Joseph A. and Sari F. Deihl - Page 4

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               Mr. Deihl completed his formal education upon graduation               
          from the eighth grade and has since been engaged in a series of             
          entrepreneurial business ventures.  Mrs. Deihl, who has an                  
          eleventh grade education, was an integral participant with her              
          husband in these ventures.  In the early 1980s, petitioners began           
          to investigate the possibility of developing and marketing a                
          vitamin complex administered in spray form.  Petitioners in the             
          mid-1980s acquired a patent for the formula for such a spray                
          multivitamin and incorporated Mayor to manufacture the product.2            
          Petitioners jointly own 100 percent of the stock in, are officers           
          of, and control Mayor.                                                      
               Petitioners experimented with several different                        
          methodologies for marketing their product, which came to be known           
          as VitaMist.  An initial attempt at placement in convenience                
          stores was unsuccessful.  Petitioners later sold the product                
          through a third-party network marketing company, “Eureka Foods”,            
          but that company subsequently went bankrupt.  Then, for a period            
          of several years, petitioners marketed the product through Home             
          Shopping Network.  Eventually, in 1992, petitioners incorporated            
          KareMor to market the VitaMist products.3  As with Mayor,                   
          petitioners jointly own 100 percent of the stock in, are officers           
          of, and control KareMor.                                                    


               2 Mayor elected S corporation status in 1991.                          
               3 KareMor elected S corporation status in 1993.                        




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Last modified: May 25, 2011