COMPANY TOWN ANNEX
<i> Times Staff and Wire Reports</i>
Hair-Raising Stock Plunge: Positive Response’s stock tumbled $4.125 to $8.125 on Nasdaq after the TV infomercial producer said a 30% return rate on its Perfect Hair product wiped out first-quarter earnings. The Sherman Oaks-based company now expects “approximately break-even” results for the first quarter. Perfect Hair, priced at $89.95, is a hair-weave kit that includes segments of human hair of various lengths that purchasers weave into their own hair. Some customers’ “expectation of an instant effortless blend was not met to their satisfaction,” said Michael Levey, CEO and star of the company’s “Amazing Discoveries” and “Ask Mike” infomercials.
