Natural Health Trends Granted Partial Dismissal of Claims

Natural Health Trends Corp. (NASDAQ: BHIP), an international direct-selling company, announced that a court had granted its motion to dismiss certain fraud and contract claims asserted by the bankruptcy trustee of a former distributor, John Loghry. In granting the motion, the court agreed that the dismissed claims had been filed too late to be heard. For similar reasons, the Court also dismissed all claims made in the same lawsuit against former officers and directors of the Company. Although one contract claim asserted against the Company in the lawsuit has not been dismissed and is now awaiting trial on an undetermined date, the Company continues to deny that this claim has any merit and intends to continue vigorously contesting it.

"We are certainly pleased that our motion was granted," said Chris Sharng, President of Natural Health Trends Corp. "With the most potentially damaging claims out of the way, we can focus our defense on the remaining contract claim and continue our emphasis on managing the operation of our business," added Mr. Sharng.