In advance of Bill Ackman’s presentation tomorrow (we will be covering the event live- sign up for free our newsletter to receive all our coverage sent straight in your inbox), in which the activist hedge fund manger claims he will place the final nail in the Herbalife coffin, Herbalife Ltd. (NYSE:HLF) is fighting back by launching a new video selling the concept of their Herbalife nutrition clubs.  The video stresses how it assists a healthy active lifestyle and makes a particular point that it assists the Latino community in helping to encourage healthy lifestyle choices. The Latino community, critics say, has been victimized by false promises of guaranteed Herbalife riches.


Ackman says Herbalife is clearly panicking

The nutrition clubs appear to be a likely focus of Ackman’s attack tomorrow. As reported today in ValueWalk, Ackman said Herbalife Ltd. (NYSE:HLF) is “clearly panicking,” saying Herbalife Ltd. (NYSE:HLF) is “freaked” because they know the information Ackman possesses and will reveal tomorrow. “We are going to expose an incredible fraud tomorrow.  The fraud is in the way they fundamentally operate.  These so-called nutrition clubs where they talk about places for people to get together and learn about good nutrition and lose weight.  That’s not what’s happening at these venues.”

Selling products is not the primary objective of nutrition clubs

In the ten minute feel-good video, the presence of healthy minorities exercising and consuming Herbalife Ltd. (NYSE:HLF) products is front and center, but the video claims selling product is not the primary objective of the clubs.


“I joined Herbalife and I found out it was more like a community,” said “Tanya,” an Herbalife member. “We all get together, we work out and have fun. We intertwine with each other’s families.”

The video says Herbalife fitness and nutrition clubs are at the heart of how Herbalife Ltd. (NYSE:HLF) is helping people change their lives.

Herbalife LA Mayor

Mayor Antonio Villaraigosa discusses obesity in the Latino community

The video is full of star-studded cameos. For instance, Los Angeles Mayor Antonio Villaraigosa, a consultant to Herbalife, says obesity in the Latino community is higher than the national average. “It’s important that there is a company like Herbalife Ltd. (NYSE:HLF) to send the message that we need to change our eating habits,” he said in the video.

Surgon General

“Had I known you I would have come to you and asked to join you and let me partner to get this good information out,” Dr. Richard Carmona was quoted as saying in the video. As previously reported in ValueWalk, Carmona is an Herbalife Ltd. (NYSE:HLF) paid consultant who was quoted as saying his only regret during his term of government service was not joining Herbalife earlier. The comments were made in a video, which Herbalife just posted on its new website, I am Herbalife.

sit ups

While the Herbalife Ltd. (NYSE:HLF) health group goes outside and exercises as a group, they come back to the fitness club, often unadvertised locations only available to those invited to participate, and learn about Herbalife products, the video explains.

We see it as doing our part to make the world a better place, the video said.

The truth behind Herbalife nutrition clubs