2798 Arcadia Heights Circle
Salt Lake City, Utah 84109
30 March, 1998

Kevin L Cornwell, President, CEO, CFO
Chairman, Secretary Board of Directors
Utah Medical Products, Inc.
7043 South 300 WestMidvale, UT 84047

Dear Kevin:

     This in response to the Executive Committee, created 8/1/97, recommendation
for my resignation as a Director at UM.  Having served since 1985, I find this
most disappointing.  Please accept this letter as my resignation as a member of
the Board of Directors, Utah Medical Products, effective 1 April, 1998.  Because
this resignation is due to many disagreements between me and the operations,
policies or practices of Utah Medical, I request these matters be disclosed and
this letter be filed as an exhibit to the Form 8-K to be filed by UM disclosing
my resignation, all as provided in item 6 of the SEC regulation.

     I have been an executive, director, consultant and investor in the health
care industry for several years and believe my experience to be of worth to UM.
Relying on this experience, I have strived for many months to question
management's performance in a number of areas.  As a fiduciary, I have felt it
my duty to do so.  Unable to achieve what I consider to be minima1 corrective
action, I feel to disclose some causes for my dissent.

     During 1993, to assure unrestrained Board support, you were extended
discretionary authority by the Board in in all areas you recommended and
requested.

     1.  You had authority to negotiate for and acquire from outside sources, or
develop in-house, new products that would continue to strengthen the
profitability of UM into the ongoing future.  In 1993, UM acquired "Cordguard"
with your assurances to the Board of its' viability.  By 1996, UM had met with
near total rejection of the device at market.  In January, 1997, upon your
invitation, I made some quick contacts of clinicians known to me.  Each
responded (1) our sales price of 3+ times higher than currently used devices
with minimal increase in clinical benefit was unrealistic, and (2) a baby's life
could be imperiled, under certain circumstances, if Cordguard was depended upon
for umbilical cord severance.  Had ordinary management diligence been exercised
in acquiring the product, these then existing circumstances should have been
apparent and reported to the Board when approval to proceed was requested.

     My findings were promptly reported with specific urging that management
investigate the reported possible safety issue.  On 1/30/98, thc Board was
informed of efforts to reduce cordguard manufacturing costs and intent to resume
sales efforts.  The design configuration, which I had indicated as central to
the safety issue did not appear to have been addressed.  On 2/3/98, I wrote you
asking for a report of our investigation of the possible peril in usage.  As in
l997, I also asked for a full disclosure of expenses incurred in the cordguard
project.  I felt this important to assist in Board determination of adequate
diligence in future projects.  On 3/11/98, I traced for a response.  As of
3/30/98, still no reply.  I continue concerned.  It is my estimate we have
expended over $1 million in this endeavor with only a few thousand in revenue
return.

     During 1993-1994 the company received only approximately $100,000+ in sales
of new products, not existing in 1992.  In 1995, I suggested a market-demand
type product, based on my long experience in the market, with economic
advantagaes and clinical benefits readily apparent.  I felt success at market
was virtually assured.  It was endorsed by the UM steering committee.  The 
R&D design engineer expressed probable patent achievement could be expected.  
Nothing further happened.  Other companies have since commercialized the idea.
Though there have been some engineering modifications or changes on pre-1993 
products, such as Intran, DPT, etc., based on financia1 data furnished the Board
in 1997, less than one-half of one percent of total sales revenues 1993-2Q 1997 
were derived from new products either acquired or developed by UM in those 
years.

     2.  In 1993, to maximize return on surplus cash flow and to demonstrate
confidence in our continued growth, you strongly recommended buy-back of company
stock.  You were granted discretionary authority to so do.  During 1993-1997,
approximately $39+ million was expended in buy-backs of company stock.  Market
value of these buy backs on 1/2/98 approximated $27+ million - a decline of 31%.

     3.  In 1993, you were granted discretionary authority to engage in sale of
Puts.  We were assured by you, this could be accomplished without impairment of
company resources and provide a higher return on our investments.  At our 6/7/97
Board meeting, it was disclosed we had received premiums of $548,404 in such
sales, 1993-1996.  This was good and as expected.  It was also disclosed we had,
in 1997, received $95,000 in premiums and expended $1,162,500 in sales
contracts.  Also, that we had an existing liability of $1,068,000 due later in
1997 on sales contracts -- a total of $2,230,000 for the year.

     Our 1996 annual report informed our stockholders we had established a bank
line of credit to facilitate our ability to acquire other companies, with
established revenues, if/when the opportunity should arise.  However, in Q2,
1997, UM borrowed on the bank LOC for operational purposes, largely due to
excess use of cash flow in our stock buy-back and sales efforts.  At our 6/7/97
Board meeting, I proposed that the Board rescind authority extended to you as
CEO for stock buy-backs and Puts sales.  The motion failed.

