We believe that product quality and innovation are fundamental to our long-term growth and success. We have a commitment to research and development and to introducing innovative products to correspond with consumer trends and scientific research. Through our research and development efforts, we seek to

• test the safety, purity and potency of products
• develop more effective and efficient means of producing ingredients for use in products
• develop testing methods for ensuring and verifying the consistency of the dosage of ingredients included in our products
• develop new, more effective product delivery forms
• develop new products either by combining existing ingredients used in nutritional supplements or identifying new ingredients that can be used in nutritional supplements.

Our efforts are designed to lead not only to the development of new and improved products, but also to ensure effective manufacturing quality control measures.

We have entered into a cooperative arrangement with Weber State University in Ogden, Utah through which, among other things, the university provides us with access to certain laboratory space and equipment. We also conduct research and development in our own facilities. We currently employ various professionals in research and development and quality control with degrees in, among other things, chemistry, microbiology and engineering and, in many cases, these professionals have also received training in natural health food products. In addition, we retain the services of outside laboratories from time to time to validate our product standards and manufacturing protocols.

Our quality control program seeks to ensure the superior quality of Nutraceutical's products and that they are manufactured in accordance with current Good Manufacturing Practices ("GMPs"). Our processing methods are monitored closely to ensure that only quality ingredients are used and to ensure product purity. Periodically, we retain the services of outside GMP audit and/or consulting firms to assist in its efforts to comply with GMPs.