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Getbig Main Boards => Gossip & Opinions => Topic started by: Lift Studios on January 19, 2011, 09:11:36 AM

Title: BSN Sold for $144 Million
Post by: Lift Studios on January 19, 2011, 09:11:36 AM
Press Release:

Irish cheese and nutritional ingredients maker Glanbia (ISE:GL9) on Wednesday said it had bought US sector player Bio-Engineered Supplements and Nutrition (BSN) for USD144m (EUR107m), in line with its strategy to grow in the sports nutrition sector. Glanbia has financed the deal with existing debt facilities and expects the acquisition to increase its earnings in 2011. BSN employs 140 people and sells its products through 40,000 retail stores in the US as well as in 90 countries globally. It booked net revenues of USD135.4m and an adjusted EBIT of USD16.3m in 2009. Its gross assets stood at USD30.5m at the end of December 2009. Country: , USA Sector: Pharmaceuticals, Food/Beverages/Tobacco Target: Bio-Engineered Supplements & Nutrition Inc (BSN) Buyer: Glanbia Plc Deal size in USD: 144m Type: Corporate acquisition Financing: Existing resources, Debt Status: Closed

- http://www.tradingmarkets.com (http://www.tradingmarkets.com)

The HARDBODY TAKE:

http://www.hardbody.com/news/2011/01/19/supplement-giant-bsn-sells-for-144-million/
Title: Re: BSN Sold for $144 Million
Post by: Ron on January 19, 2011, 09:14:15 AM
As a distributor of BSN, Optimum and ABB, it is going to be very interesting.   At this time, they are keeping BSN separate from ABB and Optimum and business as usual.   All three have done very well for us in 2010, and it looks like to be an excellent year for 2011 too.

But since the rumors, stories and a lot of question that were asked were not allowed to be answered (because of confidentiality agreements), and because Glanbia is a public company, not too many people could go on the record on the deal.

All BSN, Optimum and ABB employees were informed today in conference calls (BSN at 9am Eastern Time, Optimum at 10am Eastern Time), and senior employees were informed yesterday after close of business day.


Title: Re: BSN Sold for $144 Million
Post by: 240 is Back on January 19, 2011, 09:27:59 AM
has Bob commented yet?  Someone tell him the news and see what he says.
Title: Re: BSN Sold for $144 Million
Post by: Spike on January 19, 2011, 09:28:12 AM
as long as people that make UP YOU M.ass are in check im good

that OTC stuff and snake oil gnc scares the piss outta me - all color full with huge oiled photoshopd pics of abys on them, crazy guy behind counter that gets paid commiss to sell product(s), goat milk :-X
Title: Re: BSN Sold for $144 Million
Post by: mass 04 on January 19, 2011, 09:39:30 AM
Anyone know how much other supp companies are worth? Just for a comparison.
Title: Re: BSN Sold for $144 Million
Post by: mass243 on January 19, 2011, 09:40:59 AM
Anyone know how much other supp companies are worth? Just for a comparison.

Muscletech much be worth of huge pile of cash  :o
Title: Re: BSN Sold for $144 Million
Post by: Spike on January 19, 2011, 09:42:33 AM
Anyone know how much other supp companies are worth? Just for a comparison.

buy a MD mad and count how many each one has

one with most = one spends most on ads = most $
Title: Re: BSN Sold for $144 Million
Post by: _bruce_ on January 19, 2011, 09:52:20 AM
Money for nothing.
Most people who take supps are overfed anyhow.
Protein powder is good for older folks with dental problem who can't chow nutrient rich food.
Title: Re: BSN Sold for $144 Million
Post by: tom joad on January 19, 2011, 09:59:53 AM
hopefully Glanbia did its due diligence and fully vetted Chick re the Mirage allegations etc.
Title: Re: BSN Sold for $144 Million
Post by: JasonH on January 19, 2011, 10:02:38 AM
hopefully Glanbia did its due diligence and fully vetted Chick re the Mirage allegations etc.

 ;D
Title: Re: BSN Sold for $144 Million
Post by: TK on January 19, 2011, 10:16:31 AM

http://www.npicenter.com/article/Business/Glanbia-acquires-leading-US-performance-nutrition-business-for-US-144-million-.aspx

Glanbia plc, the international nutritional ingredients and cheese group, has announced the acquisition of Bio-Engineered Supplements and Nutrition (BSN®), for a total consideration of US$144 million (€108 million). The business is being acquired on a debt free basis and is expected to be earnings enhancing in 2011. The acquisition is funded through Glanbia’s existing banking facilities.

About BSN

BSN is a leading developer, provider and distributor of nutritional products designed for health, training, physique development and performance. BSN is headquartered in Boca Raton in Florida and employs 140 people in its operations. The business was previously privately owned.

