Press Release

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GNC Holdings, Inc. Reports Fourth Quarter and Full Year 2016 Results
- Reported fourth quarter diluted loss per share of $6.35 and on an adjusted basis, earnings of $0.07. Reported 2016 diluted loss per share of $4.12 and earnings of $2.15 on an adjusted basis. Reported results include the impact of non-cash long-lived asset impairment charges.
- Completed nationwide launch of the One New GNC, including single pricing model and new loyalty programs on December 29, 2016
- Board of Directors suspends the Company's quarterly dividend

PITTSBURGH, Feb. 16, 2017 /PRNewswire/ -- GNC Holdings, Inc. (NYSE: GNC) (the "Company") reported consolidated revenue of $569.9 million in the fourth quarter of 2016, compared with consolidated revenue of $629.1 million for the fourth quarter of 2015.

Same store sales decreased 12.0% in domestic company-owned stores (including GNC.com sales which contributed 4.5% of the decrease) in the fourth quarter of 2016.  In domestic franchise locations, same store sales decreased 6.0% in the fourth quarter of 2016.

For the fourth quarter of 2016, the Company reported a net loss of $433.4 million. The Company recorded $473.5 million in non-cash long-lived asset impairments in the current quarter of which $471.1 million related to goodwill and $2.4 million related to property and equipment. The non-cash goodwill impairment charges were recorded on the Domestic Stores, Manufacturing and Canada reporting units for $366.4 million, $90.5 million and $14.2 million, respectively. Diluted loss per share was $6.35 for the fourth quarter of 2016. Adjusted diluted EPS was $0.07 for the fourth quarter of 2016.

Bob Moran, Interim Chief Executive Officer, commented, "GNC's performance in the fourth quarter, while well below expectations, does not reflect the fundamental changes we have made to the business model. Customers are responding well to the new model, which launched in late December and includes simplified, more competitive pricing and new loyalty programs. We are aware that the changes we have made have short-term financial impacts and while it is still in the early days, and it will take time for our investments to bear fruit, we are encouraged by the trends we're seeing and believe the One New GNC can help the company return to profitable growth."

Key elements of the One New GNC launch:

  • Pricing model. Following more than a year of consumer tests and pilot programs, we rolled out a single-tiered pricing strategy in our domestic company-owned and franchise locations.

  • myGNC Rewards and PRO Access loyalty programs. Following extensive research, a free loyalty program, myGNC Rewards, and a paid program, PRO Access, were launched. The initial focus was to have the myGNC Rewards program well entrenched with customers and direct additional resources to a more comprehensive sales focus on PRO Access later in the first quarter of 2017. Further developing and encouraging active customer participation through robust loyalty programs is an important step towards the goal of attracting new customers and building long-term connections with existing customers.

  • GNC.com. In the third quarter, prices at GNC.com were aligned with stores to eliminate any competition between selling channels, including franchisees. As an element of our omnichannel strategy, early in the first quarter we launched a GNC storefront on Amazon.

Segment Operating Performance

U.S. & Canada

Revenue in the U.S. and Canada segment decreased $41.1 million, or 8.0%, to $472.6 million for the three months ended December 31, 2016 compared with $513.7 million in the prior year quarter. E-commerce sales which include GNC.com and Lucky Vitamin, were 8.8% of U.S. and Canada revenue for the three months ended December 31, 2016, compared with 11.4% in the prior year quarter.

Negative domestic retail same store sales of 12.0%, which includes GNC.com, were primarily due to lower sales in the Vitamins, Protein, Food/Drink and Weight Management categories, partially offset by improvement in the Health and Beauty category and include the impact of a significant decrease in GNC.com sales due in part to a meaningful reduction in web promotion as well as lower point-of-sale gold card sales. In addition, negative same store sales include a 1.0% impact of closing our corporate stores on December 28, 2016 in connection with the roll-out of the One New GNC. Our corporate stores decreased from 3,584 at December 31, 2015 to 3,513 at December 31, 2016.

Domestic franchise revenue increased $3.2 million to $72.6 million in the current quarter compared with $69.4 million in the prior year quarter primarily due to a net increase in the number of franchise stores from 1,084 at December 31, 2015 to 1,178 at December 31, 2016, partially offset by the impact of negative retail same stores sales of 6.0%.

