Industry Updates: Drug Stores and HBC Chains – February 2013

Personnel Updates:

CVS announced that Cheryl Mahoney has assumed the new role of VP Retail Merchandising – promotion and business development. The company has brought onboard Alex Perez-Tenessa to serve as VP Retail Merchandising – beauty/personal care.

CVS Caremark has announced the appointment of former Staples executive Brian Tilzer as SVP chief digital officer.

Rite Aid Corp. said that it has hired Yong Choe, currently the director of Business Outreach and Member Services for the Republican Study Committee, to be its VP of Federal Affairs and Public Policy.

Walgreens promoted Joe Magnacca to Exec VP from Senior VP, effective immediately. Magnacca also retains his title as President of daily living products and solutions. Within a week, however it was announced that RadioShack Corp. said hired Walgreen Magnacca to be its new CEO.

Ulta Beauty announced Chuck Rubin will step down as President, CEO and director, effective Feb. 21, to become CEO at Michaels Stores, a specialty retailer of arts and crafts.

Financial Focus:

GNC Holdings reported fiscal 2012 sales of $2.429 billion. The retailer plans to open approximately 150 net new U.S. stores in 2013, along with 30 net new domestic franchise locations, and 175-200 net new international franchise locations.

Industry Insight:

Bartell Drugs will build its 59^th store in Downtown Seattle.

Mergers and Acquisitions:

The Vitamin Shoppe announced that it has closed on the previously announced purchase of Super Supplements, a specialty retailer of vitamins, minerals and supplements for approximately $50 million.