Nutrition 21 has built its business around chromium picolinate, and has played a leading role in research into the mineral's benefits, particularly for diabetes sufferers.
In 2006 it shifted its focus from ingredients to condition-specific finished products - a change that signaled a new phase in the company's development.
It now distributes its portfolio of brands, which include Chromax, Core4Life, Diabetes Essentials and Iceland Health, through some 29,000 retailers in the US and overseas.
At the same time, it still has a hand in supplying ingredients to third parties, and also in manufacturing private label supplements.
The company announced yesterday that it received a letter from Nasdaq stating that it has failed to comply with the $1 minimum bid price required for continued listing on the exchange.
It has 180 to regain compliance.
If it does not do so, but still manages to meet all the other requirements the time frame will be extended for a further 180 days.
If delisting should occur, the company would have the right to appeal.
At close of business yesterday Nutrition 21 shares were selling at $0.7101.
The 52 week high is $2.63, and low is $0.58.
With 62,529,000 outstanding shares, the company had a market value of $44,401,842.90 this morning.
In November, Nutrition 21 reported financial results for its first quarter 2008.
Total revenues were seen to have increased by 171 per cent to $12.7m on the prior year period.
Net loss for the quarter was $4.1m or -$0.07 per diluted share - a small improvement on -$0.08 per diluted share reported the year before.
President and CEO Paul Intlekofer said at time that plans are in place to increase product distribution further.
In September the company announced it has entered into definitive agreements to privately place shares and warrants to fund $17.75mn for marketing and retailing of its condition-specific products.
The placement consisted of 17,750 shares of preferred stock and 6,715,218 warrants for aggregate gross.
The securities are being sold to institutional investors including Midsummer Investment and Fort Mason Capital.
Collins Stewart served as the lead placement agent.
Despite the new finished product focus, Nutrition 21 has not abandoned its scientific approach.
In December it announced the results of a new clinical study indicating that daily supplementation with 100mcg of chromium as chromium picolinate could help improve cognitive function in older adults with memory decline.
"Impaired glucose metabolism and insulin resistance have been linked to age-related cognitive decline, dementia and Alzheimer's disease.
These findings suggest that improving glucose metabolism with chromium picolinate supplementation may enhance cognition," said Robert Krikorian, PhD lead investigator and associate professor, Department of Psychiatry, University of Cincinnati College of Medicine.
The study used Nutrition 21's trademarked Core4Life Advanced Memory Formula, which combines chromium picolinate with phosphatidylserine and DHA.