Did you know that fully 13% of nutrition products and 36% of dietary supplements are sold through non-retail channels in the United States. This is real business that, if approached correctly, can jumpstart your supplement business sales.

Increasingly, nutrition industry entrepreneurs are turning to the direct channels to launch new businesses and products via the Internet, multi-level/direct marketers, practitioners, direct response television, direct response radio, mail order and catalogs.

I along with Nutrition Business Journal co-founder, Tom Aarts, will be leading this webseminar on Wednesday, June 25, 2008 - 11:00-12:30 pm MT. Register now!

Please join us as we cast light on the lesser-research, but incredibly important, direct channels of the U.S. nutrition industry….one of NBJ’s specialties!

-Patrick

NBTY, a well known acquirer of distressed brands and businesses in the U.S. supplement industry, has acquired the assets of Leiner Health Products, a bankrupt private label manufacturer of vitamins and other dietary supplements.

NBTY announced that it has paid $371 million for the assets and the assumption of certain liabilities, but the price of the deal can move $110 million north or south of $371 million, based on the amount of working capital on Leiner’s balance sheet at closing. NBTY said it hopes to close the deal no later than September 2008. North Castle Partners and Golden Gate Capital recapitalized Leiner in 2004 for $650 million. Prior to that, North Castle Partners had been the sole investor in Leiner. NBJ estimated Leiner’s 2006 supplement sales at $550 million.

Founded in 1973 and headquartered in Carson, Calif., Leiner Health Products is a leading manufacturer of store brand vitamins, minerals, and nutritional supplements (VMS), as measured by retail sales, and supplies the food, drug, mass merchant and warehouse club (FDMC) retail market. Leiner provides the FDMC retailers with over 2,000 products to help its customers create and market high-quality store brands at low prices. It is also the largest supplier of VMS to the U.S. military. Leiner markets its own brand of vitamins under YourLife. In 2007, Leiner distributed more than 21 billion doses that help offer consumers high quality, affordable choices to improve their health and wellness.

NBTY is a leading global vertically integrated manufacturer, marketer and distributor of a broad line of high-quality, value-priced nutritional supplements in the United States and throughout the world. Under a number of NBTY and third party brands, the Company offers over 22,000 products, including products marketed by the Company’s Nature’s Bounty, Vitamin World, Puritan’s Pride, Holland & Barrett, Rexall, Sundown, MET-Rx, Worldwide Sport Nutrition, American Health, GNC, DeTuinen, LeNaturiste, SISU, Solgar, Good ‘n’ Natural, Home Health and Ester-C brands.

I would like to introduce you to the new website for Nutrition Business Journal - www.nutritionbusinessjournal.com.

Alot has changed in the world of web design since we first launched NBJ’s website in 1998, so you will notice MANY changes in the look, feel and efficiency of the new nutritionbusinessjournal.com.

NBJ’s mission has always been to deliver strategic business information, analysis and market data to those in or interested in the nutrition industry to fuel better business decisions and promote healthier lifestyles. The new nutritionbusinessjournal.com is our new way of delivering on this mission.

I welcome your feedback and suggestions, via this blog or via my email prea@nutritionbusiness.com

Enjoy!

-Patrick

Sally Squires, a Washington Post Health & Nutrition columnist, published an investigation of probiotics today.

It’s a relatively well balanced piece citing reputable sources…..what a rarity!

Sally discusses the growing widespread use of probiotics, their exact undetermined definition, unknown side effects, dosage uncertainty and clear health benefits. It’s a worthy read for anyone needing to be knowledgeable of what the popular press is publishing about the nutrition industry.

Science is slowly catching up to consumer interest in dietary supplements. Thousands of consumer health websites, forums and blogs detail the ability of dietary supplements to cure and treat chronic and fatal diseases, but only a handful of studies have been released thoroughly testing the efficacy of dietary supplements to treat these diseases.

Today the Journal of the American Medical Association published a story on the treatment of Crohn’s Disease with Omega-3 Fatty Acids.

In this study, 188 patients received omega-3 fatty acids and 186 were given placebo. The study conclusion found: “In these trials, treatment with omega-3 free fatty acids was not effective for the prevention of relapse in Crohn disease.”

Early estimates by NBJ indicate that the omega-3 fatty acid market grew 25-30% in 2007, down slightly from 2006 growth levels, but well within expected ranges of new incremental sales. In foods, omega-3 fatty acids are receiving interest from food manufacturers, but savvy consumers realize that efficacious doses are difficult to achieve through food fortification alone…unless you choose to eat a fishmeal tortilla. Tasty.