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Key Factors in Business Success • Exclusive Products and Technology • Favorable Market Trends • Rock Solid Company • Perfect Timing • Time and Income Leverage • Performance Products – Instant Results • Exclusive Proprietary Technologies • Research and Development Centers Provo, Utah – Beijing – Shanghai • Corporate Leadership – Committed • 125 Full-Time Scientists – Many Disciplines Nutrition, Medicine Pharmacology, Biochemistry, Dietetics, Toxicology, Immunology, Physics, Biomedical Engineering • Dr. Joseph Chang – Chief Scientific Officer Photodynamic Cancer Therapy Drug (Brain Tumors) Etodolic (Arthritis Drug) Rapamune (Anti-Rejection Drug) • Scientific Advisory Board – 20 Scientists • 150 University / Research Inst. Affiliations NuSkin is THE Anti-Aging Company 3 Exclusive Advantages 1 - The Galvanic Spa™ II 2 - ageLOC™ 3 - True Face Essence Ultra Firming Serum with Ethocyn® Reducing the size of Technology Portable Handheld Technology Download Media Consumable Proprietary Products iTunes Store Automatic Delivery Rewards saving time, money and earning FREE products 1st Exclusive Advantage Galvanic Spa System II Instant Results – Unique, Emotional, Affordable! • Removes Fine Lines and Wrinkles • Lifts and Increases Skin Firmness • Micro Cleanses Skin • Improves Skin Texture and Pore Size • Makes Other Products More Effective Hand-held Patented Technology Half-Face Results • • • • • • Around the eyes Nasal fold Around the mouth Skin firmness Smoother texture Reduced pore size What is the Galvanic Spa? • Non-invasive, pain-free, 10 minute total treatment. • Designed to work synergistically with proprietary, specially formulated and charged gels to maximize the transport of active ingredients. • Patented self-adjusting currents with 4 interchangeable heads. • Results visible immediately and continue for up to 24 hours. • Micro-cleansing clinically proven to increase posttreatment product effectiveness by up to 70%. VALUE ageLOC Spa Package = $285 » Galvanic Spa Device » 4 Interchangeable Heads » 8 Sets of Facial Treatment Gels (1 month) » 1 Tube of Body Shaping Gel (1 month) » Cost per Treatment (after 1st 8 treatments) = $7.50!!! 2nd Exclusive Advantage ageLOC™ Nu Skin Galvanic Spa Facial Gels now feature new ageLOC™ technology—a new and proprietary blend of ingredients that is clinically proven to STOP the arNOX aging enzyme and block the destruction of collagen and elastin (structural proteins responsible for making the skin smooth and supple). ageLOC™ is the NEW ANTIDOTE to AGING! ™ The arNOX Enzyme Discovery Scientists Identify Inherent Free Radical Generator The Internal Aging Factor The arNOX enzyme releasing superoxide free radicals destroying structural proteins - New research conducted in collaboration with Purdue University recently revealed a major, previously hidden source of aging within each of us: an internal free radical generator in the epidermis. - The arNOX enzyme is present on the surface of our cells. This invisible enemy is capable of generating skin damaging free radicals around the clock, increasing as we age. - Unlike other free radicals that come from exposure to the sun or pollutants, only our genes control its activity. The Stanford Study A recent study by Stanford University High arNOX = has shown that individuals with low arNOX levels are clinically graded to look an average of seven years younger Average years older than their actual chronological age. Individuals with high levels of arNOX appear to be an average of seven years Low arNOX = older than their actual age. 7 Average 7 years younger +18 +16 +14 +12 +10 +8 +6 +4 +2 Actual Age -2 -4 -6 -8 -10 -12 -14 -16 Treatment Gel with ageLOC™ Measuring arNOX Activity Applied ageLOC Technology n 0.25 arNOX Activity 0.20 ageLOC ingredient 0.15 0.10 Zero arNOX Activity 0.05 0.00 0i 12 24 36 48 60 TIME IN MINUTES 72 84 96 Protecting our Competitive Advantage • Patents on the discovery of arNOX • Patents on the ability to measure arNOX activity SLM Aminco DW-2000 Spectrophotometer • Patents on the ageLOC technology Scott Schwerdt – After 5 Weeks of Using ageLOC Treated Untreated 3rd Exclusive Advantage