BSN was founded in 2001 and since then has become a leading US performance nutrition business. Its products are shipped to over 40,000 retail outlets in the USA and distributed in over 90 countries worldwide. BSN products and brand have won more than 30 sports nutrition awards in the last five years and this has created excellent brand awareness and product loyalty. All its products are multi-functional and apply to a wide range of lifestyles and consumers. It is a pioneer in pre-workout powders and a market leader in this category. Another core product area is protein powders, where Optimum Nutrition (acquired by Glanbia in 2008) is a market leader. In addition, BSN provides a choice of related performance nutrition products.

In 2009, BSN had net revenue of US$135.4 million (€101.3 million) and earnings before interest and tax (EBIT) of US$10.1 million (€7.6 million). Adjusted EBIT amounted to US$16.3 million (€12.2 million). At the year-ended December 2009, BSN had gross assets of US$30.5 million (€22.8 million). The business has delivered a good performance in 2010.

Strategic rationale

The Board of Glanbia believes that the acquisition of BSN significantly enhances the Group’s Performance Nutrition portfolio and delivers further growth opportunities in this area.

In particular, the acquisition:

■Builds on the Group’s scale position in the attractive, high growth, higher margin, sports nutrition sector;
■Broadens Performance Nutrition’s product portfolio into new categories and channels;
■Represents a further step change in international growth opportunities for Performance Nutrition;
■Offers innovation and new product development opportunities through combined R&D; and
■Continues to develop Glanbia in line with the Group’s international growth strategy.
Announcing the acquisition, John Moloney, Glanbia Group Managing Director, said:

“BSN is an excellent strategic fit with our Performance Nutrition business and adds strong brand and market positions that complement and extend our portfolio. Since the acquisition of Optimum Nutrition we have established a market leading, scale position in the attractive, high growth, global sports nutrition sector. BSN is a very exciting acquisition for us and we are pleased to welcome the BSN team to Glanbia. Global Nutritionals is now a €600 million revenue business, a position we have built organically and by acquisition in just over five years.”

Conference call

At 08:30 am (GMT) today, Glanbia will host a conference call for investors and analysts. Dial in details as follows:

Ireland 01 2421074 UK 01296 317 500 Europe +44 1296 317 500

USA 171 835 41175 Access code for participants 214812

About Glanbia plc

Glanbia plc is an international nutritional ingredients and cheese group, headquartered in Ireland. Glanbia has over 4,000 employees worldwide, including Joint Ventures and Associates. The Group has three business segments—US Cheese & Global Nutritionals, Dairy Ireland and Other Business. Glanbia also has three principal international joint ventures—Southwest Cheese in the USA, Glanbia Cheese in the UK and Nutricima in Nigeria—as well as a number of small Irish-based joint ventures and associates. Glanbia is listed on the Irish and London Stock Exchanges (Symbol: GLB).

About Performance Nutrition

Similar to Optimum Nutrition, acquired by Glanbia in 2008, BSN’s core demographic stems from professional athletes and bodybuilders but this consumer base is growing quickly. Through product ‘normalisation’ the benefits of sports and performance nutrition is being recognized in power sports, endurance sports, amongst exercise enthusiasts and people who are focused on health and fitness lifestyle choices. The global sports nutrition market is estimated at retail selling prices to be in the region of US$4.5 billion in 2010 and is estimated to be growing in excess of 6% per annum. The key performance nutrition brands in Glanbia’s portfolio are ON and BSN. The ON brand essence is TRUE STRENGTH™ with a brand promise that only the best goes into ON. Key products in its range are protein powders and performance supplements. The BSN brand essence is WINNING WITH STYLE with a brand promise of cutting edge physique and performance. Key products in its range are pre-work out powders and shots, protein powders, snacks and beverages and performance supplements. 2009 proforma Global Nutritionals revenue is €490 million, representing 22% of 2009 proforma total Group revenue, including Joint Ventures & Associates.

Title: Re: BSN Sold for $144 Million
Post by: no one on January 19, 2011, 10:41:40 AM
as long as people that make UP YOU M.ass are in check im good

that OTC stuff and snake oil gnc scares the piss outta me - all color full with huge oiled photoshopd pics of abys on them, crazy guy behind counter that gets paid commiss to sell product(s), goat milk :-X

you've been taking it for what, a month or so now? how you like it? what you think?
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 10:46:34 AM
Money for nothing.
Most people who take supps are overfed anyhow.
Protein powder is good for older folks with dental problem who can't chow nutrient rich food.
It`s hell of a lot cheaper to get protein from powder than meats, well atleast if you include prep times.

But I agree this supp industry bullshit should fucking die, no wonder the western economy is going to shit, when are largest investment is  sugar pills.
Title: Re: BSN Sold for $144 Million
Post by: Vince G, CSN MFT on January 19, 2011, 10:52:53 AM
has Bob commented yet?  Someone tell him the news and see what he says.

I don't think it will affect Chick's contract but there's a good possibility that he'll be able to get a lot more money once he resigns his agreeement as the pockets of BSN are lined with a lot more cash

However, Ron is somewhat right.  While there may be some issues with all three of these companies making nice, they all for the most part have their main revenues in different niches of the health and fitness industry so I'd doubt if they make any changes in the current structure in the near futures.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 10:54:34 AM
buy a MD mad and count how many each one has

one with most = one spends most on ads = most $


No.

