Hanford and Visalia California
Visalia building two stores closing Thrifties 100,000
stores are within a mile of eachother
building two stores closing Thrifties 40,000
:purchased highest traffic corner in town for
3+million and bought out two existing businesses - very
on tour and going to check out other valley cities
as i come to them. looks to be trend.
The biggest event going on within RAD today on
the West coast is not the closing of Alaska
Highly paid and older former Thrifty and especially
Payless managers are dropping like flies for more money
and better QOL from companies like Target,
The bottom line is this: If you believe high school
grads are capable of managing a drug store,
So, to answer your question...the above point yields
a great reduction in salary percent and management
turnover...therefore greater profits!
By the way, a high school
sophmore is educated enough to run a drus store...the rest
is people skills!
We need someone on the inside to tell it like it
is. The downside as well as the otherside of the
coin. I was employed by RAD 20 years ago (Thank My
Lucky Stars) Long hours, extra work,short help I
grumbled too....It took me awhile to see that these were
growing pains, both mine and RAD's. I am very,very
satisfied with my accumulation of RAD....They still have
[WONDERFUL} growing pains
I am not sure if the Walgreens offering the money
is locally owned or not. Don't know if there are any
locally owned stores. Chicago says there aren't any and I
personally have no idea. All I know is the Walgreens opened
two weeks ago and their parking lot is always fuller
than RAD's across the street. My opinion is that
Detroit customers are disgruntled with both RAD and
Arbor/CVS so Walgreens is going to get a lot of business
just because they are the new players in town. This is
only the second or third Walgreens in the Metro
Detroit area and the first in this specific area.
Customers seem bitter about Arbors selling out to CVS and
the fact that RAD took over Perry's but are slow to
making significant improvements. Hope RAD overcomes.
Closing or selling the Alaskan stores would also
be a strategic decision, I would think. Merchandise
distribution and advertising would be difficult for just ten
stores in a remote location. Store visits by senior
operations management and loss prevention/security personnel
would be a pain too. These stores most likely had
merchandise the rest of the chain didn't because the stores
were much larger and the customer needs a lot
different. Even if revenues weren't bad, margins were
probably lower than the other stores and contribution, if
any, to fixed costs lower too. If they can sell the
store locations and get a good price now, it should be
a boost to earnings this year and the future.
However, for a company this size, the impact, either way,
shouldn't be very noticable.
If the stores were losing money, than it will
have a small benefit to revenue. If they SOLD the
stores to another chain, or to local owners, they will
bring in some cash in the short term.
helps, as long as the revenue was not good from the
You may see more (same store) sales growth in the
next month as the average would go up.
line, getting rid of negative producing units can only
I hope rad doesn't start a cash payment war for
customers. ATT and MCI and Sprint tried this and now regret
it and are trying to get out from under; its
extremely expensive, but effective if only on competitor is
What are prospects after closing
alaska stores? Greater profits short term or long?