GNC Will Open Shops Inside Rite Aid Stores

General Nutrition Cos., struggling to fend off competition from mass merchandisers, said it will open shops within 1,500 Rite Aid Corp. drugstores. GNC shares soared on the news. GNC, a chain of stores that sell vitamins and nutritional supplements, will phase in a complete new line of products over the next three years in the Rite Aid stores. GNC also will launch a Web site to enable customers to buy products online. Pittsburgh-based GNC has faced increased pressure as drugstore giants such as Walgreen Co., large retailers such as Wal-Mart Stores Inc. and grocery chains have expanded into the growing $8-billion U.S. retail vitamin market. GNC operates 3,600 stores of its own in the U.S. GNC shares surged $4.38 to close at $19.75 on Nasdaq. Shares of Camp Hill, Pa.-based Rite Aid rose $1.19 to close at $50 on the NYSE.