Operating loss was $361.4 million for the three months ended December 31, 2016 compared with income of $78.4 million for the same period in 2015. Long-lived asset impairments were recorded in the current quarter totaling $383.0 million as explained above. Excluding these non-cash impairment charges and gains on refranchising of $0.8 million and $5.1 million the current quarter and prior year quarter, operating income was 4.4% and 14.3% of segment revenue, respectively. The decrease in operating income as a percentage of segment revenue excluding asset impairment charges and gains on refranchising compared with the prior year quarter was primarily due to: deleverage in occupancy and salaries expense associated with negative company-owned same store sales; lower domestic retail product margin rate as a result of higher reserves on certain third-party product that could not be returned to vendors as well as higher estimated reserves on certain proprietary products as a result of recent sales trends and to a lesser extent the impact of promotional pricing; and the launch of the One New GNC (which lowered operating income by approximately $10 million).

International

Revenues in the International segment decreased $9.0 million, or 18.5%, to $39.7 million in the current quarter compared with $48.7 million in the prior year quarter. Despite our international franchisees reporting an increase in retail same store sales of 5.1% in the current quarter (excluding the impact of foreign exchange rate changes relative to the U.S. dollar), revenue from franchisees decreased $9.4 million compared with the prior year quarter primarily related to challenges in several markets, as well as a net decrease in the number of franchise stores from 2,095 at December 31, 2015 to 1,973 at December 31, 2016.

Operating income decreased $2.5 million, or 15.1%, to $14.0 million for the three months ended December 31, 2016 compared with $16.5 million in the prior year quarter. Operating income was 35.2% of segment revenue in the current quarter, which increased compared with the prior year quarter of 33.8% as a result of higher product margin rate due in part to a higher mix of proprietary sales.

Manufacturing / Wholesale

Revenues in the Manufacturing / Wholesale segment, excluding intersegment sales, decreased $4.6 million, or 7.4% to $57.7 million for the three months ended December 31, 2016 compared with $62.3 million in the prior year quarter. Third-party contract manufacturing sales increased $2.6 million, or 8.4%, to $33.8 million in the current quarter compared with $31.2 million in the prior year quarter. This increase was partially offset by a decrease in sales to our wholesale customers of $7.3 million, or 23.3% from $31.1 million in the prior year quarter to $23.8 million in the current quarter. Intersegment sales decreased $14.4 million from $60.6 million in the prior year quarter to $46.2 million in the current quarter primarily due to lower proprietary sales in the U.S. and Canada and International segments. 

Operating loss was $73.7 million for the three months ended December 31, 2016 compared with income of $22.6 million in the prior year quarter. Excluding the $90.5 million non-cash goodwill impairment charge described above, operating income was $16.8 million or 16.2% of segment revenue in the current quarter compared with 18.4% in the prior year quarter. The decrease in operating income as a percentage of segment revenue excluding the current quarter impairment charge compared with the prior year quarter was primarily due to lower intersegment sales, which resulted in unfavorable manufacturing variances, and a higher mix of third-party contract manufacturing sales, which generally contribute lower margins.

Full Year Performance

For the full year 2016, the Company reported consolidated revenue of $2,540.0 million, a decrease of 5.3% compared with consolidated revenue of $2,683.3 million for the full year 2015. Revenue in the U.S. & Canada and International segments decreased by 4.3% and 12.2%, respectively, compared with the prior year.  Revenue in the Manufacturing / Wholesale segment was flat compared with the prior year, excluding intersegment sales.

Same store sales decreased 6.5% in domestic company-owned stores (including GNC.com sales which contributed 1.8% to the decrease) for fiscal 2016.  In domestic franchise locations, same store sales decreased 6.8% in fiscal 2016.

For the full year 2016, the Company reported a net loss of $286.3 million, compared with net income of $219.3 million for the full year 2015. The net loss in 2016 includes $476.6 million of non-cash long-lived asset impairment charges. Diluted loss per share was $4.12 for full year 2016 compared with $2.60 in 2015. Adjusted diluted EPS was $2.15 for the full year 2016 compared with $2.87 in 2015.