Mass market supp companies make all the niche bb companies look like small peanuts. Nutrulite is worth more than all of them combined.
Title: Re: BSN Sold for $144 Million
Post by: StickStickly on January 19, 2011, 10:54:48 AM
Press Release:

Irish cheese and nutritional ingredients maker Glanbia (ISE:GL9) on Wednesday said it had bought US sector player Bio-Engineered Supplements and Nutrition (BSN) for USD144m (EUR107m), in line with its strategy to grow in the sports nutrition sector. Glanbia has financed the deal with existing debt facilities and expects the acquisition to increase its earnings in 2011. BSN employs 140 people and sells its products through 40,000 retail stores in the US as well as in 90 countries globally. It booked net revenues of USD135.4m and an adjusted EBIT of USD16.3m in 2009. Its gross assets stood at USD30.5m at the end of December 2009. Country: , USA Sector: Pharmaceuticals, Food/Beverages/Tobacco Target: Bio-Engineered Supplements & Nutrition Inc (BSN) Buyer: Glanbia Plc Deal size in USD: 144m Type: Corporate acquisition Financing: Existing resources, Debt Status: Closed

- http://www.tradingmarkets.com (http://www.tradingmarkets.com)

The HARDBODY TAKE:

http://www.hardbody.com/news/2011/01/19/supplement-giant-bsn-sells-for-144-million/

That isn't a lot of money.... i figured BSN would be worth a bit more. Gayer then "bobservations".
Title: Re: BSN Sold for $144 Million
Post by: MB on January 19, 2011, 10:55:30 AM
has Bob commented yet?  Someone tell him the news and see what he says.

It would seem like Bodybuilding.com + PBW > BSN, but only Bob knows that. 
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 10:57:40 AM
Anyone know how much other supp companies are worth? Just for a comparison.


Amway is worth billions. Out of the bodybuilding companies? Optimum, probably.... That being said, they are all small peanuts compared to the mass market supp companies you see within mass market retailors. Most of these companies don't even manufacture their own stuff.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 11:00:20 AM
That isn't a lot of money.... i figured BSN would be worth a bit more. Gayer then "bobservations".


Agreed. companies generally sell for up to 14 times their earnings... compared to the mass market big boys, this is a drop in the bucket.
Title: Re: BSN Sold for $144 Million
Post by: Chick on January 19, 2011, 11:13:16 AM
has Bob commented yet?  Someone tell him the news and see what he says.

"Tell ME the news"?  LOL...
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 11:20:33 AM

Agreed. companies generally sell for 3-5 times their sales... compared to the mass market big boys, this is a drop in the bucket.
So at best there selling like 50 million worth a year, that`s about 1000 employee`s tops. Fuck Alex employs more than that just to run his gimmicks.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 11:34:42 AM
So at best there selling like 50 million worth a year, that`s about 1000 employee`s tops. Fuck Alex employs more than that just to run his gimmicks.


It depends...you have to figures earnings and all that.
Title: Re: BSN Sold for $144 Million
Post by: Captain Equipoise on January 19, 2011, 11:38:36 AM
Who in their right mind would buy such a shitty company for 140 million dollars.. lol

140 employees / 140 million the math doesn't quite add up.
Title: Re: BSN Sold for $144 Million
Post by: mass243 on January 19, 2011, 11:49:04 AM
Who in their right mind would buy such a shitty company for 140 million dollars.. lol

140 employees / 140 million the math doesn't quite add up.


LOL Wut?

Hahahah, oh bro.  You know, amount of employees do not necessarily equal on how much the company is worth.

In some companies the brand is what is the most precious asset, it may also be some patented technology etc. etc...  You just simply can't value a company based on the amount of employees it has.

Hope you never invest your money by yourself. I can already imagine how you go trough the stock charts and search companies with most employees  ;D ;D
Title: Re: BSN Sold for $144 Million
Post by: StickStickly on January 19, 2011, 11:50:30 AM

Agreed. companies generally sell for up to 14 times their earnings... compared to the mass market big boys, this is a drop in the bucket.
Must be a recession special
Title: Re: BSN Sold for $144 Million
Post by: The True Adonis on January 19, 2011, 11:52:09 AM
(http://tnation.t-nation.com/forum_images/auto/r/350x0/c/8//c8878-CIMG0934.jpg)
Title: Re: BSN Sold for $144 Million
Post by: The True Adonis on January 19, 2011, 11:53:36 AM
(http://velocity.t-nation.com/forum_images/mytphotos//fullSize/d/b/dbf57-97868101a2444111428b181000791l.jpg)
Title: Re: BSN Sold for $144 Million
Post by: The True Adonis on January 19, 2011, 11:55:00 AM
(http://www.bodybuilding.com/fun/bobchic7abig.jpg)
Title: Re: BSN Sold for $144 Million
Post by: The True Adonis on January 19, 2011, 11:56:34 AM
(http://t1.gstatic.com/images?q=tbn:01INAilf-AkOBM:http://0301.nccdn.net/1_5/330/060/1b2/1191416970832.gif&t=1)
Title: Re: BSN Sold for $144 Million
Post by: tom joad on January 19, 2011, 12:14:51 PM
maybe Bob used his skills as athletes' rep to broker the deal?
Title: Re: BSN Sold for $144 Million
Post by: mass243 on January 19, 2011, 12:15:39 PM
maybe Bob used his skills as athletes' rep to broker the deal?

