Orthofix's BREG Division Introduces First-of-Its-Kind 'Inventory Man

    Health/Medical Writers/Biotech Writers

    HUNTERSVILLE, N.C.--(BUSINESS WIRE)--May 5, 2005--Orthofix International NV (NASDAQ:OFIX):

    'IMS' Makes Ordering Supplies Easy and Convenient for Orthopedic Practices and is the Platform for a Next-Generation Inventory Management System with Insurance-Billing Initiation

    "BREG's IMS has not only saved our practice countless hours of tedious inventory-counting and ordering, but it also has nearly eliminated all the inventory 'shrink' problems we were experiencing prior to its use."
    - Serian Frahm, Sports Medicine Grant & Orthopaedic Associates, Columbus, OH

    Orthofix International NV (NASDAQ:OFIX) today announced that its Vista, Calif.-based BREG division (www.breg.com) has introduced the 'Inventory Management System' (IMS), designed to offer a simple and efficient means by which to organize and manage orthopedic supplies--optimizing stock levels, minimizing product shrinkage, creating a source for monitoring and tracking supplies' costs, as well as facilitating ordering/re-ordering of products; IMS also is a tool to confirm/verify that proper billing charges are entered as product is dispensed through the orthopedic practice.
    BREG's IMS utilizes a handheld barcode scanner attached to an office-based computer that has internet connectivity. All inventory management and product re-ordering occurs over a secure web-based system. Orthopedic practices purchase a cost-effective license from BREG in order to implement the IMS. The IMS is part of BREG's 'Ortho Choice Programs" (http://www.orthofix.com/features).
    "BREG's IMS is the first product of its kind to be designed specifically for the orthopedic market," said Charles Federico, Group President and CEO of Orthofix. "As such, this new offering from BREG is complementary to our 'always innovating' strategy."
    "IMS is one more way in which BREG brings added value to our customers beyond our core products," added Brad Mason, President of BREG, an Orthofix company. "More specifically, IMS empowers BREG to provide our customers with a business solution that will help them reduce inventory shrinkage, which is a detriment to stocking orthopedic supplies. Of note, the IMS is a platform for our next-generation offering, 'DME Companion', which will not only manage orthopedic supply inventory but also initiate the insurance claim submittal process, which will be transaction fee-based.
    "The IMS can be utilized in any orthopedic surgeon's office that stocks and dispenses orthopedic supplies and equipment," continued Mason. "Additional potential customers of the IMS include athletic training programs, DME vendors, distributors, and any customer who purchases, stocks, applies for and bills for orthopedic supplies."

    About BREG, Inc.

    BREG is the manufacturer of orthopedic postoperative reconstruction and rehabilitative products to hospitals and orthopedic offices. BREG's POLAR CARE Continuous Cold Therapy product line has been the flagship of BREG products since the early 1990s. Established in 1991, BREG is located in Vista, Calif., and Mexicali, Mexico. One of the leaders in the industry, BREG, like its parent company, Orthofix International, continues to bring new and innovative products to the marketplace.

    About Orthofix International, N.V.

    Orthofix international N.V., a global diversified orthopedic products company, offers a broad line of minimally invasive surgical, as well as non-surgical, products for the spine, reconstruction, and trauma market sectors that address the lifelong bone-and-joint health needs of patients of all ages--helping them achieve a more active and mobile lifestyle. Orthofix's products are widely distributed around the world to orthopedic surgeons and patients--via Orthofix's sales representatives and its subsidiaries, including Breg, Inc., and via partnerships with other leading orthopedic product companies, such as Medtronic Sofamor Danek and Kendall Healthcare. In addition, Orthofix is collaborating in R&D partnerships with leading medical institutions such as the Orthopedic Research and Education Foundation, the Cleveland Clinic Foundation, Innovative Spinal Technologies and National Osteoporosis Institute. For more information about Orthofix, please visit www.orthofix.com.

    Forward-Looking Statements

    This news release contains certain forward-looking statements under the Private Securities Litigation Reform Act of 1995. These forward-looking statements may include, but are not limited to, statements concerning the projections, financial condition, results of operations and businesses of Orthofix, and are based on management's current expectations and estimates and involve risks and uncertainties that could cause actual results or outcomes to differ materially from those contemplated by the forward-looking statements. Factors that could cause or contribute to such differences may include, but are not limited to, risks relating to the integration of the businesses of Orthofix and Breg, unanticipated expenditures, changing relationship with customers, suppliers and strategic partners, risks relating to the protection of intellectual property, changes to the reimbursement policies of third parties, changes to governmental regulation of medical devices, the impact of competitive products, changes to the competitive environment, the acceptance of new products in the market, conditions of the orthopedic industry and the economy and other factors described in the most recent report on Form 10-K and other periodic reports filed by Orthofix with the Securities and Exchange Commission.

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CONTACT: Orthofix International, N.V. Charles W. Federico, Group President and CEO 704/948-2600 or BREG Brad Mason, President 760-599-3000

KEYWORD: CALIFORNIA NORTH CAROLINA MEXICO INTERNATIONAL LATIN AMERICA INDUSTRY KEYWORD: HARDWARE SOFTWARE INSURANCE MEDICAL DEVICES PRODUCT SOURCE: Orthofix International, N.V.

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