Operating Metrics

At year-end, the Company had 3,513 corporate stores in the U.S. and Canada, 1,178 domestic franchise locations, 2,358 Rite Aid franchise store-within-a-store locations and 1,973 international stores. The Company now has 9,022 store locations worldwide. As part of ongoing reviews of the Company's store portfolio giving consideration to the most recent trends and developments, the Company intends on exiting approximately 100 stores whose leases terminate in 2017 and lowering the rate of new store openings to maximize the return on investment of the capital invested in new stores.

For the full year 2016, the Company generated net cash from operating activities of $208.2 million and invested $59.6 million in capital expenditures. The Company generated free cash flow of $185.8 million (which it defines as cash provided by operating activities less cash used in investing activities excluding acquisitions), which includes $39.2 million of proceeds associated with refranchising transactions. As of December 31, 2016, the Company's cash and cash equivalents were $34.5 million, long-term debt was $1.5 billion and the Company had $167.2 million available under the Revolving Credit Facility.

Dividends and Share Repurchases

The Board of Directors has approved management's recommendation to suspend the Company's quarterly dividend.  The dividend suspension is part of a broader plan to utilize a greater portion of the Company's free cash to reduce debt.  By suspending what has been a $0.20 per share quarterly dividend, the Company intends to reallocate approximately $55 million of cash annually, primarily to reduce debt through the pay-down of its revolver.  The Company remains focused on creating long-term shareholder value by returning GNC to sustainable growth, strengthening its balance sheet and restoring financial flexibility and strong liquidity.

During 2016, the Company repurchased 7.9 million shares of the Company's stock for $229.2 million.  No shares were repurchased by the Company under its share repurchase program in the fourth quarter of fiscal 2016.  The remaining $197.8 million authorized under the current program is not expected to be utilized during fiscal 2017. 

Conference Call

GNC has scheduled a live webcast to report its fourth quarter 2016 financial results on February 16, 2017 at 8:30 a.m. Eastern time. To participate on the live call listeners in North America may dial (888) 312-9837 and international listeners may dial (719) 785-1760; the conference identification number for all callers is 9718857. In addition, a live webcast of the call will be available on www.gnc.com via the Investor Relations section under "About GNC." A replay of this webcast will be available through March 16, 2017.

About Us

GNC Holdings, Inc.  (NYSE: GNC) - Headquartered in Pittsburgh, PA - is a leading global specialty health, wellness and performance retailer.

GNC connects customers to their best selves by offering a premium assortment of health, wellness and performance products, including protein, performance supplements, weight management supplements, vitamins, herbs and greens, wellness supplements, health and beauty, food and drink and other general merchandise. This assortment features proprietary GNC and nationally recognized third-party brands.

GNC's diversified, multi-channel business model generates revenue from product sales through company-owned retail stores, domestic and international franchise activities, third-party contract manufacturing, e-commerce and corporate partnerships. As of December 31, 2016, GNC had more than 9,000 locations, of which more than 6,700 retail locations are in the United States (including 2,358 Rite Aid franchise store-within-a-store locations) and franchise operations in approximately 50 countries.

Forward-Looking Statements Involving Known and Unknown Risks and Uncertainties

This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the Company's 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 regarding our dividend, share repurchase plan, strategy and outlook. While GNC believes there is a reasonable basis for its expectations and beliefs, they are inherently uncertain. The Company may not realize its expectations and its beliefs may not prove correct. Many factors could affect future performance and cause actual results to differ materially from those matters expressed in or implied by forward-looking statements, including but not limited to unfavorable publicity or consumer perception of our products; costs of compliance and any failure on our part to comply with new and existing governmental regulations governing our products; limitations of or disruptions in our manufacturing system or losses of manufacturing certifications; disruptions in our distribution network; or failure to successfully execute our growth strategy, including any inability to expand our franchise operations or attract new franchisees, any inability to expand our company-owned retail operations, any inability to grow our international footprint, any inability to expand our e-commerce businesses, or any inability to successfully integrate businesses that we acquire. 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 risk factors in the Company's Annual Report on Form 10-K for the year ended December 31, 2016.

