Elizabeth Weise and Kevin McCoy, USA TODAY Published 5:04 p.m. ET May 5, 2016 | Updated 10:57 a.m. ET May 6, 2016
HERBALIFE DISTRIBUTION A FIN USA CA

(Photo: Patrick T. Fallon, Bloomberg)
— Shares in Herbalife jumped 11% Friday after the nutritional supplement marketer company said its talks with the Federal Trade Commission were at an advanced stage.

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The FTC has been investigating the Los Angeles-based company for the past two years over whether it is a pyramid scheme. Herbalife first disclosed the discussions in February.

If Herbalife (HLF) settles with the FTC, it expects the settlement will include “injunctive and other relief as well as a token monetary payment with our best estimate of a payment of currency valued at being $200 million,” the company said in a statement.

“While there are a number of open issues, these discussions have progressed to an advanced stage, and the range of outcomes now includes litigation or settlement,” Herbalife CEO and Chairman Michael Johnson said of the FTC talks as he spoke with Wall Street financial analysts during a Thursday conference call after the market closed.

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Herbalife shares rise on news of FTC talks

Injunctive relief can be just as significant as the money obtained for consumers and even more influential on a company’s future operations, the FTC said in a statement.

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