 ;D ;D ;D ;D
Title: Re: BSN Sold for $144 Million
Post by: _bruce_ on January 19, 2011, 12:22:22 PM
True Adonis destroying the protein lies.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 12:26:34 PM
Who in their right mind would buy such a shitty company for 140 million dollars.. lol

140 employees / 140 million the math doesn't quite add up.


It's not unheard of for companies to sell for 14 times their earnings. They could have projections that forcast future growth as well.
Title: Re: BSN Sold for $144 Million
Post by: Captain Equipoise on January 19, 2011, 01:01:11 PM
LOL Wut?

Hahahah, oh bro.  You know, amount of employees do not necessarily equal on how much the company is worth.

In some companies the brand is what is the most precious asset, it may also be some patented technology etc. etc...
You just simply can't value a company based on the amount of employees it has.

Hope you never invest your money by yourself. I can already imagine how you go trough the stock charts and search companies with most employees  ;D ;D

We're talking about protein you fucktard, not precious metals or nanotechnology..

shitty overpriced protein at that..
Title: Re: BSN Sold for $144 Million
Post by: tom joad on January 19, 2011, 01:14:02 PM
We're talking about protein you fucktard, not precious metals or nanotechnology..

shitty overpriced protein at that..

Ah ... no.

We're talking about:

"A Sustained Release Ultra-Premium Protein Matrix Comprised of (Ultrafiltered Whey Protein Concentrate [Milk] Rich in Alpha-Lactalbumin, Microfiltered Whey Protein Isolate [Milk] Rich in Whey Isolate Peptide Fractions, Calcium Caseinate, Micellar Alpha and Beta Caseins and Caseinates [Milk], Milk Protein Isolate [Milk], and Egg Albumen [Egg], Glutamine Peptides) . . . "
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:05:31 PM
The supplement industry generates hundreds of billions of dollars each year. Pound for pound, it's more than formidable. It will only grow as the cost of healthcare continue to rise. Supplements have performed year over year in a depressed economy. There is a great NYT article from 2009, that gets into what I just mentioned. The general opinion of supplements, on this tiny board, is not the same as the typical consumer, who shops within the mass market, as well as the health and fitness channel. Simply put, the general population (the people buying this stuff in numbers much larger than those "in the know") believe in supplements. Frankly, anyone who says that all supplements are "snakeoil", are ignorant, or misinformed. Fish oil is an example of a supplement that has a ton of clinical behind it, and that has been applied to an actual FDA approved drug
Title: Re: BSN Sold for $144 Million
Post by: Captain Equipoise on January 19, 2011, 02:16:09 PM
The supplement industry generates hundreds of billions of dollars each year. Pound for pound, it's more than formidable. It will only grow as the costs of healthcare continue to rise. Supplements have performed year over year in a depressed economy. There is a great NYT article from 2009 that gets into what I just mentioned.

All I'm saying is for $140 million dollars they could have built up a company from scratch with a bunch of ilegal mexicans like in bigger faster stronger and have the same results for probably less then $5 million.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 02:18:15 PM
The supplement industry generates hundreds of billions of dollars each year. Pound for pound, it's more than formidable. It will only grow as the costs of healthcare continue to rise. Supplements have performed year over year in a depressed economy. There is a great NYT article from 2009 that gets into what I just mentioned.
Supps will drop off the face of the earth once the fad ends. But at the moment it is a massive industry, 140 is alot for just one company you can't compare it to ford, IBM, or electronics, but it dwarfs alot of things.

Still don't change the fact that it's an industry of shit. It's the problems with  america, you have companies which are essentially marketing companies, worth billions when they don't actually make anything, it impairs productivity, and creates more unwanted debt.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 02:20:53 PM
All I'm saying is for $140 million dollars they could have built up a company from scratch with a bunch of ilegal mexicans like in bigger faster stronger and have the same results for probably less then $5 million.

It's not about the fucking product the product could cost nothing to produce, it's all about marketing, it's essentially a label, that 140 mil goes straight to the pockets of people like bob chick, or other people trying create an image. It's manufactured cool at the extreme.
It's not about how many workers they got, it's about how well the brand is known.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:23:43 PM
Supps will drop off the face of the earth once the fad ends. But at the moment it is a massive industry, 140 is alot for just one company you can't compare it to ford, IBM, or electronics, but it dwarfs alot of things.

