Blog: All over for Atkins?

Catherine Sleep | 2 August 2005

Atkins Nutritionals, the US company behind the infamous low-carb diet, has filed for Chapter 11 bankruptcy as the popularity of the diet continues to wane.

At its height, the diet was so popular that manufacturers of bread, pasta and other carbohydrate-based products struggled to boost sales and some were even forced into bankruptcy themselves. However, this popularity prompted a host of food companies to launch their own low-carb products and low-carb versions of existing products to ensure their sales were not hit. This raft of new low-carb products left Atkins Nutritionals struggling to compete.

A load of negative publicity, as nutritionists criticised the diet for the amount of fatty foods followers were allowed to eat, further impacted sales. There was also the death of the company’s founder, Robert Atkins, after a fall in 2003, which was followed by claims he was overweight and had a heart condition.

Despite a management shake-up and turnaround attempt, the company’s sales and profits have continued to suffer. Under bankruptcy protection, Atkins Nutritionals plans to reduce the company to a much smaller business, to focus on nutrition bars and shakes.

Atkins Nutritionals files for bankruptcy


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