Symmetry Medical Reports Third Quarter 2011 Financial Results

Third Quarter Highlights:

-- Acquired Olsen Medical in August 2011, a provider of electrosurgical
instruments and accessories; integration proceeding according to plan
-- Revenue of $84.0 million, a decline of 8% year-over-year
-- Gross margin of 18.7% compared to 21.7% year ago
-- Operating income of $1.7 million; non-GAAP operating income of $3.2
million, a decline of 58% year-over-year
-- Net income of $0.5 million; non-GAAP net income of $1.5 million, a
decline of 59% year-over-year
-- Further strengthens leadership team and increases investments in process
improvements and new technologies to achieve benchmark performance in
quality, customer service, cost and growth over the long term
-- Lowers 2011 financial guidance to reflect third quarter results and
improved visibility into year-end buying patterns

WARSAW, Ind., Nov. 3, 2011 (GLOBE NEWSWIRE) -- Symmetry Medical Inc. (NYSE:SMA),
a leading global source of innovative medical device solutions, including
surgical instruments, orthopedic implants, and sterilization cases and trays,
announced third quarter 2011 financial results for the period ended October 1,
2011.

Third Quarter Vs Prior Quarter

(in millions,

except per

share data) 2011 2010 Change 3Q'11 2Q'11
Change
---------- ---------- --------- ---------- ----------
---------
Revenue $ 84.0 $ 91.5 -8% $ 84.0 $ 94.7
-11%
Operating Income 1.7 7.5 -78% 1.7 7.5
-78%
Net Income 0.5 3.6 -85% 0.5 4.2
-87%
EPS $ 0.01 $ 0.10 -90% $ 0.01 $ 0.12
-92%

Non-GAAP*

----------------

Operating

Income* 3.2 7.8 -58% 3.2 9.8
-67%
Net Income* 1.5 3.7 -59% 1.5 5.7
-73%
EPS* $ 0.04 $ 0.10 -60% $ 0.04 $ 0.16
-75%

Revenue by

Product:

----------------

Instruments $ 33.6 $ 36.0 -7% $ 33.6 $ 37.8
-11%
Implants 26.7 28.3 -6% 26.7 26.5
1%
Cases 17.6 21.5 -18% 17.6 24.8
-29%

Other 6.1 5.7 6.1 5.6

---------- ---------- 7% ---------- ----------
9%
Total Revenue $ 84.0 $ 91.5 -8% $ 84.0 $ 94.7
-11%

* Excludes charges for management transition costs and acquisition costs in
2011, as
well as facility closure and severance costs and SEC related legal costs
incurred in
2011 and 2010. See "Non-GAAP Financial Measures" below.

Revenue for the third quarter 2011 was $84.0 million, compared to $91.5 million
in the same period last year. The year-over-year revenue decline was driven by
lower aggregate sales to the Company's five largest orthopedic OEM customers,
partially offset by aggregate double digit growth with all other orthopedic and
medical device customers, favorable foreign currency exchange rate fluctuations
of $1.3 million, and the impact of the Olsen Medical acquisition, which
contributed $0.7 million of revenue in the third quarter 2011. Revenue from
Cases declined more than Instruments and Implants on a year-over-year and
sequential basis as a result of poor customer delivery throughout 2010 and in
the first half of 2011 stemming from the Auburn, ME plant consolidation in early
2010.

Gross profit for the third quarter 2011 was $15.8 million, compared to $19.8
million in the same period last year. Gross margin percentage for the third
quarter 2011 was 18.7%, compared to 21.7% in the third quarter 2010. The
decrease in sales accounted for approximately $1.6 million of the reduction in
gross profit. The remaining reduction was primarily driven by execution below
expectations at two U.S. sites, a plant shutdown in September to implement a
Lean layout at the Manchester, NH plant, and delays in customer approvals for
product transfers.

Selling, general and administrative expenses in the third quarter 2011 were
$13.8 million, compared to $12.2 million in the same period last year. The
increase in selling, general and administrative expenses in the third quarter
2011 was primarily due to management transition costs associated with the
previously announced hiring of the Company's chief executive officer, as well as
acquisition related costs and the inclusion of expenses related to Olsen Medical
since its date of acquisition, and increased SEC-related legal costs. The
increase was partially offset by savings achieved by the Company's previously
announced streamlined management reporting structure. Facility closure and
severance costs were $0.3 million in the third quarter of 2011, compared to $0.1
million in the same period last year.