Still don't change the fact that it's an industry of shit. It's the problems with  america, you have companies which are essentially marketing companies, worth billions when they don't actually make anything, it impairs productivity, and creates more unwanted debt.

It's not a fad, and the data backs that up. The supplement industry will only continue to grow as the cost of healthcare rises and the consumer has access to more information regarding the benefits of vitamins and supplements. Actual FDA drugs are being developed based off research and studies done on supplements. See the new fish oil drug that just hit the market. The NYT as well as others have done several studies on projected growth, and as I mentioned, the industry has grown year over year since it's inception. Investors are taking note.

You're basing your opinions on the bodybuilding industry, which should not be confused with the supplement industry. There are hundreds of supplements that work.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:24:53 PM
It's not about the fucking product the product could cost nothing to produce, it's all about marketing, it's essentially a label, that 140 mil goes straight to the pockets of people like bob chick, or other people trying create an image. It's manufactured cool at the extreme.
It's not about how many workers they got, it's about how well the brand is known.

Untrue. Again, youre basing your ideas of the supplement industry on the bodybuilding industry. I can name billion dollar supplement companies that you've never even heard of.

Part of what you say is true. But every industry has scam artists and people and bullshit companies.
Title: Re: BSN Sold for $144 Million
Post by: Captain Equipoise on January 19, 2011, 02:25:44 PM
It's not about the fucking product the product could cost nothing to produce, it's all about marketing, it's essentially a label, that 140 mil goes straight to the pockets of people like bob chick, or other people trying create an image. It's manufactured cool at the extreme.
It's not about how many workers they got, it's about how well the brand is known.

Hahahah, uhh..yeah, I don't think so, I think Bob is lucky to get a free tub of protein once a month.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:26:54 PM
Hahahah, uhh..yeah, I don't think so, I think Bob is lucky to get a free tub of protein once a month.



Athletes contracts are tiny compared to actual sales. Chicks prob getting 50-60k a year. Any anyone who knows antything about margin knows you spend about 7%-12% of your revanue on marketing.

Thats the problem with opinions..
Title: Re: BSN Sold for $144 Million
Post by: mass243 on January 19, 2011, 02:27:40 PM
Hahahah, uhh..yeah, I don't think so, I think Bob is lucky to get a free tub of protein once a month.


That's true. Ronnie is taking it all  8)   (if he still is with BSN)
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 02:28:23 PM
It's not a fad, and the data backs that up. The supplement industry will only continue to grow as the cost of healthcare rises and the consumer has access to more information regarding the benefits of vitamins and supplements. Actual FDA drugs are being developed based off research and studies done on supplements. See the new fish oil drug that just hit the market. The NYT as well as others have done several studies on projected growth, and as I mentioned, the industry has grown year over year since it's inception. Investors are taking note.

You're basing your opinions on the bodybuilding industry, which should not be confused with the supplement industry. There are hundreds of supplements that work.

Yes the sup industry will always exist, but it's a bubble, mid sized companies like BSN will get wiped out by much larger companies, on producing a product at a low cost.

Alot of the sup shit like Omega 3 crap, is junk and is sold on bullshit, they sell 1/10 th what you need as a daily dose, and eventually will be beat out, once people catch up. There will always be supps, but not like it is now, where you can sell anything as a supp.
Title: Re: BSN Sold for $144 Million
Post by: Captain Equipoise on January 19, 2011, 02:28:36 PM

Athletes contracts are tiny compared to actual sales. Chicks prob getting 50-60k a year.

I doubt it, he's too old to play a major factor in any of the ads, so what does his job consist of? go to a few trade shows a year (arnold, olympia) and stand behind a table giving out samples of protein and telling people how amazing it is.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:30:25 PM
I doubt it, he's too old to play a major factor in any of the ads, so what does his job consist of? go to a few trade shows a year (arnold, olympia) and stand behind a table giving out samples of protein and telling people how amazing it is.


I'd say that's about average.

Not trying to call you out. I'd be shocked if he were getting any less than 40k.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 02:32:21 PM
Hahahah, uhh..yeah, I don't think so, I think Bob is lucky to get a free tub of protein once a month.

I don't mean just him, I mean like the graphics designer the bitch calling other shops up, other sales folk. People in distribution, that connect shipping routes. And the list goes, on.

And that 7 percent marketing idea, I don't think is true, unless your highly selective on what you include as marketing.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:32:33 PM
Yes the sup industry will always exist, but it's a bubble, mid sized companies like BSN will get wiped out by much larger companies, on producing a product at a low cost.

Alot of the sup shit like Omega 3 crap, is junk and is sold on bullshit, they sell 1/10 th what you need as a daily dose, and eventually will be beat out, once people catch up. There will always be supps, but not like it is now, where you can sell anything as a supp.

I disagree with you that omegs is garbage. There are several clinicals that debunk that notion.

I agrre with you that the bubble will burst one day, but I don't think it will be for at least a decade.