Management has included as an operational metric same store sales, which is a commonly used statistical measure in the retail industry and is important to the understanding of the Company's performance. Same store sales growth represents the percentage change in same store point-of-sale retail sales in the period presented compared with the prior year period. Same store sales are calculated on a daily basis for each store and exclude the net sales of a store for any period if the store was not open during the same period of the prior year. The Company includes its internet sales of GNC.com in the domestic retail company-owned same store sales calculation. When a store's square footage has been changed as a result of reconfiguration or relocation in the same mall or shopping center, the store continues to be treated as a same store. If, during the period presented, a store was closed, relocated to a different mall or shopping center, or converted to a franchise store of a company-owned store, sales from that store up to and including the closing day or the day immediately preceding the relocation or conversion are included as same store sales as long as the store was open during the same period of the prior year. The Company excludes sales during the period presented that occurred on or after the date of relocation to a different mall or shopping center or the date of a conversion.

Management has included non-GAAP financial measures in this press release because it believes they represent an effective supplemental means by which to measure the Company's operating performance. Management believes that net income and earnings per share, adjusted to exclude long-lived asset impairments, gains on refranchising and certain other expenses as reflected in this release, and free cash flow are useful to investors as they enable the Company and its investors to evaluate and compare the Company's results from operations in a more meaningful and consistent manner by excluding specific items which are not reflective of ongoing operating results. However, these measures are not measurements of the Company's performance under GAAP and should not be considered as alternatives to earnings per share, net income or any other performance measures derived in accordance with GAAP, or as an alternative to GAAP cash flow from operating activities, or as a measure of the Company's profitability or liquidity. For more information, see the attached reconciliations of non-GAAP financial measures.

 

GNC HOLDINGS, INC. AND SUBSIDIARIES

Consolidated Statements of Operations

(in thousands, except per share amounts)



Three months ended
December 31,


Year ended
December 31,


2016


2015


2016


2015


(unaudited)

Revenue

$

569,929



$

629,110



$

2,540,016



$

2,683,298


Cost of sales, including warehousing, distribution and
occupancy

399,761



400,876



1,679,897



1,698,655


Gross profit

170,168



228,234



860,119



984,643


Selling, general, and administrative

144,770



146,283



575,218



567,296


Gains on refranchising

(829)



(5,144)



(19,112)



(7,580)


Long-lived asset impairments

473,508





476,553



28,333


Other loss, net

848



3,381



407



3,487


Operating (loss) income

(448,129)



83,714



(172,947)



393,107


Interest expense, net

15,365



14,024



60,443



50,936


(Loss) income before income taxes

(463,494)



69,690



(233,390)



342,171


Income tax (benefit) expense

(30,047)



26,768



52,860



122,872


Net (loss) income

$

(433,447)



$

42,922



$

(286,250)



$

219,299


(Loss) earnings per share:








Basic

$

(6.35)



$

0.54



$

(4.12)



$

2.61


Diluted

$

(6.35)



$

0.54



$

(4.12)



$

2.60


Weighted average common shares outstanding:








Basic

68,219



78,775



69,409



83,927


Diluted

68,219



79,008



69,409



84,186


 

 

 


GNC HOLDINGS, INC. AND SUBSIDIARIES

Reconciliation of Net (Loss) Income and Diluted (Loss) EPS to Adjusted Net Income and Adjusted
Diluted EPS

(in thousands, except per share data)

(Unaudited)



Three months ended
December 31,


2016


2015


Net (Loss)
Income


Diluted
(Loss) EPS


Net
Income


Diluted
EPS

Reported

$

(433,447)



$

(6.35)



$

42,922



$

0.54


Gains on refranchising

(829)



(0.01)



(5,139)



(0.07)


Long-lived asset impairments

473,508



6.93






Loss on sale of Discount Supplements





2,729



0.04


Other SG&A (1)

440



0.01



6,335



0.08


Tax effect

(34,748)



(0.51)



(158)




Adjusted

$

4,924



$

0.07



$

46,689



$

0.59










Weighted average diluted common shares outstanding (2)

68,327





79,008





Year ended
December 31,


2016


2015


Net (Loss)
Income


Diluted
(Loss) EPS


Net
Income


Diluted
EPS

Reported

$

(286,250)



$

(4.12)



$

219,299



$

2.60


Gains on refranchising

(19,112)



(0.27)



(7,571)



(0.09)


Long-lived asset impairments

476,553



6.85



28,333



0.34


Other SG&A (1)

5,513



0.07



7,522



0.09


Executive severance

4,453



0.07






Loss on sale of Discount Supplements





2,729



0.04


Correction of immaterial payroll accrual error





2,762



0.03


Tax effect

(31,488)



(0.45)



(11,456)



(0.14)


Adjusted

$

149,669



$

2.15



$

241,618



$

2.87










Weighted average diluted common shares outstanding (2)

69,534





84,186














(1)

Current quarter includes store-closing-related costs and prior year quarter includes a legal accrual.  Current year includes legal accruals and store-closing-
related costs and prior year includes a legal accrual partially offset by the reversal of an international franchise receivable reserve.

