Source: LOHAS Weekly Newsletter
Published: Monday, December 30, 2002

Cell Tech Sees 3Q02 Net Loss



Cell Tech International Inc. (OTC BB: EFLI) saw a 3Q02 net loss of $2.9-million or $.23/share vs. 3Q01 net loss of $423,908 or $.03/share. The nutritional supplements manufacturer says its cost of sales as a percent of net sales increased in 3Q02 to 72.8 percent vs. 31.9 percent for 3Q01. The increase reflects the recording of an additional reserve of $3.1 million for potentially un-sellable inventories, according to a Dec. 18 announcement.

Galaxy Nutritional President Relinquishes Stock Options, Reverses Re-Pricing



Galaxy Nutritional Foods' (AMEX: GXY) Angelo Morini, founder, president and CEO, says he will relinquish certain stock options granted to him and forego a previously disclosed re-pricing of his stock options in order to improve shareholder value.

“To support the strategic moves which I have announced … and to show my confidence in the company's potential, I have decided to relinquish 1,163,898 stock options granted in May 2002. Additionally, I am foregoing the stock option re-pricing that the board approved in October 2002 on all of my 2,528,137 outstanding options granted prior to October 2002,” states Morini in a Dec. 18 announcement. “These changes will allow the company to receive an additional $4.6 million upon exercise of the options and will save nearly $1.2 million of non-cash stock compensation expense for every $1.00 increase in the company's stock price.”

US Bancorp Piper Jaffray Lowers WFMI Rating



US Bancorp Piper Jaffray has lowered its rating of Whole Foods Market Inc. (NasdaqNM: WFMI) stock to Market Perform from Outperform. However, the Minneapolis-based investment-banking firm is maintaining its $48 price target. Analyst Eric Larson, in a Dec. 18 report, states that the rating change was based strictly on valuation. “We continue to be encouraged by the operating performance of the company, but believe that the aggressive store expansion needed to achieve the current valuation may pose some risk,” states Larson's report.

Vital Living Completes Private Placement



Phoenix-based Vital Living Inc. (OTC BB: VTLV) has completed a $1.36-million private placement of shares of common stock by issuing 1.36 million shares of common stock at $1.00/share. The developer of physician-distributed nutraceuticals also issued 1.36 million series B and series C warrants to purchase shares of common stock at exercise prices of $1.64 and $2.14/share, respectively. These warrants have a five-year term. The company expects to use the net proceeds from the offering for working capital and general corporate purposes, according to a Dec. 23 announcement.

USNA, RELV Among CBSMarketWatch.com's Top 10 Performers



CBS MarketWatch online has named Usana Health Sciences Inc. (Nasdaq: USNA) and Reliv International Inc. (Nasdaq: RELV) among the top 10 performers of the nearly 6,400 stocks listed in the New York Stock Exchange, Nasdaq and the American Stock Exchange, according to a Dec. 20 article. CBS notes that shares in USNA, a multi-level marketer of nutritional supplements and personal care products, rose by almost 860 percent in 2002. USNA closed at $11.26 /share on Dec. 27 vs. a price of $1.21/share one year before. RELV, a supplements and diet products manufacturer, made the list due to its “nearly eight-fold gain in earnings” for FY02, says CBS. RELV closed at $4.99/share on Dec. 27 vs. $1.12/share one year before.

The other ticker symbols in the CBS's top 10 are EBKR, CLHB, LCI, HL, CALA, RURL, NTES and FSTW.