View from City Road: Betterware needs to clean up its act

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The Independent Online
Seldom has a director's share sale been a clearer sell signal than when Andrew Cohen, chief executive of Betterware, and his family offloaded 13.4 million Betterware shares at 230p each 15 months ago. Since then, they have dropped like a stone, collapsing to a new low of 50p after yesterday's profit warning.

While shareholders have clearly grasped the extent of Betterware's problem, there is little sign that the company itself has. Instead of concentrating its efforts on solving its problems in Britain, where a 9 per cent fall in sales will apparently cost a disproportionate 43 per cent of profits, it is signing deals to take Betterware brushes to Mexico. They would be much better applied to cleaning up the company's act here.