Form 5
FORM 5

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549

ANNUAL STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP


Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or
Section 30(h) of the Investment Company Act of 1940

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Check box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See instructions 1(b).
Form 3 Holdings Reported
Form 4 Transactions Reported

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1. Name and Address of Reporting Person*

Nierenberg              David 		2. Issuer Name and Ticker or Trading Symbol

Natus Medical Incorporated (BABY)

6. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
[X]    Director ;                        [X]     10% Owner
[_]     Officer (give title below)    [_]    Other (specify below)
                                    

(Last)             (First)            (Middle)


c/o The D3 Family Fund, L.P.
19605 NE 8th Street 		3. I.R.S. Identification Number of Reporting Person, if an entity (voluntary)

4. Statement for Month/Year



12/31/2002
(Street)



Camas         WA         98607 		5. If Amendment, Date of Original (Month/Year)
 		7. Individual or Joint/Group Filing
(Check Applicable Line)
[X]  Form filed by One Reporting Person
[_] Form filed by More than One Reporting Person
(City)             (State)             (Zip) Table I — Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security
(Instr. 3)

2. Trans-
action
Date
(mm/dd/yy)

2A.
Deemed
Execution
Date, if
any
(mm/dd/yy)
 3. Transaction
Code
(Instr. 8)		 4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5) 		5. Amount of Securities Beneficially Owned at end of Issuer's Fiscal Year(Instr. 3 and 4) 6. Owner-
ship Form:
Direct (D) or Indirect (I)
(Instr. 4)		 7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Amount (A)
or
(D)		 Price
                   
                   
                   
                   

* If the form is filed by more than one reporting person, see Instructions 4(b)(v).

 
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SEC 2270 (9-02)


FORM 5 (continued)
 Table II — Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities) 		 
1.Title of Derivative Security
(Instr.3)		 2. Conversion or
Exercise
Price of
Derivative
Security		 3. Transaction
Date
(Month/
Day/
Year)

3. A Deemed
Execution
Date, if Any
(Month/
Day/
Year)

4. Transaction Code
(Instr. 8)		 5. Number of Derivative
Securities
Acquired (A) or Disposed of(D)
(Instr. 3, 4 and 5)
 6. Date Exercisable
and Expiration Date
(Month/Day/Year)		 7. Title and Amount of
Underlying Securities
(Instr. 3 and 4)		 8. Price of
Derivative
Security
(Instr. 5)

9. Number of Derivative Securities Beneficially Owned at End of Year (Instr. 4)

 10. Ownership of Derivative Security: Direct (D) or Indirect (I)  (Instr. 4) 11. Nature of Indirect Beneficial Ownership  (Instr. 4)
(A) (D) Date
Exercisable		 Expiration
Date		 Title Amount or
Number
of Shares
Nonqualified Stock Option (right to buy) $4.149 06/14/02 06/14/02 A   10,000   07/14/02 06/14/12 Common Stock 10,000 $4.149 10,000 D  
                               
                               
                               
Explanation of Responses:
(1)  Represents an option in which 1/36th of the shares underlying the option become vested
     and exercisable each month after the vesting commencement date defined in the Option
     Agreement.
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations.
See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).		 /s/  DAVID NIERENBERG
**Signature of Reporting Person 		02/11/03  
Date
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