(2)

For reported diluted loss per share in the current quarter and current year, all outstanding stock-based awards are excluded for diluted shares outstanding
because the Company reported a net loss making all awards antidilutive; however, for purposes of adjusted diluted EPS, the Company has included the impact
of dilutive stock-based awards as the Company reported net income on an adjusted basis.

 

 

 


GNC HOLDINGS, INC. AND SUBSIDIARIES

Consolidated Balance Sheets

(in thousands)



December 31,


2016


2015


(unaudited)

Current assets:




Cash and cash equivalents

$

34,464



$

56,462


Receivables, net

129,178



142,486


Inventory

583,212



555,885


Deferred income taxes

12,875



10,916


Prepaid and other current assets

39,400



27,114


  Total current assets

799,129



792,863


Long-term assets:




Goodwill

176,062



649,892


Brand name

720,000



720,000


Other intangible assets, net

111,229



119,204


Property, plant and equipment, net

232,292



230,535


Deferred income taxes



3,358


Other long-term assets

29,927



38,555


  Total long-term assets

1,269,510



1,761,544


Total assets

$

2,068,639



$

2,554,407






Current liabilities:




Accounts payable

$

179,933



$

152,099


Current portion of long-term debt

12,562



4,550


Deferred revenue and other current liabilities

115,171



121,062


Total current liabilities

307,666



277,711


Long-term liabilities:




Long-term debt

1,527,891



1,444,628


Deferred income taxes

272,000



304,491


Other long-term liabilities

56,129



59,016


  Total long-term liabilities

1,856,020



1,808,135


Total liabilities

2,163,686



2,085,846






Stockholders' equity:




Common stock

114



114


Additional paid-in capital

922,687



916,128


Retained earnings

716,198



1,058,148


Treasury stock, at cost

(1,725,349)



(1,496,180)


Accumulated other comprehensive loss

(8,697)



(9,649)


  Total stockholders' (deficit) equity

(95,047)



468,561


Total liabilities and stockholders' equity

$

2,068,639



$

2,554,407


 

 

 


GNC HOLDINGS, INC. AND SUBSIDIARIES

Consolidated Statements of Cash Flows

(in thousands)



Year ended
December 31,


2016


2015


(unaudited)

Cash flows from operating activities:




Net (loss) income

$

(286,250)



$

219,299


Adjustments to reconcile net (loss) income to net cash provided by operating activities:




Depreciation and amortization expense

60,038



57,237


Amortization of debt costs

12,698



6,421


Stock-based compensation

8,833



6,280


Long-lived asset impairments

476,553



28,333


Gains on refranchising

(19,112)



(7,580)


Deferred income tax (benefit) expense

(31,026)



450


Changes in assets and liabilities:




Decrease in receivables

11,053



422


(Increase) decrease in inventory

(33,496)



5,381


(Increase) decrease in prepaid and other current assets

(11,955)



776


Increase in accounts payable

26,980



22,375


(Decrease) increase in deferred revenue and accrued liabilities

(8,282)



9,841


Other operating activities

2,164



5,298


Net cash provided by operating activities

208,198



354,533


Cash flows from investing activities:




Capital expenditures

(59,579)



(45,827)


Refranchising proceeds

39,177



3,374


Acquisition costs

(2,018)



(3,196)


Net cash used in investing activities

(22,420)



(45,649)


Cash flows from financing activities:




Borrowings under revolving credit facility

234,500



43,000


Payments on revolving credit facility

(150,500)




Payments on term loan facility

(4,550)



(169,060)


Proceeds from issuance of convertible senior notes



287,500


Debt issuance costs

(1,827)



(8,225)


Proceeds from exercise of stock options

353



1,743


Gross excess tax benefits from stock-based compensation

162



604


Minimum tax withholding requirements

(1,169)



(574)


Cash paid for treasury stock

(229,169)