The bodybuilding industry is much differant than mass market supplement sales. You have to be careful with what you claim, and with what you sell,  when you are being sold by retailors like Walgreens and the like.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:33:41 PM
I don't mean just him, I mean like the graphics designer the bitch calling other shops up, other sales folk. People in distribution, that connect shipping routes. And the list goes, on.


I don't understand this. Every company has all the same people, who control the same functions. A business is a business.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 02:34:43 PM
I disagree with you that omegs is garbage. There are several clinicals that debunk that notion.

I agrre with you that the bubble will burst one day, but I don't think it will be for at least a decade.

The bodybuilding industry is much differant than mass market supplement sales. You have to be careful what you claim and what you seel when you are being sold by retailors like Walgreens and the like.
Read again Omega's have been proven but the amount most supps give are way the fuck below what the research says you need to get actual benefits.
Title: Re: BSN Sold for $144 Million
Post by: mass243 on January 19, 2011, 02:37:38 PM

I don't understand this. Every company has all the same people, who control the same functions. A business is a business.

Just like calorie is a calorie   :D
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 02:38:00 PM

I don't understand this. Every company has all the same people, who control the same functions. A business is a business.
All companies are the same lolz, maybe in America, a construction/contractor has the bulk of it's workers focused on direct production, same as manufacturing, however American's love to do everything but actually making a product.

But supps are over flooded at the moment, too many companies selling the same thing, which means it's a bubble. When one no name brand can wipe it all out with competitive prices.
Title: Re: BSN Sold for $144 Million
Post by: Chick on January 19, 2011, 02:39:10 PM
I'd say that's about average.

Not trying to call you out. I'd be shocked if he were getting any less than 40k.

You're way off bro...since none of you really know what my role is, or what I do...these guesses are laughable.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 02:40:36 PM
You're way off bro...since none of you really know what my role is, or what I do...these guesses are laughable.
I'll agree, my guess is 400k but I have no idea who you or BSN really is. But If your one of their star reps your probaly paid to do alot of things beside taking photos.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:45:51 PM
You're way off bro...since none of you really know what my role is, or what I do...these guesses are laughable.

That's fine, and I am happy you make more than what is a typical average contract. A mentioned, that opinion is based on what a non elite bodybuilder (with no other responsibilities) would receive. I don't know what you do, so I can't estimate your worth to them.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:48:24 PM
All companies are the same lolz, maybe in America, a construction/contractor has the bulk of it's workers focused on direct production, same as manufacturing, however American's love to do everything but actually making a product.

But supps are over flooded at the moment, too many companies selling the same thing, which means it's a bubble. When one no name brand can wipe it all out with competitive prices.


Correct, but all the roles you mentioned are utilized by most all companies.
Title: Re: BSN Sold for $144 Million
Post by: mass243 on January 19, 2011, 02:49:23 PM
That's fine, and I am happy you make more than what is a typical average contract. A mentioned, that opinion is based on what a bodybuilder (with no other responsibilities) would receive. I don't know what you do, so I can't estimate your worth to them.

LOL
Care to share any source you get your info about "average contracts" from?
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:51:39 PM
LOL
Care to share any source you get your info about "average contracts" from?

I'd rather not.

Average industry "talent" - (I'm not talking industry leaders like Jay, Branch and Ronnie), goes for about about 40-60k per year. How much do you think companies are paying guys to take pictures and go to expos.
Title: Re: BSN Sold for $144 Million
Post by: mass243 on January 19, 2011, 02:54:53 PM
I'd rather not.

Average industry "talent" - (I'm not talking industry leaders like Jay, Branch and Ronnie), goes for about about 40-60k per year. How much do you think companies are paying guys to take pictures and go to expos.

I have no idea about exact figures but as long as we're talking about top10 pros they are more than probably making way more than 40k a year...

Although it all of course depends on what is the 'average' here... if we take in count guys who get free protein bar for christmas it naturally decreases the average payment..
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 02:57:36 PM
I have no idea about exact figures but as long as we're talking about pros placing in top10 they are probably making way more than 40k a year...




Just giving my .2. Take it for what it's worth.

I'll give you that the top guys make much more than the average industry contract, but keep in mind, there are lots of endorsers out there. Erick Farnhouser (or however the fuck you spell his name) ain't making big money to go to expos and appear in print ads. His contract is likely worth 40-60 and his company most likely pays for expenses, as well - (travel + food), which could tack on another 20, or so. There are more average vs. top guys.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 03:01:33 PM

Correct, but all the roles you mentioned are utilized by most all companies.
No shit sherlock, my point is that's where the bulk of the pay roll is. There's very little to do with the physical product.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 03:08:47 PM
No shit sherlock, my point is that's where the bulk of the pay roll is. There's very little to do with the physical product.

I might have been confused by your posts. You said this:

Quote
I don't mean just him, I mean like the graphics designer the bitch calling other shops up, other sales folk. People in distribution, that connect shipping routes. And the list goes, on.