Tru Face Essence Ultra • Clinically proven to increase elastin level of the skin (to that of an 18-24 year old) • Clinical studies at UCLA • Exclusive Licensing Rights to Ethocyn • Comprehensive Antioxidant Network • Karen Philips decided to test Tru Face Essence Ultra by using the Product on only one half of her face for 120 days. • The results of her “half face test” are seen in this picture. With Ethocyn With Ethocyn Without Ethocyn Without Ethocyn The Development of Ethocyn® • Clinical trials have been conducted at UCLA , University of Shanghai and Nu Skin. • In an 8 week study Ethocyn™ was proven to increase elastin production in the skin by 88%. 100 50 0 Normal elastin production according to aging Elastin production with Ethocyn Ethocyn® Clinical Trials Results Ethocyn®: “Topical BID application of Ethocyn™ by patients aged 40-77 years restores elastin production to levels normally obtained in youth (ages 18-25). The mean level of elastic tissue in Ethocyn™ treated individuals increased by 100% (in some patients over 500%) (P=.001). Every individual, male and female subject, had shown improvement and had smoother, tighter and less wrinkled skin.” American Academy of Dermatology Medical Conference, San Francisco, California Richard Strick, M.D. Diplomate of American Academy of Dermatology Clinical Professor of Dermatology, UCLA School of Medicine Ethocyn® Clinical Trials Results • After using Ethocyn® for 60 days, a 77 year old had the same elastin fiber content as his 21 year old grandson who was in the “control” 18-25 group, • People who had elastin level of .1% before using Ethocyn®, realized 15-18% elastin levels after 45-60 days of use. VALUE TruFace Essence Ultra Firming Serum 60 Treatments = $128 Patented Exclusive Advantages 1 - The Galvanic Spa II Repair 2 - ageLOC – Prevent ™ 3 - True Face Essence Ultra Reverse Strongest Product Combination in the Anti-Aging Market Skin Care Programs The Perfect Storm • • • • Baby Boomers – Targeting the entire generation The “Y” Generation – Entering their 30’s Inverse relationship with Economy Demographics are in place The Wind is at our Back The Numbers • • • • • • 2008 – Record year for Nu Skin December commissions - $49.8 million 2008 commissions - $600 million 500% Galvanic Spa growth year over year New millionaire created every 10 days Forbes Magazine (Jan. 12) Nu Skin listed as “top 10 companies you can trust – BUY” • U.S. NuSkin Personal Care – Up 82% 2007-2008 The Company • 1.2 Billion $ Company • 25 Year Track Record • D&B 5A-1 Rating • Operating in 48 Markets • Over $690 Million in Assets • $100 Million in Cash • Publicly Traded on the NYSE (NUS) The Company Most Innovative Company, 2005 Best Corporate Social Responsibility Program, 2007 American Business Awards The Business is all about Positioning, Positioning Positioning ! We can learn from the past… Mega Volume Company From Big to Giant 1959 1979 AMWAY 12 Years 20 Years $5 Billion $I Billion 1984 1991 2007 NSE ? $4 Billion 23 Years New Leadership $1.2 Billion $5 Billion Market Trends & Timing “This is the most compelling story in the 25 year history of our company. I’m paddling as hard as I can right now!” - Craig Tillotson, one of the 3 founding Distributors of NSE and in the top 10 income earners in the history of network marketing. Craig has not actively built in over 20 years! Leverage The 40 Year Plan – Trading time for $ Whose Dream are you Building? Create Ownership Duplication - Building Sales Organization and Distribution Channel Residual Income Based on Consumable Proprietary Products NSE #1 in Distributor Commissions Paid • 45% of total revenue paid in commissions • Proven compensation plan = over 600 $1 Million money earners • 1 new $1 Million earner every 10 days • Paid over $600 million in commissions in 2008 • Wealth Maximizer Average Yearly Incomes Over $5 Billion Paid in Commissions Since Inception There are no bonuses paid for recruiting. All bonuses are paid only when products are sold. For a complete summary of distributor earnings/bonuses paid to distributors at all levels within the Sales Compensation Plan, please contact the company at 800-487-1000 or see the end of this presentation.