Profile: Nautilus, Inc. (NLS)

Nautilus, Inc. (Nautilus), incorporated in January 1993, is a global fitness products company. The Company’s principal business activities include designing, developing, sourcing, manufacturing and marketing cardiovascular and strength products and related accessories. Its products are sold under some of the brand names in the fitness industry, including Nautilus, Bowflex, Schwinn Fitness and StairMaster. Nautilus is focused on developing and marketing fitness equipment and related products to help people enjoy healthier lives. Its products are targeted to meet the needs of a range of consumers, including professional athletes, fitness enthusiasts and individuals who are seeking the benefits of regular exercise.

Direct Business

The direct business segment focuses on the development of, or acquisition of rights to, products, and the application of ways to communicate the benefits of their use. In its direct business, Nautilus markets and sells products, principally Bowflex strength and cardiovascular products, directly to end-consumers.

The Company competes with Fitness Quest, Jenny Craig, NutriSystems and ICON Health & Fitness.

Retail Business

In its retail business segment, the Company markets and sells a line of consumer fitness equipment under the Nautilus, Schwinn Fitness, StairMaster and Bowflex brands. Nautilus’ products are marketed through a network of more than 5,000 retail locations, consisting of sporting goods stores, department stores, governmental agencies, and, to a lesser extent, smaller specialty retailers and independent bike dealers.

The Company competes with Johnson Health Tech, and ICON Health and Fitness.

Commercial Business

In its commercial business, Nautilus markets and sells its Nautilus, Schwinn Fitness, and StairMaster commercial fitness equipment through an internal sales force and network of distributors in the United States and abroad. Its primary customers include health clubs, governmental agencies, hotels, corporate fitness centers, colleges, universities, assisted living facilities and other organizations. The Company’s product offerings in the commercial business include club-quality strength and resistance products, such as Nautilus One; free weights; high-use StairMaster cardio products, and other pieces of fitness equipment marketed as part of a workout circuit.

Nautilus with Life Fitness (Brunswick), Precor (Amer Sports), Cybex and TechnoGym.