GNC Holdings, Inc. to Acquire
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GNC Holdings, Inc. to Acquire

</p><h2>Successful online retailer of nutritional supplements will enhance GNC's e-Commerce business and broaden its customer demographics</h2><p> August 24, 2011 // // PITTSBURGH – GNC Holdings, Inc. (NYSE: GNC), a leading global specialty retailer of nutritional products, today announced it has agreed to acquire, a leading online value-added retailer of a wide range of nationally branded nutritional supplements with a diverse selection of wellness-oriented products. The acquisition is being funded with cash on hand, and is expected to close within 30 days, subject to customary closing conditions. Terms of the deal were not disclosed.

Following the acquisition,, GNC's e-Commerce platform, and will continue to operate as separate businesses, each with its own product offerings and target customers.

" is a true Internet pioneer in the health and wellness industry and has built a strong online brand and business as a discount retailer," said Joe Fortunato, President and CEO of GNC. " creates a perfect opportunity for GNC to leverage our existing capabilities, provides synergies to strengthen the competitive position of and gain market share in the fast-growing discount e-Commerce channel. The addition of the platform greatly expands our reach and growth opportunities in the e-Commerce channel while broadening our customer demographics and product offerings online."

"Having GNC as a parent company represents an important step in's evolution as a major online retailer of more than 30,000 quality national brand products," said Sam Wolf, CEO of "Leveraging GNC's critical mass in manufacturing, distribution, purchasing power and product development will be valuable tools as we continue to develop the business and realize the expanded growth prospects it presents."

"This acquisition will allow us to participate in the online nutritional discount market without compromising our GNC Live Well brand or the market positioning of our successful business," said Jeffrey R. Hennion, GNC's Executive Vice President and Chief Marketing Officer & e-Commerce. "The combination of's premium branding, content and product assortment with's competitive offering, best-in-class functionality and customer service advances GNC's position in the e-Commerce channel and leverages the strengths of both companies."

"We are also pleased that company founders Sam Wolf and Gary Wolf have agreed to continue on in their roles, overseeing the business as part of the broader GNC e-Commerce team," said Hennion., founded in 2004, is based in Norristown, PA. It generated approximately $40 million in revenue for the last twelve months, earning positive EBITDA margin. GNC expects the acquisition to be accretive, beginning in 2012. The earnings impact in 2011 is expected to be neutral, as positive EBITDA contribution is offset by transaction-related expenses. </p><h2>About GNC Holdings, Inc.</h2><p> GNC Holdings, Inc., headquartered in Pittsburgh, Pa., is a leading global specialty retailer of health and wellness products, including vitamins, minerals, and herbal supplement products, sports nutrition products and diet products, and trades on the New York Stock Exchange under the symbol "GNC".

As of June 30, 2011, GNC has more than 7,400 locations, of which more than 5,700 retail locations are in the United States (including 906 franchise and 2,075 Rite Aid franchise store-within-a-store locations) and franchise operations in 50 countries (including distribution centers where retail sales are made). The Company – which is dedicated to helping consumers Live Well – has a diversified, multi-channel business model and derives revenue from product sales through company-owned retail stores, domestic and international franchise activities, third party contract manufacturing, e-Commerce and corporate partnerships. Our broad and deep product mix, which is focused on high-margin, premium, value-added nutritional products, is sold under GNC proprietary brands, including Mega Men, Ultra Mega, GNC Wellbeing, Pro Performance and Longevity Factors, and under nationally recognized third party brands. </p><h2>Forward-Looking Statements Involving Known and Unknown Risks and Uncertainties</h2><p> This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to our financial condition, results of operations and business that is not historical information. Forward-looking statements can be identified by the use of terminology such as "subject to," "believes," "anticipates," "plans," "expects," "intends," "estimates," "projects," "may," "will," "should," "can," the negatives thereof, variations thereon and similar expressions, or by discussions of strategy and outlook. While GNC believes there is a reasonable basis for its expectations and beliefs, they are inherently uncertain, and the Company may not realize its expectations and its beliefs may not prove correct. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Actual results could differ materially from those described or implied by such forward-looking statements. For a listing of factors that may materially affect such forward-looking statements, please refer to the prospectus that is contained in our registration statement on Form S-1 (File No. 333-169618) filed with the Securities and Exchange Commission.

SOURCE: GNC Holdings, Inc.



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