By Jason Roberson / The Dallas Morning News Jroberson@dallasnews.Com

May 13, 2008 (McClatchy-Tribune Regional News delivered by Newstex) --
One week after Wal-Mart (NYSE:WMT) Stores Inc. announced upgrades to its popular $4 drug program, Kroger (NYSE:KR) Co. says it will implement identical changes to its $4 drug plan today.

In February, Kroger unveiled its $4 program, under which many prescription drugs are offered for $4, in 91 Dallas pharmacies, matching a similar program Wal-Mart started the year before.

On May 6, Wal-Mart expanded its program to include orders for 90-day supplies and additional drugs to treat osteoporosis and breast cancer as well as cutting the price of more than 1,000 popular over-the-counter drugs in half.

"It's very similar to Wal-Mart's," Kroger spokesman Gary Huddleston said of the grocer's response this week. "Certainly we want to be very competitive in the marketplace."

Before the recent changes, both retailers included more than 300 generic drugs to treat common conditions such as diabetes, asthma, depression and heart disease on their lists of drugs costing $4 for a month's supply.

Mr. Huddleston declined to disclose sales numbers for the program.

But he said Kroger's executives are pleased with the increased drug sales from the $4 program because "it's helped introduce new customers to Kroger."

Wal-Mart said Texans have saved $149 million since that company started its $4 drug program in September 2006.

Dallas-Fort Worth customers have saved nearly $46 million, according to the company.

Texas is a hotly contested state for grocery chains. After Wal-Mart launched its Supercenters in D-FW in the 1990s, it wrested the top spot in sales from Albertson's.

For details on the drugs available under Kroger's program, visit www.kroger.com/generic or call 1-877-479-5478.

Information on Wal-Mart's program can be found at www.walmart.com.

Staff writer Maria Halkias contributed to this report.

Newstex ID: KRTB-0046-25216979