Thrift's Eckerd acquisition would create 2,800-store chain in Northeast, Midwest, Sunbelt.
This article was originally published in The Rose Sheet
Executive Summary
THRIFT-ECKERD MERGER TO TEST LIMITS OF TRADE COMMISSION TOLERANCE of pharmacy chain consolidation. The combination of J.C. Penney's Thrift Drug subsidiary and Eckerd announced Nov. 3 more closely resembles the failed Rite Aid-Revco merger than the several intervening transactions in the chain drug industry. FTC blocked Rite Aid from acquiring Revco because of concerns that the chains' geographic overlap would adversely affect competition. Rite Aid-Revco would have had 4,500 stores, and would have been especially strong in the Midwest and the mid-Atlantic states.
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ModiFace launches forecasting tool: Toronto-based virtual makeover firm introduces ShadeCast, a makeup sampling and forecasting tool based on behavioral tracking. ShadeCast is used in conjunction with iPhone application MakeUp, which allows consumers to virtually try on makeup in hundreds of shades from brands including Revlon, Cover Girl, Lancome and Clinique. ShadeCast offers 1,000 cosmetic shades from 40 brands and assigns a ShadeScore "to approximately position the [app's] hottest and most sampled color." ModiFace exec Nikkie Gatto likens the app to radio music playlists, helping consumers "looking to capture the current look, but also provide vital market intelligence to our retail channel partners," she says in Nov. 3 release. "The value of data to demonstrate the aggregate behavior will help the industry predict the latest trends and help cosmetic manufacturers better understand the color and products which most resonate with online and iPhone virtual makeover users," the company says