to accelerating bone growth,” said Teddy Shalon, founder and CEO of OsteoGenix. This agreement represents an endorsement of the science and team we assembled to take this technology to the clinic.”