BUSINESS PEOPLE; Schuck’s Head Bullish On Pay ‘n Save Merger Stuart M. Sloan and his father-in- law, Samuel Stroum, built the family business – auto supply stores – into a 58-unit chain in Washington, Oregon and Idaho.
But when they sought to expand, they found they needed capital, and that need has led to a merger of their Schuck’s Auto Supply Inc. with the Pay ‘n Save Corporation. The merger is scheduled to be completed on Sunday, Jan. 1.
The merger, said Mr. Sloan, who is the company’s president, was an alternative to ”going public with our own stock offering – we needed a larger partner to assist us in our growth opportunities.”
He expects to continue to run his company ”thoroughly autonomously,” he said, although Mr. Stroum, who is 62, plans to retire as chairman.
In 1982, Schuck’s generated $48 million in revenues. Pay ‘n Save, a Seattle-based retailer with sales of $1.04 billion in 1982, is buying Schuck’s in exchange for $70 million of Pay ‘n Save stock. In addition, Schuck’s would receive the benefit of Pay ‘n Save’s wider markets.
Mr. Sloan was graduated in 1966 from the University of Washington with a degree in business. Shortly afterward, he bought the 50-year-old auto supply retailer from its founder, Harry Schuck, and his partner, Erna Jorgensen.
Mr. Sloan started as general manager of the company, which at that time had eight stores. He was named president 10 years ago.
”We are dedicated to smiling and saying yes to our customers,” Mr. Sloan said, explaining his company’s success. ”We are bullish on Schuck’s future and now we also are bullish on Pay ‘n Save.”
Schuck’s sponsors an annual salmon derby with $1 million in prizes that draws 25,000 fishermen. Mr. Sloan says the derby will go on as usual next summer in Puget Sound outside of Seattle.
”The last thing Pay ‘n Save wants to do is to make changes in a good, well-run company,” he said.
He noted that this was the second new venture Pay ‘n Save has announced in recent weeks. In October, Pay ‘n Save said it intended to ride the crest of a new retailing trend and open five giant wholesale ”buying clubs” in Western states.