Pamida, Shopko mergingPublished 10:26pm Wednesday, January 4, 2012
Two of the nation’s leading Midwest-based general merchandise retail chains, Shopko Stores and Pamida, today announced they will merge to create one of the largest U.S. retailers focused on serving smaller and rural communities. The combined entity will have nearly 350 locations in 22 states and plans for new store growth in the second half of 2012 and beyond. Financial details of the merger, which is expected to close in mid-February, were not disclosed.
With annual revenues of $2 billion, Green Bay, Wis.-based Shopko operates 149 stores in 13 states located throughout the Midwest, Mountain and Pacific Northwest regions. Omaha, Neb.-based Pamida, which has a store in Dowagiac, operates 193 stores in 17 states, primarily in the Mountain, North Central and Midwest regions, and has revenues of approximately $1 billion. Pamida and Shopko are highly complementary in terms of locations and communities served, as well as a shared focus on brand-name selection, personalized service, outstanding values every day, pharmacy services and strong community involvement. Customers will benefit from their combined resources, buying power and merchandising expertise, which will also set a solid foundation for future growth.
The combined company, which will be headquartered in Green Bay, will use the Shopko name and be led by Shopko President, Chairman and CEO W. Paul Jones. Pamida President and CEO John Harlow will serve on the leadership team and help direct the integration process. There will be no change to Shopko’s stores, and approximately $80 million will be invested over the next 12 months in the conversion of most of Pamida’s locations to the Shopko Hometown store concept and brand.