WWD.com/beauty-industry-news/financial/mercantile-merging-mcalpin-s-into-beacons-1152042/
government-trade
government-trade

Mercantile Merging McAlpin’s Into Beacons

FAIRFIELD, Ohio -- Mercantile Stores Co. said Thursday it is merging its eight-store McAlpin's chain into its 15-store Bacons chain. The merger will cut 130 positions due to the streamlining of merchandising and operation functions. A one-time charge...

FAIRFIELD, Ohio — Mercantile Stores Co. said Thursday it is merging its eight-store McAlpin’s chain into its 15-store Bacons chain. The merger will cut 130 positions due to the streamlining of merchandising and operation functions. A one-time charge of approximately $3 million for severance and related benefits will be absorbed into the 1993 fiscal year results. Annual savings from the merger are estimated at $4 million. Mercantile had sales of $2.8 billion for the year ended Jan 31.

The merger coincides with the retirement of two veteran presidents — Martin S. Margulis of Bacons, based in Louisville, Ky., and David R. Huhn of McAlpin’s, based in Cincinnati.

Thomas N. Groh, president of the Castner Knott division in Nashville, Tenn., will head the new division, which will be Mercantile’s largest in terms of volume. Edward A. Overbey succeeds Groh.

In 1992, Mercantile consolidated 11 divisions down to seven. This move brings the number to six.