Natural Alternatives International, Inc.

and the science is on our side.We have an enor- mous cost for medical care in the United States, as well as places like Europe,which both have aging demographics; the same is very true for Japan.Then, you look at some of the younger marketplaces where demographics are the flip of what they are in North America. For example, if you look at Vietnam, Malaysia, Indonesia,Australia–you have a younger demographic.And all these people are starting to understand the real value of natural products in their daily lives. So, I think there will be significantly larger markets. I also think that our company will be two or three times its size within five years, as- suming we can grow organically as well as through judicious acquisitions. “We like the healthcare practitioner space.We think that area is ripe for consolidation and growth. More and more people are looking for natural alter- natives to drugs–even doctors are looking for that. Look at the non-judicious use of antibiotics–we’re running out of magic bullets. Somebody has a runny nose and their doctor gives them an antibiotic. That’s great, but these bugs are smarter than the antibiotics, so they’ll mutate into something that we don’t have an arsenal, currently, to address. So,we need to back up for a minute and realize that not everything has a magic bullet. Let’s try and nourish the human immune systemwith things that will actually create a better line of defense than overus- ing antibiotic therapies. “So,more and more doctors are relying on natural products as part of their therapies and they’re dem- onstrating some really good results.You look at life cycles; not a hundred years ago, life expectancy was

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