NATURAL SUPPLEMENT BOOM IS REAL, NOT SHOWING ANY SIGNS OF ABATING

Whether they're called natural supplements, herbal vitamins or what
some on Wall Street know as "neutraceuticals," they're part of an
industry generating, by some estimates, $8 billion in annual sales.

From products like Melatonin, which helps induce sleep and is known to
prevent jet lag, to zinc tablets promoted to alleviate common cold
symptoms, these dietary supplements are more than just a passing fad,
industry analysts say. The sports nutrition segment of the supplement
industry is estimated at more than $1 billion.

"Gatorade was one of the more popular and first functional foods
introduced into the sports world, and look at it now," said William
Wong, an equity analyst with Salomon Smith Barney in New York.

The Dietary Supplement Health and Education Act of 1994 largely is
responsible for ushering in this new wave of products that include
vitamins, minerals, herbs and amino acids.

Androstenedione, the testosterone-producing pill taken by St. Louis
Cardinals slugger Mark McGwire, is just a tiny fraction of the
burgeoning market that falls under the act, which doesn't restrict the
sale of dietary supplements or require a physician's prescription to
purchase these products.

Scottsdale, Ariz.-based Olympian Labs, one of about eight known
manufacturers of Androstenedione, wouldn't comment when contacted Tuesday.

The four-year-old law set up regulatory standards for the supplements
separate from the Food and Drug Administration, according to the
Congressional Research Service in Washington. The law leaves the
industry largely unregulated when compared with pharmaceutical
manufacturers.

Although Congress has had opportunities to amend the law, the most
recent landmark health legislation--the Health Insurance Portability
and Accountability Act of 1996--didn't mention regulation of
supplements or health food stores, the Congressional Research Service
said.

Those who sell the products say there's little need for regulation
because "they are natural," said Peter Maldonado, Vitamin Department
Manager at Sherwyn's Health Food Shops Inc. in Chicago. "Drugs are not
naturally occurring in nature like (supplements) are."

Most supplements simply carry the label acknowledging that they have
not been evaluated by the FDA. The label goes on to say: "This product
is not intended to diagnose, treat, cure or prevent any disease."

The consumer demand for these products is the primary driver behind
the decision by Sherwyn's to expand after operating just one store for
the last 25 years. Maldonado said a "superstore" at an undisclosed
Chicago location will open "very soon."

"We're here to complement the body's natural ability to strengthen its
immunity and longevity," Maldonado said.

As consumers become more health-conscious, the dietary-supplement
market is expected to grow even more.

"People know they have the ability to correct disease and prevent
illness," Maldonado said. "People don't always have to go to a doctor
for an upset stomach when they can take some ginger. Every year, this
business is becoming more monumental."

Checked-by: Patrick Henry