And that 7 percent marketing idea, I don't think is true, unless your highly selective on what you include as marketing.
 

My point is this: the bulk of every company's payroll is wrapped up in the same type of shit. It's all included in the contribution margin. I changed by post to 7-12 percent. I'd say that's around the industry standard, if your company is not a toilet.
  
 
Title: Re: BSN Sold for $144 Million
Post by: tom joad on January 19, 2011, 03:18:08 PM
You're way off bro...since none of you really know what my role is, or what I do...these guesses are laughable.

Bob, is your role and salary with BSN a secret?

If you have a big contract with BSN, why wouldn't you want the terms to be publicly disclosed?  I mean, you're the athletes' rep right? So then if the dollar figure of your lucrative contract is widely known in the industry then the athletes that you represent will benefit when some of them negotiate their own contracts with supplement companies as your deal will have raised the bar for others.  
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 03:23:51 PM
I'll agree, my guess is 400k but I have no idea who you or BSN really is. But If your one of their star reps your probaly paid to do alot of things beside taking photos.

If he's making 400, his salary like likely higher than the ceo's. The supplement industry does not pay well (compared to other industries). Highly doubt he gets 400.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 03:26:41 PM
I might have been confused by your posts. You said this:
  

My point is this: the bulk of every company's payroll is wrapped up in the same type of shit. It's all included in the contribution margin. I changed by post to 7-12 percent. I'd say that's around the industry standard, if your company is not a toilet.
  
Lol my best friends works in a company with 9 guys, one sales lady, and a few mil worth of CNC's, for making high end kitchen cabinets, they make a pretty penny, and their sales lady, in only a small part of the actual cost, same with my room mates electronics company.

However I'd agree that your right about american companies, but they don't really produce anything which was my point from the start.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 03:28:09 PM
If he's making 400, his salary like likely higher than the ceo's. The supplement industry does not pay well (compared to other industries). Highly doubt he gets 400.
Well it's entirely dependant on how much they feel it's worth to keep him, which is why we won't ever hear of the actual numbers. You can't base it on how many titles or photo's he takes. It has alot more to do with how much they feel they will lose without him.
Title: Re: BSN Sold for $144 Million
Post by: body88 on January 19, 2011, 03:37:59 PM
Well it's entirely dependant on how much they feel it's worth to keep him, which is why we won't ever hear of the actual numbers. You can't base it on how many titles or photo's he takes. It has alot more to do with how much they feel they will lose without him.

I hear you, but thats a big chunk if he is not running a huge part of the business. I don't think BSN was doing enough earning to justify paying Bob upwards of half a million. Think about the expenses as well. At least 80- 100 more per year. Meals, flights, supps, hotels, car rentals....

I could be wrong. I hope I am. I hope he makes huge money.
Title: Re: BSN Sold for $144 Million
Post by: Captain Equipoise on January 19, 2011, 03:51:42 PM
You guys are smoking crack if you think Chick is making anything over $50k with BSN

esp. anywhere NEAR 400k, hehehe the CEO's don't make that much let alone a senior, retired former pro bodybuilder.
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 03:54:39 PM
You guys are smoking crack if you think Chick is making anything over $50k with BSN

esp. anywhere NEAR 400k, hehehe the CEO's don't make that much let alone a senior, retired former pro bodybuilder.

It depends, if Bob Chick is seen as a pseudo share older it's entirely possible as he's a large part of the brand. Atleast I thought he was.

But I have no idea nor do you what his relationship with the company is. All I know is BSN is only ever mentioned on this site with Bob Chicks name, me thinks this is no accident.
Title: Re: BSN Sold for $144 Million
Post by: SF1900 on January 19, 2011, 03:58:58 PM
Wow, someone actually spent $144 million on absolute shit.
Title: Re: BSN Sold for $144 Million
Post by: maxkane69 on January 19, 2011, 04:04:37 PM
ALL BB. SUPPLEMENTS ARE GARBAGE!
EAT A CAN OF TUNA,EGGS OR CHICKEN BREAST INSTEAD OF WHEY ISOLATE.
EAT FRUIT AND VEGETABLES INSTEAD OF MULTIVIT./MULTIMIN. CAPS!
EAT BEEF IF YOU WANT CREATINE MONOHYDRATE!
EAT SALMON IF YOU WANT FISH OIL!
DO NOT BE STUPID AND LET SNAKE OIL SALESMANS BECOME RICH STEALING FROM YOU!
Title: Re: BSN Sold for $144 Million
Post by: Ron on January 19, 2011, 04:09:52 PM
I gotta laugh at some of the things that people thinks, like Bob didn't know about the BSN deal. He knew as much as many of us involved did, but obviously, not going to say anything to jeapordize anything.

Quote
Wow, someone actually spent $144 million on absolute shit.

