SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report: March 8, 1999
(Date of earliest event reported)
NU SKIN ENTERPRISES, INC.
(Exact name of Registrant as specified in its charter)
Delaware 1-12421 87-0565309
(State or other (Commission (I.R.S. Employer
jurisdiction of File Number) Identification No.)
incorporation)
75 West Center Street, Provo, Utah 84601
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (801) 345-6100
(Former name or former address, if changed since last report.)
The Index to Exhibits appears on page 4.
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Item 5. Other Events
Effective as of March 8, 1999, the Registrant completed the acquisition
of certain assets of Nu Skin USA and the termination of exclusive licensing and
distribution agreements under terms previously announced, including the payment
of approximately $18.7 million and the assumption of approximately $8.0 million
of Nu Skin USA liabilities. Assets acquired from Nu Skin USA include
approximately 620,000 shares of the Class A Common Stock of Nu Skin Enterprises.
Reference is made to that certain press release dated March 23, 1999 attached
hereto as Exhibit 99.1.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
(c) Exhibits.
99.1 Press Release of Nu Skin Enterprises, Inc. dated March 23, 1999.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized on the date indicated.
NU SKIN ENTERPRISES, INC.
By: /s/ M. Truman Hunt
Name: M. Truman Hunt
Title: Vice President and General Counsel
Dated: March 23, 1999
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INDEX TO EXHIBITS
Exhibit Description
99.1 Press Release of Nu Skin Enterprises dated March 23, 1999.
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FOR IMMEDIATE RELEASE
CONTACTS:
Nu Skin Enterprises Charles Allen (investors)
(801) 345-6110 Larry Macfarlane (media)
(801) 345-2112
NU SKIN ENTERPRISES COMPLETES ACQUISITION OF NU SKIN USA
PROVO, Utah -- March 23, 1999 --Nu Skin Enterprises, Inc. (NYSE: NUS) today
announced it has completed the acquisition of certain assets of Nu Skin USA and
the termination of exclusive licensing and distribution agreements under terms
previously announced, including the payment of approximately $18.7 million and
the assumption of approximately $8.0 million of Nu Skin USA liabilities. Assets
acquired from Nu Skin USA include 620,158 shares of Nu Skin Enterprises Class A
Common Stock.
The acquisition of Nu Skin USA is a significant step in a series of
transactions that will bring all of Nu Skin's private affiliates into the public
company. The remaining acquisitions of Nu Skin Canada, Nu Skin Guatemala, Nu
Skin Mexico and technology company Big Planet(R) are expected to close in the
second quarter of 1999.
"Bringing Nu Skin USA into the public company provides a new
opportunity for growth," said Steven J. Lund, president and chief executive
officer. "The addition of Nu Skin's operations in the United States comes at an
ideal time when the company is positioned to offer three distinct, branded
business opportunities -- each with significant initiatives underway. For
example, Pharmanex(R) nutritional products recently exited mass retail outlets
and became available in the United States exclusively through Nu Skin channels.
Big Planet is generating tremendous distributor activity among an entirely new
demographic of technology savvy entrepreneurs. And Nu Skin Personal Care plans
to launch new product systems and enhance existing lines in the second half of
the year." Mr. Lund continued, "We believe these initiatives will combine to
bring strength and growth to our U.S. operations."
Mr. Lund concluded, "More than two years ago, the company took its
Asian operations public. In the last year we have added more than a dozen
markets outside Asia, and today Nu Skin products are sold throughout Europe, the
Americas and the Asia Pacific region. The acquisition of our North American
affiliates further diversifies our revenue and earnings."
The Company
Nu Skin Enterprises, Inc. is one of the largest direct selling
companies in the world. The company's products are sold in 27 countries
throughout Asia, Europe, North America, South America and the Pacific. Nu Skin
Enterprises is traded on the New York Stock Exchange under the symbol "NUS."
Nu Skin Enterprises news releases are available online at
www.nuskin.com or through the Company News On-Call fax service. For a menu of Nu
Skin Enterprises news or to retrieve a specific release, call 800-758-5804,
extension 119638.
Please note: This press release contains forward-looking statements within the
meaning of Section 21E of the Securities Exchange Act of 1934 concerning among
other things, the planned closings of the acquisitions of the other North
American affiliates, the acquisition's anticipated impact on growth prospects
and financial results, and the launch of new product systems and enhancements.
Nu Skin Enterprises wishes to caution and advise readers that these statements
involve risks and uncertainties that could cause outcomes to differ materially
from any forward-looking statement or views expressed herein. These risks and
uncertainties include, but are not limited to: (i) failure of initiatives and
product introductions in the United States to gain market acceptance; (ii) the
inability of the Company to integrate the business of Nu Skin USA successfully;
(iii) the inability of the Company to complete the acquisition of Big Planet and
the other North American affiliates; and (v) adverse changes or developments in
economic conditions, regulatory issues affecting the business of the company, or
competition. Any forward-looking statements are further qualified by a detailed
discussion of certain associated risks that can be found in the documents filed
by the company with the Securities and Exchange Commission, including its most
recent Form 10-K and Form 10-Q.
