AGM Statement

Deltex Medical Group PLC
03 May 2007


                                                                               

            Deltex Medical Group plc ('Deltex Medical' / 'Company')
                                                                          
                Results of Annual General Meeting/Trading Update


3 May 2007: Deltex Medical Group plc ('Deltex Medical' or the 'Company'), the
UK's leading haemodynamic monitoring company today held its Annual General
Meeting. All resolutions put to shareholders at the meeting were passed. The
following is the text of a statement made at the meeting by the Company's
chairman, Nigel Keen.


'Progress in the first four months of 2007 has continued to reflect the growing
interest from anaesthetists, surgeons and hospital managers to establish use of
Deltex Medical's CardioQ(TM) oesophageal Doppler monitor (ODM) as a standard of
care in the treatment of patients undergoing major surgery or in intensive care.
Sales in both our major direct markets, the UK and the USA, were ahead of last
year in both the first quarter and in April. It is particularly encouraging that
there have been early but clear signs that the growth rate from our US business
has increased. Sales through our distributor partners into International markets
are also growing satisfactorily. As expected, growth in all our markets is
quickest in the operating theatre where ODM is the only intra-operative
haemodynamic monitoring technology demonstrated in randomised controlled trials
to reduce post-operative complications and consequently shorten lengths of
hospital stay.


Fast-track or enhanced recovery surgical programmes that aim to incorporate
evidence-based medicine into clearly defined treatment protocols are being
established in continental Europe, the UK and the USA. The CardioQ has a central
role to play in delivering the goals of these programmes. In April, University
College London Hospital (UCLH) announced that it had embarked on the
implementation of its Enhanced Surgical Treatment and Recovery Programme
(ESTREP). This programme, initially targeted at patients undergoing bowel
surgery, is planned to become standard clinical practice for all patients
undergoing major surgery at UCLH. Use of the CardioQ as a standard of care for
Targeted Volume Management is a key component in this programme.


Other influential teaching hospitals, as well as a number of District General
Hospitals, throughout the UK are at various stages of planning or actual
implementation of similar programmes, again with an initial focus mainly on
bowel surgery. It is increasingly well recognised that adoption of the CardioQ
is an essential step in the successful introduction of these programmes. The aim
of these new surgical care programmes is to improve outcomes and reduce length
of hospital stay for all patients undergoing major surgery, and establish new
standards of care that are centred on evidence-based best practice.


In February in the USA the Centers for Medicare & Medicaid Services (CMS), the
body responsible for healthcare provision to the elderly and poor, published a
proposed recommendation that ODM be covered for reimbursement when used in the
Medicare and Medicaid patient population. Insurers and other healthcare payment
organisations generally follow CMS's lead and are likely to provide coverage in
due course. A final decision is due to be published within the next month. While
coverage does not absolutely guarantee reimbursement to the physician for the
time and skill required to manage patients using ODM, it is most unlikely that
such reimbursement would be granted in the absence of a positive coverage
determination. The CMS draft decision is a major step on the path to
establishing ODM as a standard of care in the USA.


The CMS decision was based on a health technology assessment commissioned from
the US Government Agency for Healthcare Research and Quality (AHRQ). This health
technology assessment undertook a detailed and rigorous review of the published
literature concerning ODM and the unique body of randomised, controlled clinical
trial data associated with ODM technology.


The assessment concluded that 'Doppler-guided fluid replacement during surgery
leads to a clinically significant reduction in major complications'; that
'Doppler-guided fluid replacement during surgery leads to a clinically
significant reduction in the total number of complications'; and that
'Doppler-monitored fluid replacement leads to a reduction in hospital stay'.
AHRQ assessed the evidence for these conclusions to be strong - in this context,
'strong' means that 'it is highly unlikely that new evidence will lead to a
change in this conclusion'.


Early in 2007 we reported that the US military were to embark on an evaluation
of the CardioQ in wounded soldiers being treated at a combat support hospital in
Iraq. We can confirm that patients have begun to be treated using ODM and that
valuable information on optimal fluid therapy in this environment has already
been gained.


