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Herbalife & ephedra

This article was originally published in The Tan Sheet

Executive Summary

Direct marketer will discontinue sales of ephedrine alkaloid-containing products effective Dec. 31. Although Herbalife announced plans to halt ephedra sales earlier this year, the move was pushed back due to firm's privatization, delays in new product launch (1"The Tan Sheet" June 24, 2002, In Brief). Thermojetics Total Control, Herbalife's new ephedra-free weight-control supplement, debuted in October; a 90-count bottle sells for $32.95. Promotional materials describe Total Control as a "revolutionary herbal supplement" that helps "burn fat, block cravings and boost energy." Ingredients include citrus aurantium, yerba mate, green tea, DL-phenylalanine, damiana and quercetin...

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Herbalife & ephedra

Direct marketer's plans to discontinue sales of ephedrine alkaloid-containing supplements have been indefinitely delayed due to management's intensive work on proposed acquisition to take the company private, delays in finalizing plans for new product launch, company says. Herbalife originally was slated to halt sales of such products by June 1, according to Morgan Stanley's fairness evaluation of the going-private transaction (1"The Tan Sheet" June 17, 2002, p. 5). Shareholder vote on proposed acquisition by Whitney & Co., Golden Gate Capital is expected in late July...

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