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Nutrition 21 Reports Fiscal Third Quarter 2008 Financial Results
Date:5/8/2008

successful in direct response, we will introduce them into retail distribution. We believe this strategy will generate greater efficiencies from the marketing dollars that we spend, enabling us to successfully create brand identity in a cost-effective manner."

Gerard Butler, co-chief executive officer of Nutrition 21, said, "Over the course of the next six months, we intend to re-brand all of our existing products in the food, mass and drug channels under the Iceland Health name. Iceland Health has developed a strong franchise with consumers over the years, and this represents a significant opportunity for our existing products to benefit from Iceland Health's reputation for quality and consumer loyalty. We believe this is another opportunity to leverage our marketing spend in a more efficient manner. Our expectation is to support the Iceland Health brand in direct and retail channels with strong marketing spending consistent with profitability."

"On another front," continued Mr. Butler, "in the future, we plan to expand our ingredient portfolio with unique formulations. Our customers have a large group of brand name products that feature our ingredients as 'value-added' components, including a number of brands that use our Chromax trademark on their labels. We expect to market our ingredients portfolio on a wider scale and attract more brand name products that can be enhanced by the addition of a Nutrition 21 ingredient."

Mr. Fink added, "With a strong focus on managing cost and increasing operating efficiencies, we expect to successfully drive our products through both the direct-to-market and the retail channels in the most cost-efficient manner with the goal of achieving profitability at the earliest possible date."

Mr. Mann concluded, "While it is the policy of Nutrition 21 not to provide detailed forward-looking financial guidance, the Company believes it is important for all investors to have reasonable visibility into the future o
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SOURCE Nutrition 21, Inc.
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