     Some additional concerns:

     On 4/4/96, as Board Chairman, I responded to an invitation from the
President/CEO of a NYSE listed health care company to discuss a possible merger
or other business combination he felt mutually beneficial.  He reported he had
tried to discuss their ideas with you but you had rejected any discussion with
haughty disdain.  found what I felt was merit in their ideas and so reported to
you my intent to place on the agenda for our next Board meeting.  Your response
was negative and stated that if I did place it on the agenda, you would oppose
it and felt you would have the 3/2 majority Board in support.  I well knew that
if you opposed it, the whole idea would be doomed.  On 5/9/96, the inviting CEO
again encouraged us to agree to try dialogue between our two managements.  Your
response to this second request was even more vehemently negative.  Comparing
NYSE quotes on 4/4/96 and 1/2/98, their stock had increased 29%/share; UM stock
had decreased 57%/share.

     Late on 6/12/96, the President/CEO of a NASDAQ trading company with whom
you were negotiating for a distribution agreement on our products formerly
handled by Baxter Laboratories called me.  He requested I intercede, as Board
Chairman, in negotiations because of what he termed unethical, arrogant changes
by you on points agreed in previous discussions.  Since I knew little of the
negotiations, I suggested he call you the following morning and that I would
report our discussion and inform you of the anticipated call for further
discussion..  The call was made.  An agreement was reached.

     On 6/13/96, you informed me you had polled the Board and a majority
concurred in your recommendation you be appointed Chairman, replacing me,
effective immediately

     Upon review of the Board meeting minutes for 2/1/97, as written, I note a
flagrant distortion.  This after
I had signed the signature page of approval.  I protested and offered
correction.  In this and subsequent Board meetings, a majority approved the
minutes as written.  Since May, 1997, I have declined to sign approval of the
Board minutes, as written, except the meeting of 10/31/97 because of errors,
omissions, and/or distortions.

     On 5/3/97, a group of employees, reportedly representing approximately 90%
of the UM work force, requested a meeting with me as the only outside Director
locally available, stating their request was based upon advice of legal counsel.
They expressed myriads of complaints, including some which they claimed illegal,
of your management processes.  Their expressed motivation in Board contact was
their apprehension of continued decline in company fortunes and fears of further
job erosion for the work force.

     On 5/5/97, a Board meeting was requested and report given to the Board from
notes made on 5/3/97.  1 felt this was a matter for the entire Board to give
immediate attention.  On 5/16/97, all officers except you, met with all outside
Directors and expressed their concerns and reasons therefor.  On 5/23/97, you
categorically denied to me, all assertions made by the employee delegation.  On
5/30/97, officers Fishman, Hammond and Sessions issued a written recommendation
to the Board it would be in the best interests of the Company that you step
aside and further recommended an independent, outside investigation be conducted
for verification.  They offered to submit to the same scrutiny of their own
individual performances.

     At our 6/7/97 Board meeting, the motion was made to conduct an independent,
outside investigation of the employee allegations with a report to the Board of
findings.  The motion was defeated by majority vote.  The motion you be
requested to step aside was defeated by majority vote.  On advice of corporate
counsel, then present, you changed your vote to abstain thus resulting in a tie
vote and continued defeat of the motion.

     VP Dr. Billings had resigned in late April, 1997.  VP Hammond and VP
Fishman were fired at opening of business on 6/9/97, and offered severance pay.
Director/Controller Sessions CPA, resigned 8/25/97 and asked for severance same
as offered to other officers signatory to the above recommendation.  Her request
was denied.  She was later offered severance pay from her job, conditional upon
her resignation from the Board.

     In 1995, you proposed Ms. Payne as a nominee for the Board incident to a
pending vacancy.  She was found to be affable, highly educated, and expressed a
desire to learn the business.  We also learned she was a career statistician, a
good personal friend of yours since college days and had had no experience in
corporate management or the health care industry.  We had some concerns incident
to her qualifications.  On 8/1/97, Ms. Payne was nominated and elected as a 6th
member of the UM board by majority vote.

     Market capitalization for UM on 1/4/93 was approximately $141,225,872.00.
On 1/2/98, UM market capitalization was approximately $55,100,000 -- a decline
of 59%.

     All stock options awarded me since 1/1/93, which I had considered as a
major portion of compensation to me for my time and effort all carry strike
prices over current market.

     Regretably, I submit this resignation feeling further efforts to serve
effectively as a Director will be for naught.  As an ongoing owner of UM stock,
I express my hope appropriate steps will be taken to restore UM as a viable,
growth oriented company.

Very sincerely,

/s/ Perry L. Lane