ROANOKE TIMES 
                      Copyright (c) 1996, Roanoke Times

DATE: Tuesday, March 26, 1996                TAG: 9603260054
SECTION: BUSINESS                 PAGE: C-8  EDITION: METRO 
SOURCE: SANDRA BROWN KELLY STAFF WRITER


MCKESSON TO SHUT DOWN WAREHOUSE

McKesson Drug Co., which has operated a distribution warehouse in Roanoke since before 1920, said Monday it will fold operations of the Roanoke facility into one at Landover, Md.

The move affects 25 employees, said manager Dick Conway, who plans to retire when the center closes in June. Conway came to Roanoke 21 years ago when a similar center closed in Canton, Ohio. He said the Roanoke employees have opportunities for other jobs with McKesson, but that he did not know how many might pursue transfers.

McKesson, which distributes pharmaceuticals and health-care products, is part of McKesson Corp., a publicly traded diversified company based in San Francisco.

During the past 20 years, McKesson Corp. has cut the number of its distribution centers from 110 to 35. Better roads and sophisticated computer-tracking systems have made it possible for the company to deliver to a larger geographic area from a single warehouse, Conway said. Customers likely will see little difference once their supplies are delivered from Landover instead of from the Roanoke warehouse, he said.

The Roanoke facility is not computerized, Conway said. The 45,000-square-foot building on Rhodes Avenue Northeast, just off Hollins Road, was built in 1965 and is owned by McKesson. The company has not said if the building will be sold or leased, he said.

McKesson began its operations in Roanoke as Roanoke Drug Co.


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