Operating income for the third quarter 2011 was $1.7 million, compared to $7.5
million in the same period last year. Operating margin for the third quarter
2011 was 2.0%, compared to 8.2% in the same period last year. Excluding the
management transition costs, acquisition related costs, SEC-related legal costs,
and facility closure and severance costs referenced above, operating income for
the third quarter 2011 was $3.2 million, compared to $7.8 million in the same
period last year.

The third quarter 2010 included a non-cash gain of $0.4 million for the mark to
market of the Company's interest rate derivative. All existing interest rate
derivative instruments were unwound in November 2010 in connection with the
Company's debt refinancing activities and therefore no such gain was recorded in
the third quarter 2011.

Income tax expense for the third quarter 2011 was $0.3 million, compared to
income tax expense of $2.1 million in the same period last year.

Net income for the third quarter 2011 was $0.5 million, or $0.01 per diluted
share, compared to $3.6 million, or $0.10 per diluted share, in the same period
last year. Excluding the management transition costs, acquisition related costs,
SEC-related legal costs, and facility closure and severance costs referenced
above, net income for the third quarter 2011 was $1.5 million, or $0.04 per
diluted share, compared to $0.10 in the same period last year.

The weighted average number of diluted shares outstanding during the third
quarter of 2011 was 36,021,254.

Thomas J. Sullivan, President and Chief Executive Officer of Symmetry Medical,
stated, "During the quarter, we continued our investments in process
improvements and new technologies necessary to position Symmetry for long-term
profitable growth as a supplier to orthopedic and adjacent medical device OEMs,
as well as the direct to hospital market. This included our ongoing efforts to
enhance customer service, implement Company-wide best-practices in the areas of
quality and information technology, and deploy our Symmetry Business System to
improve manufacturing efficiencies. We are pleased with the recent addition of
new Plant General Managers at our Manchester, NH and New Bedford, MA facilities,
along with the recruitment of a Senior Vice President of Worldwide Instruments
who has significant OEM and contract manufacturing experience. With these
changes we have solidified our management team to implement our strategic
initiatives and lead Symmetry into the future. We increased investments in new
technologies and product innovation through internal research and development
and advanced our diversification strategy with the acquisition of Olsen Medical.
We are excited to see the integration of Olsen Medical proceeding quickly and
are pleased that we are on target with our goal to increase its growth and
profitability. Our hospital direct distribution business, Specialty Surgical
Instrumentation, again delivered double digit organic growth outpacing the
market and continues to be an area for further investment.

"We are encouraged by the progress of our internal initiatives during the
quarter. However, the impact of the orthopedic industry slowdown, coupled with
performance below expectations at two manufacturing facilities and delayed
customer approval of product transfers, resulted in financial results for the
third quarter that fell short of our expectations. As a result, we have adjusted
our guidance to reflect our third quarter performance, customer year-end buying
patterns, and our continued efforts to improve manufacturing execution. Looking
forward, we expect volume and margin leverage expansion in 2012 as spending by
the OEMs returns."

Financial Guidance

The following forward-looking estimates regarding 2011 guidance reflect current
market conditions and foreign currency rates. Actual results may differ
materially, and the Company refers you to forward-looking statements located at
the end of the press release.

For the full year 2011, based on the Company's actual financial results for the
first nine months of 2011, the acquisition of Olsen Medical, the Company's
efforts to improve manufacturing execution, and current trends in the orthopedic
and medical device industries year-end buying patterns, the Company is lowering
its financial guidance. The Company now expects full year 2011 revenue to be in
the range of $350 million to $360 million, compared to the previously guided
range of $354 million to $370 million. The Company now expects full year 2011
GAAP earnings per diluted share to be in the range of $0.18 to $0.22 and full
year 2011 non-GAAP earnings per diluted share to be in the range of $0.31 to
$0.35, compared to the previously guided ranges of $0.32 to $0.46 and $0.43 to
$0.57, respectively. The non-GAAP earnings per diluted share guidance excludes
the impact of management transition costs, facility closure and severance costs,
acquisition related costs associated with the Company's acquisition of Olsen
Medical, and SEC-related legal costs, which are expected to negatively impact
full year 2011 GAAP earnings per diluted share by approximately $0.13.

