Privacy Statement

PLEASE READ THESE TERMS OF USE CAREFULLY

INTRODUCTION

This Privacy Statement describes Kyphon's policy regarding the collection of data from users of the Kyphon.com Web site (the “Web site”). "We," "our," “us” and "Kyphon" mean Kyphon Inc. and any of its affiliated companies. "You" means you, the visitor to and user of this Web site. Access and use of this Web site is at your own risk and is subject to the terms and conditions set forth herein and all applicable laws, statutes, and/or regulations. Kyphon may revise this Policy Statement from time to time by updating this posting. Please review this Policy Statement each time you visit the Web site.

The information we receive via Kyphon.com, and how we use it, depends on what you do when visiting our Web site. We collect and use Non-Personal Data (information that is not identifiable to you personally) differently than your Personal Data.

The term "Personal Data" as used in this Policy Statement refers to information such as your name, e-mail address, mailing address and telephone number, which can be used to identify you. Kyphon will not process your Personal Data without your consent. In processing your Personal Data, we pledge to fully comply with recognized standards of privacy protection.

INTENDED USE OF PERSONAL DATA

Our Web site does not generally require any form of registration, allowing you to visit our without telling us who you are. However, some of the Web site's services may require registration. When you register with us, you may need to complete certain fields, as well as choose a user name and password. In these situations, if you choose to withhold any Personal Data requested by us, it may not be possible for you to gain access to certain parts of the site. The Web site processes Personal Data for specific and limited purposes, which we inform you about when we ask you for information. For example, we may collect and use Personal Data to provide you with products or services or to communicate with you for other purposes. Information you send to us via the Web site is otherwise kept private. Kyphon will not knowingly collect, use or disclose Personal Data from a minor under the age of 13 without obtaining prior consent from a person with parental responsibility (i.e. a parent or guardian) through direct off-line contact. We will provide the parent with (i) notice of the specific types of Personal Data being collected from the minor, and (ii) the opportunity to object to any further collection, use, or storage of such information. Kyphon abides by the Children's Online Privacy Protection Act in the United States.

NONDISCLOSURE OF PERSONAL DATA

Kyphon will not sell, share or otherwise distribute Personal Data collected via the Web site to third parties outside Kyphon. However, Personal Data may occasionally be transferred to third parties who act for or on behalf of Kyphon or in connection with Kyphon's business, for further processing in accordance with the purpose(s) for which the data were originally collected. Where disclosure of Personal Data to a third party is likely or necessary for whatever reason, Kyphon will, wherever possible, endeavor to ensure that the disclosure and intended use of the data are clearly indicated. Such third parties may operate different privacy policies.

NON-PERSONAL DATA AND “COOKIES”

If you only read or download information while on our Web site, we do not collect or learn your name, e-mail address, home address, or other personal information about you. Our Web site does, however, use "cookies" to estimate and report site traffic and to help improve the contents of the site. The information that we collect using cookies is non-personal information. Cookies are small data files that are stored on your computer's hard drive. They do not damage your computer and cannot be used to run programs or deliver viruses. The cookies used on Kyphon.com do not allow access to users' personal information, but they may be used to identify individual computers. You have the ability to accept or decline cookies by modifying the settings of your web browser. If you choose to decline cookies, you may not be able to fully experience the interactive features of Kyphon.com or other Web sites you visit. U.S. Government Information Bulletin (I-034) contains a good description of cookie technology at: http://www.ciac.org/ciac/bulletins/i-034.shtml.

LINKS TO OTHER SITES

This Privacy Statement applies only to Kyphon.com and does not include third-party Web sites. Kyphon.com may contain links to Web sites not operated by Kyphon. We provide these links for your convenience, but we do not review, control, or monitor the content of or materials contained on them. We are not responsible for those materials or the performance of those Web sites or for your business dealings with them. Your use of other Web sites is subject to the terms of use of those Web sites, including the privacy policies of those Web sites.

CHANGES TO THIS POLICY

Kyphon will notify visitors to this site of any material changes to its Privacy Policy for this Web site by listing the date and substance of any material changes following this paragraph:

October 25, 2006: Privacy Policy adopted and posted.

CONTACT KYPHON

If you have any queries or complaints about our compliance with this Privacy Statement or if you would like to make any recommendations or comments to improve the quality of our Privacy Statement, please contact Kyphon's Chief Compliance Officer at (408) 548-6500.

EFFECTIVE DATE

The effective date of this Privacy Statement is October 25, 2006.