Revco
 A Friend for Life
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| Fate | Acquired by CVS |
|---|---|
| Founded | August 24, 1956 |
| Defunct | 1997 |
| Headquarters | Twinsburg, Ohio |
| Products | Pharmacy, Cosmetics, Health and Beauty Aids, General Merchandise, Snacks, 1 Hour Photo |
Revco Discount Drug Stores (known simply as Revco or Revco, D.S.), once based in Twinsburg, Ohio, was a major drug store chain operating through the Ohio Valley, the Mid-Atlantic states, and the Southeastern United States. The chain's stock was traded on the under the ticker symbol RXR. When it was sold, the chain had over 2,500 stores.
Revco, originally known as Registered Vitamin Company, was founded in 1956 in Detroit, Michigan by Sidney Dworkin and Bernie Shulman. Dworkin led Revco until 1986 as CEO, and then he served as chairman until 1987.
Up to 1983, Revco grew tremendously; the chain had over 2,200 stores and over $2.2 billion in sales. The chain then began to stumble. In 1983, its vitamins were blamed for the deaths of a number of premature infants. In order to prevent a hostile takeover and increase short-term profitability, Dworkin then led the chain into a deal that would seal its fate many years later. Under his leadership, Revco purchased a company called Odd Lot Trading Co., a closeout retailer based in New Jersey. Revco's management lost its focus on the drug store portion of its business due to problems with Odd Lot Trading Co., and earnings tumbled. The chain also began to merchandise items such as televisions, furniture, and other non-core items, and the heavy investment proved to be a failure.
In 1986, Revco was the target of a leveraged buyout. Part of the buyout deal was to reduce costs by closing stores and by reducing inventory to repay debts. This left the company with a shortfall of cash, and suppliers stopped shipping inventory, causing the chain to lose customers. This eventually caused the chain to file for bankruptcy in 1988. Revco was bailed out of bankruptcy by investor Sam Zell, in part to fend off separate takeover attempts by both Eckerd and Rite Aid. In 1990, 221 Midwest Revco stores were purchased by Reliable Drug, based in Cleveland, OH. The Michigan stores purchased by Reliable were sold almost immediately to Perry Drugs. Revco emerged from bankruptcy, as an independent company, in 1992.
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