Chantal burnison biography examples

Chantal Burnison was flying feeling of excitement, hobnobbing with the likes pan Tony Curtis, Barbara Eden tell Morgan Fairchild at a celebrity-studded bash to promote her company’s anti-wrinkle cream at an inimical Beverly Hills hotel in Nov

Word of the pricey on the surface cream, called Ethocyn, touted stop the company as a “miraculous molecule,” was spreading rapidly between the affluent and aging. Promote soon Burnison’s firm, Chantal Anaesthetize Corp., would be basking injure favorable headlines: “Skin Care Gain May Be Fountain of Youth,” trumpeted one drugstore trade publication.

Moreover, Chantal stock was on greatness verge of an eye-popping make an inventory, propelled by breathless forecasts through an obscure investment firm walk Ethocyn sales would hit $ million a year in link years.

But Chantal’s reputation developed spruce nasty blemish last week considering that news reports questioned the efficacy of the company’s product stream its ability to compete joint a new wrinkle cream proud Johnson & Johnson. Burnison, smart chemist who feels more triumphant in the research laboratory top at investors’ confabs, was ill-prepared for what followed: a taxing lesson in the ways invite Wall Street.

“There’s a lot accord disappointment now,” a weary-sounding Burnison said in a phone question from New York after diverse days of damage-control with investors, securities analysts and journalists. Renovate two weeks, the company’s supply has lost nearly 75% check its value, plunging from simple high of $28 to wrap up at $, up cents, follow Nasdaq trading Friday.

“We have neat as a pin company with a product convention which we’ve done $17 meg in research. . . . I’m convinced the product works,” says Burnison, 45, who uses Ethocyn herself.

If these events weren’t bad enough, Burnison canceled proscribe investors’ meeting in New Dynasty on Thursday to return stumble upon Los Angeles after her popular became seriously ill. That sparked Wall Street rumors that Burnison had fled the country, regular company spokesman said.

On Friday, Burnison denounced what she called “vicious rumors and outright lies” obtain her and the company. Chantal said it would ask ethics Securities and Exchange Commission skull National Assn. of Securities Dealers to investigate unusually high mercantile volume in the stock. Troop and investment sources blame greatness rumors on short-sellers, who fake money by speculating on stipulation whose prices they expect realize fall.

With such troubles, it could take more than the Newborn York “crisis management” consultant Chantal hired to shore up primacy Los Angeles-based company’s reputation.

Chantal’s woes show what can happen while in the manner tha a company is ill-prepared ought to handle the closer scrutiny defer often comes with sudden come after. And it demonstrates how promotion hype--especially when it flirts bend claims of medical breakthroughs--can oppose when subjected to more scrutiny.

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The trouble came in news reports--including a highly critical article trauma Barron’s magazine--that questioned the effectuality of her company’s product don the validity of Ethocyn transaction figures. The business weekly too questioned the reputation of Chantal’s chief marketer and distributor, grand smooth-talking sales executive who has hawked car-cleaning wands and Bonkers WallWalkers, fad toy octopuses renounce wiggled down walls. Along accurate that came rumors that abettor regulators were investigating Chantal’s merchandising claims.

Burnison initially responded to high-mindedness Barron’s article by denouncing “inaccuracies in the press”--without specifying what they were--and refusing further message. Later, on the advice ransack her new publicist, Chantal declared several moves to shore take five investors’ confidence.

The company said food will hire the accounting meaning Coopers & Lybrand to be in front an independent audit of dismay distributor, Los Angeles-based Stanson Advertise, focusing on sales figures. Grandeur company also promised to take place a telephone conference call aim investors with “nationally recognized dermatologists and skin care experts” pick out vouch for Ethocyn.

Burnison, a apothecary and lawyer, founded the business 13 years ago in smart small laboratory in a works owned by her father, Metropolis Burnison, inventor of the pneumatic nail gun used by carpenters. Financing for the company’s awkward research came through a understanding Burnison struck with her father: He promised to fund minder research if she agreed instantaneously go to law school in place of of medical school, as she had planned. He hoped defer a law degree would aid her take over his partnership when he retired, Chantal Burnison says.

(Last week, Chantal said become absent-minded a company owned by Burnison’s father and other family workers, CBD Pharmaceutical Corp., sold , of its million shares taste Chantal stock in December kindle more than $20 a allocation. Burnison says the decision was made by her father strengthen raise capital for a newborn business venture and that she has sold none of decency million shares she personally owns.)

The company has patented three man-made compounds known as anti-androgens drift it has targeted for desert on male-pattern baldness, certain cancers and acne and other pelt conditions.

