
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: TUESDAY, February 5, 1991                   TAG: 9102050114
SECTION: BUSINESS                    PAGE: B-6   EDITION: METRO 
SOURCE: Associated Press
DATELINE: RICHMOND                                LENGTH: Short

RICHMOND AREA FACES TAX LOSS IF BEST CLOSES

Richmond area localities could lose as much as $1 million in tax revenues annually if financially strapped Best Products Co. closes.

Municipal executives and other Richmond-area leaders are nervously waiting as Best tries to reorganize its finances. The catalog retailer, which operates a store in Roanoke, filed for Chapter 11 protection from its creditors in U.S. Bankruptcy Court in Manhattan on Jan. 4.

Already, officials have begun to see what could be the beginning of a wave of cutbacks. Two weeks ago Best laid off 350 workers, including 75 employees at its headquarters, as a way to cut $30 million in expenses. A shutdown would mean the loss of more than 1,500 jobs in the area.

Hanover County likely would be hit hardest if Best went under. Best is the county's No. 3 taxpayer, behind Richfood Inc. and Bear Island Paper Co.

Best has its corporate headquarters, a major distribution center, three catalog showrooms and a small jewelry store in the Richmond area. The company was founded in 1957.

by CNB