ROANOKE TIMES
Copyright (c) 1997, Roanoke Times
DATE: Friday, January 17, 1997 TAG: 9701170055
SECTION: BUSINESS PAGE: A-6 EDITION: METRO
SOURCE: MEGAN SCHNABEL STAFF WRITER
CHARLOTTE-BASED BELK will begin adding its name to all Leggett stores this month. Leggett Outlet Centers will become part of the newly created Tags chain.
Leggett department stores and outlet centers in Southwest Virginia soon will be getting a new name, the company's owner announced Thursday.
Belk of Charlotte, N.C., which last November bought the Leggett chain, this month will begin adding its name to all Leggett stores. The decision is part of an attempt to extend Belk's reputation and name recognition into the mid-Atlantic states, said John Belk, chairman of the Belk store corporations. Privately held Belk operates more than 200 stores in the Southeast.
The 31 stores in the new Belk of Virginia Group are in Virginia, West Virginia, Maryland and North Carolina. Industry estimates place the company's 1996 revenues at $1.70 billion.
Additionally, the company said that Leggett Outlet Centers will become part of the newly created Tags chain of off-price apparel and accessory stores. Tags, a fully owned division of Belk, will incorporate five of the six Leggett Outlet Centers, including the one at Valley View Mall, and eight Belk Outlet Centers in the Carolinas and Georgia. The transition should occur over the next several months.
The LOC in Bedford has been sold to Peebles Department Stores, the company said. The Leggett department store in Altavista also has been sold to the South Hill-based chain.
Peebles officials could not be reached Thursday to comment on their plans for the two stores.
Belk Stores Services Inc. spokesman Fredrick Cote said, however, that Belk is talking to sales associates at the two locations about possible employment at other Belk stores.
"They're good stores," he said. "They simply didn't meet our return-on-investment requirements."
The department store name change will begin late this month and extend through early March. During that time, store advertising, signs, stationery and shopping bags will be changed to reflect the new name. Each store will begin using the new name as soon as its outdoor signs have been replaced, Cote said.
Current Leggett charge card holders can continue to use their Leggett cards at all Belk locations. New Belk charge cards are being issued to active account holders.
LENGTH: Medium: 51 linesby CNB