Obviously, you have NO idea what you are talking about. With revenues in 2010 approx 30-40% higher than 2009, it is an aweomse deal for Glanbia to purchase.  Since they will bring the outsourcing of BSN's product into their own manufacturing lines, which also does Optimum eventually, the savings there is tremendous.   With sales continuing to grow at BSN, it was a good move.

Quote
If he's making 400, his salary like likely higher than the ceo's. The supplement industry does not pay well (compared to other industries). Highly doubt he gets 400.  You guys are smoking crack if you think Chick is making anything over $50k with BSN

Bob is not making 400K, jeez, nor is he making 50K?  He is more than just an 'athlete' for BSN, and his salary show it.

Quote
Bob, is your role and salary with BSN a secret? If you have a big contract with BSN, why wouldn't you want the terms to be publicly disclosed? I mean, you're the athletes' rep right? So then if the dollar figure of your lucrative contract is widely known in the industry then the athletes that you represent will benefit when some of them negotiate their own contracts with supplement companies as your deal will have raised the bar for others

Yes, his salary is a private matter, as is all salaries in many companies. Most businessman do not 'disclose' their financial dealing because it isnt anyones business.  To be truthfull, almost none of you know people's nor athletes compensation, plus benefits, and other bonuses they get for meeting goals, etc.  


Quote
ALL BB. SUPPLEMENTS ARE GARBAGE! EAT A CAN OF TUNA,EGGS OR CHICKEN BREAST INSTEAD OF WHEY ISOLATE. EAT FRUIT AND VEGETABLES INSTEAD OF MULTIVIT./MULTIMIN. CAPS! EAT BEEF IF YOU WANT CREATINE MONOHYDRATE! EAT SALMON IF YOU WANT FISH OIL! DO NOT BE STUPID AND LET SNAKE OIL SALESMANS BECOME RICH STEALING FROM YOU!

Another stupid response from a purist who obviously thinks that. As we have had discussions many items, supplements are items to SUPPLEMENT your food intake. Duh.  Get it.  Many people do not have the time to eat tons of food all the time, hence you 'supplement' your food intake.

And as many people know, experts, competitors, and mainstream people, supplements do work.  Not all of them, but many do.  But without exercise, some cardio and lifting weights, nothing will happen.
Title: Re: BSN Sold for $144 Million
Post by: Spicy Shushi on January 19, 2011, 04:28:08 PM
rumor has it that it was only going to be sold for $133 million but after talking to Bob they upped their offer
Title: Re: BSN Sold for $144 Million
Post by: Lundgren on January 19, 2011, 04:57:39 PM
rumor has it that it was only going to be sold for $133 million but after talking to Bob they upped their offer
I donno if that's a joke but that would speak volumes about how much he's worth to them.
Title: Re: BSN Sold for $144 Million
Post by: Firemuscle on January 19, 2011, 05:01:28 PM
I gotta laugh at some of the things that people thinks, like Bob didn't know about the BSN deal. He knew as much as many of us involved did, but obviously, not going to say anything to jeapordize anything.

Obviously, you have NO idea what you are talking about. With revenues in 2010 approx 30-40% higher than 2009, it is an aweomse deal for Glanbia to purchase.  Since they will bring the outsourcing of BSN's product into their own manufacturing lines, which also does Optimum eventually, the savings there is tremendous.   With sales continuing to grow at BSN, it was a good move.

Bob is not making 400K, jeez, nor is he making 50K?  He is more than just an 'athlete' for BSN, and his salary show it.

Yes, his salary is a private matter, as is all salaries in many companies. Most businessman do not 'disclose' their financial dealing because it isnt anyones business.  To be truthfull, almost none of you know people's nor athletes compensation, plus benefits, and other bonuses they get for meeting goals, etc.  


Another stupid response from a purist who obviously thinks that. As we have had discussions many items, supplements are items to SUPPLEMENT your food intake. Duh.  Get it.  Many people do not have the time to eat tons of food all the time, hence you 'supplement' your food intake.

And as many people know, experts, competitors, and mainstream people, supplements do work.  Not all of them, but many do.  But without exercise, some cardio and lifting weights, nothing will happen.

 That's right Ron. Tell the bitches what's up.
Title: Re: BSN Sold for $144 Million
Post by: tom joad on January 19, 2011, 05:21:04 PM
Yes, his salary is a private matter, as is all salaries in many companies. Most businessman do not 'disclose' their financial dealing because it isnt anyones business.  To be truthfull, almost none of you know people's nor athletes compensation, plus benefits, and other bonuses they get for meeting goals, etc.  

if Bob is wearing his "businessman" hat (for his own self interest in the industry) then he shouldn't be wearing "the athletes' rep" hat as well.
Title: Re: BSN Sold for $144 Million
Post by: jordyb80 on January 19, 2011, 05:39:46 PM
Glanbia spent 315M on Optimum/abb
Title: Re: BSN Sold for $144 Million
Post by: TacoBell on January 19, 2011, 05:55:12 PM
Scotty James lives down the street from me actually.  Havent seen him this week but Im sure hes a happy camper.