Herbalife
33.8572°N 118.2919°W Herbalife Nutrition Ltd., also called Herbalife International, Inc. (with a U.S. subsidiary called Herbalife International of America) or simply Herbalife, is a global multi-level marketing (MLM) corporation that develops and sells dietary supplements. The company has been alleged to have fraudulently operated a pyramid scheme. Some products sold by Herbalife have caused acute hepatitis. The business is incorporated in the Cayman Islands, a tax haven, with its corporate headquarters located in Los Angeles, California.
| Company type | Public company |
|---|---|
Traded as |
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| ISIN | KYG4412G1010 |
| Industry | Multi-level marketing |
| Founded | February 1980 in Los Angeles, California, U.S. |
| Founder | Mark R. Hughes |
| Headquarters | L.A. Live Los Angeles, California, U.S.; Legal domicile: Cayman Islands |
Key people | Michael O. Johnson (Chairman & CEO) |
| Products |
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| Revenue | US$5.54 billion (2020) |
| US$640.6 million (2020) | |
Net income | US$372.6 million (2020) |
| Total assets | US$3.08 billion (2020) |
Number of employees | 8,900+ (2018) |
| Website | herbalife |
The company was founded by Mark R. Hughes in 1980, and it employs an estimated 9,900 people worldwide. The company operates in 95 countries through a network of approximately 4.5 million independent distributors and members. In October 2022, previous CEO Michael O. Johnson was appointed as Chairman and interim Chief Executive Officer following the departure of John Agwunobi.
Herbalife has been accused of deceiving consumers about potential returns, and that most returns are made from distributors that one recruits. The company agreed to "fundamentally restructure" its business in the United States, and pay a $200 million fine as part of a 2016 settlement with the U.S. Federal Trade Commission (FTC) following these accusations.