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07.02.01
DIRECT FOCUS ANNOUNCES FINANCIAL AGREEMENT WITH CHAMPION NUTRITION
DIRECT FOCUS ANNOUNCES FINANCIAL AGREEMENT WITH CHAMPION NUTRITION
DIRECT FOCUS ANNOUNCES FINANCIAL AGREEMENT WITH CHAMPION NUTRITION
VANCOUVER, WA.—July 2, 2001—Direct Focus Inc. (Nasdaq: DFXI), a marketing company for fitness and healthy lifestyle products with a direct business model, announced today that it has entered into a financial agreement with Champion Nutrition, a privately held manufacturer of nutritional supplements located in Concord, California.
Under the terms of the agreement, Direct Focus will provide Champion with an interest-bearing loan of up to $3 million and has an option to buy Champion for $6 million at any time during the next 15 months. Direct Focus expects to begin selling Champion's product line through its direct business segment in August 2001.
Established in 1983, Champion Nutrition is a premium quality supplier of food and sports supplements to many top athletes. Commonly known as the “professional’s choice,” its products are technologically advanced in both performance and taste.
"We are very pleased to enter into this relationship with Champion Nutrition," said Brian Cook, CEO of Direct Focus. "Since nutritional supplements are a natural extension of our Bowflex and Nautilus product lines, we believe this is a great opportunity to leverage our existing database of customers and gain market share in a new product category.”
About Direct Focus, Inc.
Direct Focus, Inc. is a marketing company for fitness and healthy lifestyle products with a direct business model. The Company currently markets its Bowflex line of home fitness equipment and Nautilus Sleep Systems directly to consumers, using an effective combination of television advertising, 800-call centers and Web sites. The Company also sells its Nautilus commercial fitness equipment directly to health clubs and other institutions, and its Nautilus consumer fitness products through retail athletic stores. The Company is headquartered in Vancouver, Washington. Direct Focus is located on the Web at www.directfocusinc.com.
This press release contains forward-looking statements, which are subject to risks and uncertainties. Factors that could affect the Company's actual results include its reliance on a limited product line, market acceptance of its existing and future products, and growth management challenges. A more detailed description of certain factors that could affect actual results include, but are not limited to, those discussed in the Company's annual report on Form 10-K for the fiscal year ended December 31, 2000.
Under the terms of the agreement, Direct Focus will provide Champion with an interest-bearing loan of up to $3 million and has an option to buy Champion for $6 million at any time during the next 15 months. Direct Focus expects to begin selling Champion's product line through its direct business segment in August 2001.
Established in 1983, Champion Nutrition is a premium quality supplier of food and sports supplements to many top athletes. Commonly known as the “professional’s choice,” its products are technologically advanced in both performance and taste.
"We are very pleased to enter into this relationship with Champion Nutrition," said Brian Cook, CEO of Direct Focus. "Since nutritional supplements are a natural extension of our Bowflex and Nautilus product lines, we believe this is a great opportunity to leverage our existing database of customers and gain market share in a new product category.”
About Direct Focus, Inc.
Direct Focus, Inc. is a marketing company for fitness and healthy lifestyle products with a direct business model. The Company currently markets its Bowflex line of home fitness equipment and Nautilus Sleep Systems directly to consumers, using an effective combination of television advertising, 800-call centers and Web sites. The Company also sells its Nautilus commercial fitness equipment directly to health clubs and other institutions, and its Nautilus consumer fitness products through retail athletic stores. The Company is headquartered in Vancouver, Washington. Direct Focus is located on the Web at www.directfocusinc.com.
This press release contains forward-looking statements, which are subject to risks and uncertainties. Factors that could affect the Company's actual results include its reliance on a limited product line, market acceptance of its existing and future products, and growth management challenges. A more detailed description of certain factors that could affect actual results include, but are not limited to, those discussed in the Company's annual report on Form 10-K for the fiscal year ended December 31, 2000.