GNC 2012 Annual Report Download - page 7

Table of Contents
service, we also differentiate ourselves from mass and drug retailers with our well-trained sales associates who are aided by in-store technology. We believe
that our expansive retail network, differentiated merchandise offering and quality customer service result in a unique shopping experience that is distinct from
that of our competitors.
Our principal executive office is located at 300 Sixth Avenue, Pittsburgh, Pennsylvania 15222, and our telephone number is [phone]. We
maintain and make available on GNC.com, free of charge, our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-
K, and amendments to those reports as soon as reasonably practical after we electronically file or furnish them to the U.S. Securities and Exchange
Commission (the "SEC").
In this Annual Report, unless the context requires otherwise, references to "we," "us," "our," "Company" or "GNC" refer collectively to Holdings and its
subsidiaries.
Corporate History
Our business was founded in 1935 by David Shakarian who opened our first health food store in Pittsburgh, Pennsylvania. Since that time, the number of
stores has continued to grow, and we began producing our own vitamin and mineral supplements as well as foods, beverages and cosmetics.
Together with our wholly owned subsidiary GNC Acquisition Inc. ("GNC Acquisition"), we entered into an Agreement and Plan of Merger (the "Merger
Agreement") with GNC Parent Corporation on February 8, 2007. Pursuant to the Merger Agreement, and on March 16, 2007, GNC Acquisition was merged
with and into GNC Parent Corporation, with GNC Parent Corporation as the surviving corporation and our direct wholly owned subsidiary (the "Merger"). As
a result of the Merger, Holdings became the sole equity holder of GNC Parent Corporation and the indirect parent company of GNC Corporation and our
operating subsidiary, General Nutrition Centers, Inc. ("Centers").
On April 6, 2011, we completed an initial public offering (the "IPO") pursuant to which 25.875 million shares of Class A common stock were sold at a
price of $16.00 per share. Holdings issued and sold 16 million shares and certain of Holdings' stockholders sold 9.875 million shares in the IPO. During the
fourth quarter of 2011, we completed a secondary offering (the "Secondary Offering") pursuant to which certain of Holdings' stockholders sold 23.0 million
shares of Class A common stock at a price of $24.75 per share.
Holdings is a holding company and all of its operations are conducted through its operating subsidiaries.
Our Growth Strategy
We plan to execute several strategies in the future to promote growth in revenue and operating income, and capture market share, including:
Growing company-owned domestic retail earnings. We believe growth in our domestic retail business will be supported by continued same store
sales growth and positive operating leverage. Our existing store base and the supporting infrastructure enable us to convert a high percentage of
our incremental sales volume into operating income, providing the opportunity to further expand our company-owned retail operating income
margin.
Growing company-owned domestic retail square footage. We believe that (i) the expansion of our store base will allow us to increase our market
share and our appeal to a wider range of consumers as we enter new markets and grow within existing markets, and (ii) the U.S. market can
support a significant number of additional GNC stores.
Growing our international footprint. Our international business has been a key driver of growth in recent years. We expect to continue
capitalizing on international revenue growth opportunities
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