(479,799)


Dividends paid to shareholders

(55,336)



(59,647)


Net cash used in financing activities

(207,536)



(384,458)


Effect of exchange rate changes on cash and cash equivalents

(240)



(1,798)


Net decrease in cash and cash equivalents

(21,998)



(77,372)


Beginning balance, cash and cash equivalents

56,462



133,834


Ending balance, cash and cash equivalents

$

34,464



$

56,462






 

 

 


GNC HOLDINGS, INC. AND SUBSIDIARIES

Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow

(in thousands)



Year ended 
December 31,


2016


2015


(unaudited)

Net cash provided by operating activities

$

208,198



$

354,533


Capital expenditures

(59,579)



(45,827)


Refranchising proceeds

39,177



3,374


Acquisition costs

(2,018)



(3,196)


       Free cash flow

$

185,778



$

308,884






 

 

 


GNC HOLDINGS, INC. AND SUBSIDIARIES

Segment Financial Data

(in thousands)



Three months ended
December 31,


Year ended 
December 31,


2016


2015


2016


2015


(unaudited)

Revenue:








U.S. and Canada

$

472,599



$

513,741



$

2,143,647



$

2,240,515


International

39,654



48,656



160,691



183,007


Manufacturing / Wholesale:








  Intersegment revenues

46,158



60,628



218,761



267,377


  Third-party

57,676



62,303



235,678



235,680


Subtotal Manufacturing / Wholesale

103,834



122,931



454,439



503,057


  Total reportable segment revenues

616,087



685,328



2,758,777



2,926,579


  Other



4,410





24,096


  Elimination of intersegment revenues

(46,158)



(60,628)



(218,761)



(267,377)


Total revenue

$

569,929



$

629,110



$

2,540,016



$

2,683,298


Operating (loss) income:








U.S. and Canada

$

(361,394)



$

78,414



$

(105,252)



$

378,233


International

13,976



16,461



55,404



64,486


Manufacturing / Wholesale

(73,680)



22,583



(19,961)



86,172


  Total reportable segment operating (loss) income

(421,098)



117,458



(69,809)



528,891


Unallocated corporate and other costs:








  Corporate costs

(26,575)



(28,373)



(103,362)



(98,340)


  Other

(456)



(5,371)



224



(37,444)


  Subtotal unallocated corporate and other costs

(27,031)



(33,744)



(103,138)



(135,784)


Total operating (loss) income

$

(448,129)



$

83,714



$

(172,947)



$

393,107


Same store sales - domestic, including GNC.com


(12.0)%




1.0%




(6.5)%




1.6%


























 

 

 


GNC HOLDINGS, INC. AND SUBSIDIARIES



Consolidated Store Count Activity















Year ended
December 31,







2016


2015

U.S. & Canada









Company-owned(a):









Beginning of period balance






3,584



3,487


  Store openings






69



115


  Acquired franchise stores(b)






21



44


  Franchise conversions(c)






(102)



(33)


  Store closings






(59)



(29)


End of period balance






3,513



3,584


Domestic Franchise:









Beginning of period balance






1,084



1,070


  Store openings






33



32


  Acquired franchise stores(b)






(21)



(44)


  Franchise conversions(c)






102



33


  Store closings






(20)



(7)


End of period balance






1,178



1,084


International(d):









Beginning of period balance






2,095



2,150


  Store openings






108



144


  Store closings






(230)



(199)


End of period balance






1,973



2,095


Store-within-a-store (Rite Aid):









Beginning of period balance






2,327



2,269


  Store openings






41



59


  Store closings






(10)



(1)


End of period balance






2,358



2,327


Total Stores






9,022



9,090



(a)    

Includes Canada

(b)    

Stores that were acquired from franchisees and subsequently converted into company-owned stores

(c)     

Company-owned stores locations sold to franchisees

(d)    

Includes franchise locations in approximately 50 countries (including distribution centers where sales are made) and company-owned stores located in Ireland (The Health Store) and China

 

 

Contacts:


Investors:

Amy Greene, Vice President – Investor & Government Relations (412) 288-4744; or


John Mills, Partner – ICR, (646) 277-1254

 

 

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/gnc-holdings-inc-reports-fourth-quarter-and-full-year-2016-results-300408607.html

SOURCE GNC Holdings, Inc.