Inside This Issue - News
Shopko, Pamida merger finalized
April 2nd, 2012
GREEN BAY, Wis. – Sun Capital Partners Inc. has completed the merger of its Shopko and Pamida chains, creating a discount retailer with nearly 350 outlets in 22 states, and almost $3 billion in annual revenue.
The retailer will use the Shopko name and headquarters, and be led by Shopko chairman, president and chief executive officer W. Paul Jones. Pamida CEO John Harlow will serve on the leadership team and help direct the integration process.
"A great deal of work and planning was required to get us to this point, and we’re excited that the merger is now complete so we can begin to move forward as one organization," Jones said. "Our aim is to combine the best of both companies as we become one Shopko team with a shared vision to become the nation’s leading general merchandise retailer focused on serving smaller communities across the country with our Shopko Hometown store format."
The Pamida stores are set to be converted this year into Shopko Hometown stores, which measure from 15,000 to 35,000 square feet and offer pharmacy services, apparel and general merchandise. Shopko plans to spend about $80 million on the conversions, which will begin in June.
Once the conversions are complete, the company plans to accelerate the addition of new Shopko Hometown stores in the second half of 2012 and into 2013. There will be no change to Shopko’s current 149 stores.
"Seven Pamida stores have already been successfully transitioned to the Shopko Hometown format," Jones said. "We’ve received overwhelmingly positive feedback from customers in these communities, who tell us they appreciate the improved shopping experience and access to a broader, differentiated selection of merchandise."