LOS ANGELES, CA
49. FAROUK SYSTEMS
Sales: $135 million for personal care products. Corporate
sales: $4.4 billion.
Key Personnel: Michael O. Johnson, chairman and chief executive officer; Desmond Walsh, president; John G DeSimone, chief
financial officer; Richard P. Goudis, chief operating officer; Mark
Friedman, executive vice president, general counsel and secretary.
Major Products: Personal care products that fall under the brand
names such as Skin Activator, SKIN and Herbal Aloe.
Comments: Herbalife remains in a fight for its life with activist
investor Bill Ackman. But Bully Bill doesn’t seem to be winning
Ackman, the CEO of hedge fund Pershing Square, placed a $1
billion short position against Herbalife in December 2012. And
despite three years of crusading against Herbalife’s central distribution model—which he has equated to a“pyramid scheme”
—Herbalife shares have doubled.
Just last month fellow big-time investor Carl Icahn insisted
that Ackman made a big mistake.
“Ackman is a smart guy and all but he’s just dead wrong,”
Icahn told the folks on CNBC’s Squawkbox. “This company creates work for a lot of people and to say that it doesn’t is ridiculous.”
Things may be turning around though in 2016, as corporate
sales rose 1%, which was ahead of initial guidance. •
Sales: $139 million (estimated).
Key Personnel: Dr. Farouk Shami, chairman and founder; Lisa
Marie Garcia, president of innovation.
Major Products: CHI and BioSilk professional products.
New Products: CHI Line Extension, CHI Touch 2 Hair Dryer, CHI
Escape Cordless Flat Iron and Curling Iron, CHI Onyx Euroshine
Hair Dryer and Styler, CHI Color Illuminate, CHI Shine Shades,
CHI Tea Tree Oil, CHI Rosehip Oil, Dura CHI Handshot, CHI
Comments: Farouk Systems, Inc. is billed as a Houston-based
company of hairdressers for hairdressers. It was founded in 1986
by Dr. Farouk Shami, a hairdresser himself, with a mission to
provide the professional beauty industry with the most advanced
American technology based upon education, environment and
ethics. Farouk Systems distributes its products throughout the US
and to more than 144 countries worldwide.
Shami is the owner of 23 patents, including the the world’s
first ammonia-free hair color. He is the first hairdresser to re-
ceive a Doctor of Beauty - Honorary Ph.D. of Arts by SeoKyeong
University in Korea and was also the first to use silk proteins in
the creation of the BioSilk Silk Therapy Line. He invented the
very first CHI Ceramic Hairstyling Iron.
Farouk Systems provides an extensive marketing strategy
with customized tools, promotions, packaging, traditional and
digital co-op marketing opportunities and sponsorships. In conjunction with these initiatives, successful partnerships have been
achieved with Miss Universe, Miss USA and Miss Teen USA pageants, NBC’s Celebrity Apprentice, Lifetime’s Project Runway, The
Kardashian Hair Care Line and celebrity spokesperson Zendaya.
To build the future of the industry, Farouk Systems Inc. leads
the way with more than 500 CHI Partner Schools as well as the
CHI Lone Star College-North Harris School of Cosmetology in
This past year, CHI and celebrity ambassador Zendaya officially unveiled the launch of the #REALisBEAUTIFUL campaign,
which highlights six diverse styles curated by CHI and Zendaya
that showcase the versatility and power hair lends to personal
style and expression.
In other news, Farouk Systems USA signed its first promo-tional agreement with Univision Enterprises, the products and
services division of Univision Communications Inc. (UCI), a leading media company serving Hispanic America.
At press time, the company also named Lisa Marie Garcia as
its president of innovation. She has been with Farouk Systems for
30 years and will be responsible for shows, education and marketing worldwide