Type of Foods Used: regular grocery store, company foods and supplements optional

At-Home or Direct Mail Plan Available? Yes

Headquarters

Diet Center Worldwide

395 Springside Drive

Akron, OH 44333-2496

330-666-7952 or 1-800-205-7887 or 800-656-3294

Websites: www.dietcenter.com  and www.healthmanagementgroup.com

Diet Center, Physicians Weight Loss Centers, and Form You 3 Intl. are operated as a "triad" of companies owned and operated under an umbrella parent company named Health Management Group. Charles Sekeres is the owner and previously owned and operated only Physicians Weight Loss Centers. Several years ago, while Diet Center was struggling, he bought the company’s trademark and marketing rights, folding this then independent weight loss franchise into his company. The same was done with Form You 3.

Sybil and Roger Ferguson of Rexburg, Idaho founded Diet Center in 1970, and the first company franchise was sold in 1973. Franchises are now actively being sold. Diet Center claims to have served more than 4 million clients over its history. Like most weight loss companies in recent years, this chain has been pared down as well.

Most centers are located in professional office buildings, but more have been opened in retail "strip" malls in recent years. Typically, a center is run by two people--one full-timer and one assistant.

People from all vocations operate these franchises. Many franchisees are former Diet Center clients. Most franchises are very small operations, run by 2 or 3 people. The busiest centers may have larger staffs. Some owners are dietitians. The company has "certified counselors", which means they have undergone 2 weeks of company training. They are not all certified by any outside organization. In many cases, the franchise owner also does counseling of clients. Counselors cannot dispense advice of a medical nature, or deal with complex nutritional issues. If you ask a question they can’t answer, they have to consult with the company’s dietitians or bariatrician and get back to you. You may also call the 800 number and speak to the company’s dietitian.

The Diet Center program is based on regular foods available in grocery stores and restaurants. Management reports that all of its plans are in the process of being streamlined and reformulated (to lower carb mixes) for 2004. There are actually 5-7 different programs within the Exclusively You category. The company also has a vegetarian program and a lactose intolerant program. The average woman on their programs is claimed to lose about 6 lbs. In the first 2 weeks and 14-17 lbs. In 6 weeks, on the Exclusively You plan.

The typical customer is a 30-50 year old female, with 20-30 lbs. to lose. She may have been referred to the company via her doctor, and usually stays on the plan 5-7 weeks. Dieters come to the center up to six days per week (at least once, 3 times/week recommended) for private, individual counseling and weigh-ins. They can also attend weekly nutrition education classes with other dieters. After the weight loss phase, you go through two 3-week "stabilization" periods.

Diet Center Worldwide claims to be the only commercial weight loss program that measures, monitors and helps to manage the ratio of body fat to lean body mass in dieters. To participate in the Exclusively You program introduced in 1991, customers must first undergo a Body Composition Analysis. Using an ElectroLipoGraph to determine the ratio of lean-to-fat body mass in each client.

Dieters with certain pre-existing medical conditions or who have more than 50 pounds to lose are required to obtain their doctor's approval before starting the program. After every 40 lb. weight loss increment, the doctor's approval is required in order for the patient to continue. Counselors will require patients with conditions such as diabetes, heart disease, hypertension, gout, or a history of gallstones, kidney stones, and any form of cancer to receive their doctor's approval before dieting.

Company "consultants" are not health professionals. They receive training at the Diet Center Counselor Certification Program. Consultants administer the program as specified by the company, and receive ongoing training materials and updates on health and fitness information from the headquarters.

Diet Center currently offers the following weight loss programs:

Exclusively You... a 3-part personalized plan under the supervision of a personal counselor.

Instant Shape Up… The most aggressive plan, using 180 cal. meal replacement drinks and 180 cal. bars. The drinks cost $2.57 ea. or $30 per box of 12. The bars also cost $2.57 ea. or $18 per box of 7. The dieter has a choice of two plans, a 1000 cal. or 1200 cal. plan.

Success To Go… an at-home 7-day diet plan for those who don’t live close to a Diet Center. (meal replacements, bars, supplements - $45)

WomanStyle… a nutrition plan for women before, during and after menopause.

Program features include…

An "Exclusively Me" behavior management program/activity book was added, wherein dieters learn skills for healthy eating and how to deal with high-risk situations via tapes and workbooks. This one-time fee costs about $30 extra, but may be included as part of the registration fee at some centers.

Slim Within Personal Assessment Program: Introduced in 1995, the program enables the Diet Center Counselor to help clients target specific behaviors associated with obesity. Based on answers to a comprehensive questionnaire, this tool enables the counselor to tailor a weight management program to each client’s personal weight problems.

WomanStyle Nutrition Plan: According to company literature: WomanStyle is the first nutrition and lifestyle intervention program that recognizes and meets the special needs of women age 45 and above. It is a component of the Exclusively You Weight Management Program. The program provides a vehicle through which women can gain control over their increased risk for heart disease, breast cancer and osteoporosis - associated with menopause. WomanStyle also helps women manage physiological changes associated with menopause, including lean tissue loss, decreased metabolic rate and weight gain; digestion problems; blood sugar alterations; and an increase in urinary tract infections.

According to former Medical Director, Ida Laquatra, 27% of all women and 50% of women age 55-74 exhibit risk factors -- including overweight, obesity, high cholesterol and high blood pressure -- that respond to nutrition and lifestyle intervention like WomanStyle provides. WomanStyle caps cholesterol intake at about 70% less than the national recommendation. The program achieves its very low-cholesterol feature by cutting down on animal protein servings, incorporating a protein group of legumes (dry beans, peas and lentils), excluding egg yolks and allowing animal protein from lean source only.

The Success to Go! Kit: Diet Center has formulated its first ever at home system. The kit has everything a client will need to successfully complete 8 weeks of Exclusively You Reducing plus Stabilization and Maintenance, including Diet Center Supplement, vitamins and minerals, Exclusively Me, and a sample of Diet Center food products. The kit may be sold as a separate product by a Diet Center franchisee, or may be sold as a starter kit for clients who purchase the full Diet Center Exclusively You Program.

The parent firm produces private-label, pre-packaged, portion-controlled food items, but franchisees are not required to buy them. Rather, they are provided as a convenience for customers. The line includes more than 100 items. Optional food products include such items as: low-cal salad dressings, seasonings and spices, marinades, light beverage mixes, protein drinks, vitamins and minerals, canned meats, muffin mixes and wheat crackers, dinner entrees, breakfast foods, desserts and snacks, canned soups, etc.