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ShopKo to close Pamida distribution center: Cross-dock facility plagued by poor performance and legal battles.(Pamida Inc.)(Brief Article)(Statistical Data Included)

DSN Retailing Today

| February 11, 2002 | Heller, Laura | COPYRIGHT 2003 Reproduced with permission of the copyright holder. Further reproduction or distribution is prohibited without permission. (Hide copyright information)Copyright

ASHWAUBENON, WIS. -- The news that the ShopKo-owned Pamida division was closing a distribution center may seem rather innocuous, but given the dark cloud hovering over the company's distribution system in the past year, it may well be a sign the retailer is headed toward recovery.

The company announced it would close a cross-dock DC in Bethany, Mo., by March 15 of this year. The closure is part of ongoing efforts to improve merchandise flow into Pamida stores and streamline expenses--an area that has been particularly thorny for the retailer.

Management announced in fall 2000 that it was having problems with a new facility in Lebanon, Ind., which in turn was …

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