Conference Call

Symmetry Medical will host a conference call to discuss third quarter 2011
financial results at 8:00 a.m. ET on November 3, 2011.A live webcast of the
conference call will be available online from the investor relations page of the
Company's corporate website at www.symmetrymedical.com. The dial-in numbers are
(866) 578-5784 for domestic callers and (617) 213-8056 for international. The
reservation number for both is 89410835.After the live webcast, the call will
remain available on Symmetry Medical's website through February 3, 2012. In
addition, a telephonic replay of the call will be available until November 10,
2011. The replay numbers are (888) 286-8010for domestic callers and (617)
801-6888for international callers. Please use reservation code 15686618.

About Symmetry Medical Inc.

Symmetry Medical Inc. is a leading global source of innovative medical device
solutions, including surgical instruments, orthopedic implants, and
sterilization cases and trays. The Company's thousands of Teammates provide
design, development and worldwide production capabilities for these products to
customers in the orthopedic industry, other medical device markets, and
specialized non-healthcare markets. Symmetry's trusted reputation and brands,
broad Intellectual Property portfolio and commitment to innovation enable it to
collaborate with hundreds of global medical device manufacturers as well as
thousands of hospitals to provide solutions for today's needs and tomorrow's
growth.

Non-GAAP Measures

The non-GAAP measures, including adjusted operating income, net income and EPS,
shown in this release exclude management transition costs, acquisition related
costs, SEC-related legal costs, facility closure and severance costs.
Reconciliations of these non-GAAP measures to the most directly comparable GAAP
measure are included after the financial information included in this press
release. These measures are not in accordance with, or an alternative for, GAAP
and may be different from non-GAAP measures used by other companies. Management
believes these non-GAAP measures improve management's and investors' ability to
better compare the company's ongoing financial performance between periods and
with other companies.

Forward-Looking Statements

Statements in the press release regarding Symmetry Medical Inc.'s business which
are not historical facts may be "forward-looking statements" that involve risks
and uncertainties, within the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements are predictive in
nature and are frequently identified by the use of terms such as "may," "might,"
"will," "should," "expect," "believe," "anticipate," "plan," "estimate,"
"intend," and similar words indicating possible future expectations, events or
actions. Such predictive statements are not guarantees of future performance,
and actual outcomes and results could differ materially from our current
expectations. We refer you to the "Risk Factors" and "Forward
Looking-Statements" sections in the Company's most recent Annual Report on Form
10-K filed with the Securities and Exchange Commission as well as the Company's
other filings with the SEC, which are available on the SEC's Web site at
www.sec.gov.

Symmetry Medical Inc.
Consolidated Statements
of Operations

Three Months Ended YTD
---------------------- ----------------------
Oct 1, Oct 2, Oct 1, Oct 2,

2011 2010 2011 2010
----------- --------- ---------- ----------
(In Thousands, Except Per Share Data)
(unaudited)

Revenue $ 84,039 $ 91,538 $ 274,538 $ 264,856

Cost of Revenue 68,285 71,708 217,233 207,627
----------- --------- ---------- ----------

Gross Profit 15,754 19,830 57,305 57,229
Selling, general and
administrative
expenses 13,839 12,248 42,469 37,124
Facility closure and
severance costs 253 57 2,526 917
----------- --------- ---------- ----------

Operating Income 1,662 7,525 12,310 19,188
Other (income)/expense:
Interest expense 964 1,504 2,754 4,565
Derivatives valuation
gain -- (389) -- (1,177)

Other (160) 715 591 796
----------- --------- ---------- ----------

Income before income
taxes 858 5,695 8,965 15,004

Income tax expense 331 2,123 2,901 5,322
----------- --------- ---------- ----------

Net income $ 527 $ 3,572 $ 6,064 $ 9,682
=========== ========= ========== ==========

Net income per share:

