FEDERAL COURT DISMISSES PUTATIVE SECURITIES CLASS ACTION COMPLAINT AGAINST CYBERONICS

Cyberonics, Inc. announced that on July 20, 2006, the United States District Court for the Southern District of Texas dismissed the plaintiffs' consolidated complaint against the Company and certain of its officers and directors in the putative securities class action lawsuit styled In re Cyberonics, Inc. Securities Litigation, Civil Action H-05-2121, described in the Company's Form 10-Q filed with the Securities and Exchange Commission on March 6, 2006.
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