We are currently working with a number of US hospitals, including two
institutions rated as among the top 10 US hospitals*, to support the
implementation of routine use of the CardioQ in major surgery. These projects
involve multi-disciplinary teams developing protocols to ensure consistent
patient care and represent the establishment of Targeted Volume Management as a
standard of care in the US.


In our International business, we are seeing clear benefits from the
restructuring of our trading relationships with our key European distributors in
the first half of 2006. Our sales of probes to distributors are now much more
closely linked to underlying usage rates in hospitals. Increased adoption of the
CardioQ in many individual countries is feeding through to steady growth in our
sales.


In Germany, at the Charite Hospital in Berlin, doctors have been working with
the CardioQ in their fast-track colorectal surgery programme and in patients
undergoing spinal surgery. We are currently working with the hospital to develop
and support an implementation programme for wide-scale usage in all major
surgery. As well as being one of Germany's leading teaching hospitals, the
Charite is also closely involved in setting the standards for intra-operative
care for a leading multi-site pan-European fast-track surgery programme.


Our new product development activities are centred on broadening the markets for
our technology by making it more suitable for use in awake patients and outside
critical care wards and operating theatres. We have passed important development
milestones with both the wholly non-invasive SupraQO monitor and an enhanced
oesophageal probe.


The board looks forward to continued progress throughout the remainder of 2007
and beyond'.


End


*U.S. News & World Report list of the United States' best hospitals, as prepared
by the National Opinion Research Center at the University of Chicago


For further information, please contact:-

Deltex Medical Group plc                         01243 774 837
Nigel Keen, Chairman                             [e-mail]
Andy Hill, Chief Executive                       [e-mail]
Ewan Phillips, Finance Director                  [e-mail]


Gavin Anderson & Company                         020 7554 1400
Deborah Walter                                   [e-mail]
Robert Speed                                     [e-mail]


Charles Stanley Securities                       020 7149 6457
Philip Davies                                    [e-mail]
Russell Cook                                     [e-mail]


Notes for Editors

Deltex Medical manufactures and markets the CardioQ(TM) monitor, which uses
disposable ultra-sound probes inserted into the oesophagus to determine the
amount of blood being pumped around the body - 'circulating blood volume'.
Reduced circulating blood volume is known as hypovolaemia, which leads to
insufficient oxygen being delivered to the organs. This causes medical
complications including peripheral and major organ failure which can lead to
death. Hypovolaemia, which is akin to severe dehydration, affects virtually
every patient having surgery because of the combined effects of pre-operative
starvation, the impact of the anaesthetic agents and trauma from the surgery
itself. Using fluids and drugs, guided by the CardioQ, to optimise the amount of
circulating blood significantly reduces post-operative complications allowing
patients to make a faster, more complete recovery and return home earlier.


The CardioQ incorporates the Company's proprietary software and a small
diameter, easy-to-use, minimally invasive, disposable oesophageal probe that is
used for transmitting and receiving an ultra-sound signal. By using this
technology, the CardioQ provides clinicians with the ability to haemodynamically
optimise critically ill patients and those undergoing routine moderate to major
surgery through the controlled administration of fluid and drugs. Haemodynamic
optimisation has been scientifically proven to improve the speed and quality of
patient recovery and reduce hospital stay.

There are already over 1,250 CardioQs currently in use in hospitals worldwide
and distribution arrangements are in place in over 30 countries. In addition,
there are currently more than 90 clinical publications on the use of the CardioQ
which have repeatedly:-


   •    Validated the results of the Monitor against known standards for
        measuring cardiac output, demonstrating that the technology works

   •    Proved that the CardioQ works in a wide range of surgical procedures

   •    Demonstrated that the Company's technology provides significant health
        and economic benefits by helping to reduce post-operative complications 
        and length of hospital stays by an average of 30 to 40 per cent for a 
        wide range of patients.


The SupraQ(TM) is an entirely non-invasive device which uses an ultrasound probe
held at the base of the patient's neck to track the flow of blood in the aorta;
it presents the same data as the CardioQ in a similar format and is used for
taking snapshots or monitoring over short periods.




                      This information is provided by RNS
            The company news service from the London Stock Exchange