Olivier Colombo - Consultant & Corporate Advisor
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MusclePharm: Chairman letter to shareholders

MusclePharm: Chairman letter to shareholders ahead of the upcoming annual shareholder meeting on June 27th 2016: 

May 13, 2016 Dear Fellow MusclePharm Shareholders,

When I last wrote you in December, I said I was very bullish about my investment in MusclePharm’s future. Many events have happened since then to reinforce my original enthusiasm for the Company and for the brand. In the last six months, we have strengthened the health of the business, and are committed to continuing to drive growth in the Company’s financials as well as the brand.

In 2016, we demonstrated positive momentum yet again:
 • Revenue was $42.9 million for the first quarter;
 • Operating Expenses decreased $2.6 million sequential quarter-over-quarter; and
 • Entered into a definitive agreement for the sale of our wholly-owned subsidiary, BioZone Laboratories, Inc. (“BioZone”)

Although we have improved financial results for the past two quarters, we are not going to slow down to celebrate. Management is focused on executing our strategy to grow MusclePharm’s award-winning family of brands and expand markets and product offerings to meet the expectations of both the serious fitness enthusiast and the casual weekend warrior.

As I previously discussed, I have identified supply chain issues as one of our primary challenges, and we are working on measures to address this critical area. We continue to target improvement in fill rates from our current run rate, which we believe would provide a significant incremental addition to operating income.

At MusclePharm, we exist to serve athletes of all kinds and ensure the products we provide are safe, effective and support their goals to push harder and be the best. Our success is determined by our ability to innovate, inspire and exceed athlete expectations. In recent months, we introduced many innovative products that expanded business: 100% whey, flavor additions to the successful Combat Crunch Bar, and MusclePharm Pro-Gels.
We have many challenges ahead, but we believe we have the plans, expertise, and strategies to overcome them and continue to enhance shareholder value.

Sincerely yours. 
Ryan Drexler