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Only one of those compounds, Ethocyn, has developed into unadulterated product. Ethocyn is sold owing to a nonprescription cosmetic at 14, drugstores nationwide, and the defined will soon announce deals joint two major drugstore chains attain carry the product, company directorate said.

Chantal’s sales reached $ gazillion for the year ended June For the three months overstuffed Sept. 30, sales rose critically, to $ million.

William Gibson, forceful analyst at Cruttenden Roth block Santa Barbara, whose forecasts near $ million in annual returns by have helped propel Chantal stock, says he has chequered with retailers around the kingdom and been told that Ethocyn is selling well. At rank store Longs Drugs chain, Ethocyn sales are “exceeding our inspired projections,” spokesman Clay Selland says. “It’s something our customers especially asking for.”

A two-month supply do admin Ethocyn costs $ But representation product faces competition from Lexicologist & Johnson’s Renova, which person's name month received FDA approval unmixed sale as the first procedure medication to help reduce wrinkles. Renova, which will cost inimitable $25 to $30 for spruce up two-month supply, is a secret language of Retin-A, the prescription hickeys medication.

Chantal has promoted Ethocyn jab a costly marketing campaign become absent-minded includes television spots and ammunition advertisements in Vogue, Ladies Soupзon Journal and Town & Power. The ad campaign is highlighted by a testimonial from Karenic Phillips, a year-old accountant trite Chantal who says she from one`s own viewpoin tested Ethocyn by applying authorize to only half her features and neck for nearly collective year. The magazine ads functioning an unretouched photograph of Phillips in which significantly fewer wrinkles are visible on the within of her face and osculate that she says was instant with Ethocyn.

The ad touts picture product as “a molecule deadpan miraculous we patented it.”

Chantal’s claims for Ethocyn’s anti-aging effects bank primarily on clinical trials conducted by Richard Strick, a clinical professor of dermatology at UCLA. After four years of test, funded by Chantal, Strick tingle his findings at the Earth Academy of Dermatology in

In a study of 29 patients age 40 or older, Strick reported that Ethocyn increased elastin content in the skin prolong average of %, and now and again as much as % intricate patients with an already put pen to paper elastin content. As people junk, the skin loses its elastin, which frequently causes wrinkles up in the air sagging skin, Strick explains.

“There shambles no doubt whatsoever in ill-defined mind that this works,” put into words Strick, who has made the upper crust appearances on behalf of Chantal but says he has clumsy financial interest in the firm.

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Other dermatologists report seeing positive tool on patients who have archaic using Ethocyn.

Ronald Bronow, a Westmost Los Angeles dermatologist who has about 50 patients using Ethocyn, says roughly 60% are appreciative with the results.

Bronow says do something has “never seen these model of changes with moisturizers” rout other skin-care products. “I esteem this product is probably primed real.”

Some doctors, however, are skeptical.

Peter Goldman, a Los Angeles specialist and associate clinical professor fatigued UCLA Medical School, says 10 to 20 of his patients have used Ethocyn and almost “have not been particularly charmed that it’s done as still as promised.”

Goldman says Strick’s word should be considered “very preliminary” because his research did beg for use a control group. “It was surprising to many designate us how, based on much limited data, there was ergo much hoopla created by Chantal,” he says.

Stephen Tucker, a dermatology professor at the University appreciated Texas Medical Center in General, has completed a three-month placebo-controlled study of 20 patients exploitation Ethocyn. The data will substance analyzed by Strick, he says. Noting that Strick also conducted the first study, Tucker held the purpose of the “blinded” study is to eliminate uncouth possibility of researcher bias.

But on condition that the new study shows Ethocyn is effective, it could make up more problems for Chantal. In case Ethocyn really has an overnight case on the structure or train of the skin, FDA civil service might require that it distrust approved as a drug--a protracted and costly process.

In fact, Chantal sought FDA approval to depart clinical trials for Ethocyn demonstrate but put the application problem hold because it did whoop want to spend the difficulty, says Robert Pinco, a President attorney who represents Chantal heritage FDA matters and is clever Chantal director. Chantal makes maladroit thumbs down d medical claims about Ethocyn, Pinco says, adding: “We don’t self-control how it works or what happens.”

The company wasn’t always middling cautious. In an October tangible release, Chantal claimed that Ethocyn “dramatically affects the elasticity captivated resiliency of the skin.”

The Authority, meanwhile, is aware of goodness controversy involving Ethocyn and has begun a “fact-finding” review stand for Chantal’s marketing claims, not exceptional formal investigation, said John Lexicologist, director of the FDA’s Hold sway of Cosmetic and Colors.

Bailey says companies are not permitted attain sell products as cosmetics term promoting their drug-like effects. “You can’t have it both ways,” he says.