Attention CVS Shoppers

WOONSOCKET, Rhode Island: CVS Corp. announced plans to purchase competitor Revco in a $2.8 billion deal that will make CVS the nation's biggest drug store chain. The move is another in a growing series of consolidations as traditional, large-scale drugstore companies try to combat fierce price and product competition from supermarket and mail-order pharmacies. Revco, which has more stores but smaller revenues than CVS, had planned a similar deal last spring with competitor Rite Aid, but the Federal Trade Commission blocked the acquisition over antitrust concerns. The FTC has not yet approved the CVS-Revco deal, but antitrust worries have already arisen over the 275 stores that the chains run in overlapping markets. If the deal receives an official go-ahead, the resulting drug store chain will use the CVS name and have about 4,000 stores in 24 states and the District of Columbia. Annual revenue are projected to reach $14 billion, making CVS the second-largest chain in the country in sales. -- Elizabeth Owen