Nutrex, Inc. Participates In ERSP Forum

New York,NY– January 11, 2007 – The Electronic Retailing Self-Regulation Program (ERSP) has recommended that Nutrex, Inc., modify or discontinue certain claims for Lipo-6 dietary supplement  and the  company  has  agreed  to do so.  The marketer’s  advertising  was reviewed pursuant to an anonymous challenge.

ERSP,  the  electronic  direct-response  industry’s  self-regulatory  forum,  is  administered  by  the Council of Better Business Bureaus (CBBB) with policy oversight by the National Advertising Review Council (NARC).

ERSP reviewed the following core claims:

  • “Lipo-6 effectively targets your problem areas to help you rapidly burn fat and lose unwanted pounds.”
  • “Burns Fat Fast”
  • “LIQUID  CAPSULE  TECHNOLOGY…fat   burning  active  ingredients are  delivered   in  a…liquid  capsule  allowing  the  maximum  strength formula to go to work almost instantly.”
  • “THE MOST POWERFULFAT-BURNERONTHE MARKET.” “Rated #1 Product for Fat Loss!”

During  the  course  of  the  inquiry,  Nutrex  informed  ERSP  that  the  broadcast  advertising  in question was no longer running. The marketer noted, as well, that it is in the process of making significant revisions to future advertising.

In its decision, ERSP noted that the marketer submitted a number of articles and published studies indicating that certain ingredients contained  in similar dosage to the composition of Lipo-6 had a beneficial  effect  on individual  weight-loss,  when combined  with a disciplined  diet and exercise regimen. ERSP noted that the marketer has made a voluntary commitment  to refrain from making targeted weight-loss claims in future advertising for the product.

Following its review of the evidence, ERSP determined that the patent informat ion provided by the marketer did support the exclusivity claim of its liquid-capsule technology. However, ERSP determined  that it would not be unreasonable  for consumers  to interpret  the “fast” weight-loss claims (i.e. “burns fat fast”) separately from the statements pertaining to the technology and that such isolated claims should be discontinued.

The marketer informed ERSP that it would voluntarily discontinue the superiority claim to being the “most powerful fat burner”.   Additionally, the marketer informed ERSP that it would revise consumer testimonials to make them more prominent and conspicuous in its advertising.

ERSP did not object to the marketer using the claim “Rated #1 Product for Fat Loss!” as long as the marketer appropriately disclosed the time frame and the context of the claim.

The company, in its marketer’s statement, said it appreciates the “opportunity to participate in the self -regulatory process.”

“Nutrex confirms that it will implement the changes discussed with ERSP in the course of these proceedings,” the company said.