Basic $ 0.01 $ 0.10 $ 0.17 $ 0.27
=========== ========= ========== ==========

Diluted $ 0.01 $ 0.10 $ 0.17 $ 0.27
=========== ========= ========== ==========

Weighted average common
shares and equivalent
shares outstanding:
Basic 35,546 35,456 35,537 35,449
Diluted 36,021 35,870 36,000 35,802

Symmetry Medical Inc.
Consolidated Balance Sheets
In Thousands
Oct 1, January 1,

2011 2011
----------- ----------

ASSETS: (unaudited)
Current Assets:
Cash and cash equivalents $ 20,559 $ 15,067
Accounts receivable, net 48,313 50,457
Inventories 80,633 70,373
Refundable income taxes 4,804 1,911
Deferred income taxes 5,506 4,597

Other current assets 3,514 3,281
----------- ----------

Total current assets 163,329 145,686
Property and equipment, net 105,140 107,879
Goodwill 157,530 154,218
Intangible assets, net of
accumulated amortization 42,324 39,601

Other assets 3,607 2,570
----------- ----------

Total Assets $ 471,930 $ 449,954
=========== ==========

LIABILITIES AND
SHAREHOLDERS' EQUITY:
Current Liabilities:
Accounts payable $ 22,724 $ 23,097
Accrued wages and benefits 8,954 6,808
Other accrued expenses 5,516 3,881
Accrued income taxes 875 233
Deferred income taxes 41 --
Revolving line of credit 5,853 3,692
Current portion of capital
lease obligations 490 454
Current portion of long-term
debt 701 1,397
----------- ----------

Total current liabilities 45,154 39,562
Accrued income taxes 6,664 6,564
Deferred income taxes 18,167 17,692
Capital lease obligations,
less current portion 2,046 2,418
Long-term debt, less current
portion 94,500 87,349
----------- ----------

Total Liabilities 166,531 153,585
----------- ----------

Shareholders' Equity:
Common Stock, $.0001 par
value; 75,000 shares
authorized; shares issued
Oct 1, 2011---36,284;
January 1, 2011---35,950 4 4
Additional paid-in capital 281,860 279,592
Retained earnings 20,312 14,248
Accumulated other
comprehensive income 3,223 2,525
----------- ----------

Total Shareholders' Equity 305,399 296,369
----------- ----------
Total Liabilities and
Shareholders' Equity $ 471,930 $ 449,954
=========== ==========

Reconciliation of Non-GAAP Financial Measures

Three Months Ended

-------------------------------
Oct 1, July 2,
Oct 2,

2011 2011
2010
----------- --------
--------
(In Thousands, Except Per
Share
Data)

(unaudited)

Operating Income, as reported $ 1,662 $ 7,525 $
7,525
Management transition costs 477 518
--
Acquisition related costs* 475 --
--
SEC-related legal costs** 356 76
180

Facility closure and severance costs 253 1,689
57
----------- --------
--------

Operating Income excluding management transition

costs, SEC-related legal

costs, acquisition related costs and facility

closure and severance costs $ 3,223 $ 9,808 $
7,762
=========== ========
========

Net Income, as reported $ 527 $ 4,175 $
3,572
Management transition costs 310 337
--
Acquisition related costs* 309 --
--
SEC-related legal costs** 231 49
117

Facility closure and severance costs 164 1,098
37
----------- --------
--------

Net Income excluding management transition costs,

SEC-related legal costs,

acquisition related costs and facility closure and

severance costs $ 1,542 $ 5,659 $
3,726
=========== ========
========

Earning per diluted share $ 0.01 $ 0.12 $
0.10

Impact of management transition costs, SEC-related

legal costs, acquisition

related costs and facility closure and severance

costs per diluted share 0.03 0.04
--
----------- --------
--------

Earning per diluted share, excluding management

transition costs, SEC-

related legal costs, acquisition related costs and

facility closure and severance costs $ 0.04 $ 0.16 $
0.10
=========== ========
========

* Amounts include $286 of purchase accounting inventory step up amortization
and
$189 of acquisition costs.

** Professional fees associated with the informal

SEC inquiry.

CONTACT: Symmetry Medical Inc.
Fred L. Hite
Senior Vice President
Chief Financial Officer
(574) 371-2218

Investors and Media:
The Ruth Group
Zack Kubow
(646) 536-7020
zkubow@theruthgroup.com