President of Everything's A Dollar resigns

Business Wire, Jan 30, 1995

MILWAUKEE--(BUSINESS WIRE)--Jan. 30, 1995--John R. Isaac, Jr., president and chief operating officer of Everything's A Dollar Inc. and executive vice president of Value Merchants Inc. (VUMIQ.BB) has resigned to pursue an opportunity as chief operating officer of a national furniture, appliance and electronics rental company, it was announced today by Steven J. Appel, president and chief executive officer of Value Merchants Inc.

Isaac stated that, ``As a result of its significant downsizing, the Company only requires one leader supported by a small and motivated staff.''

``Mr. Isaac also reaffirmed his confidence in the Everything's $1.00 concept and the management team presently in place emphasizing the company's potential for future success,'' stated Appel. ``Mr. Isaac will continue to serve on the Board of Directors and is committed to assisting the Company in completing its goal of successfully emerging from Bankruptcy as a restructured profitable business,'' Appel said.

``The Company has made great strides over the past year to downsize and limit its operating focus to the dollar store business,'' Appel said. ``We now operate less than half the 545 stores we had when the Company filed for court protection in December, 1993. Value Merchants has sold its retail and wholesale Toy operations and we have reduced our distribution centers from five in three cities to one,'' he stated.

In the year since the company has been in bankruptcy, Value Merchants Inc. has substantially reorganized, simplified and reduced the size of its business. ``A change in senior leadership creates a new opportunity to continue in our efforts to increase our productivity and make further important improvements in our stores, Distribution Center and Corporate Office performance,'' Appel said. ``We have been assured that the departure of John Isaac does not alter HSC Financial's interest in facilitating the sale of common stock to be issued to unsecured creditors upon the company's emergence from bankruptcy,'' stated Appel.

According to Appel, experienced managers now in place will continue to supervise the key functions for Everything's A Dollar with store operations, merchandise buying and real estate functions reporting to him and the distribution center and loss prevention functions reporting to James Ford, vice president and chief financial officer.

CONTACT: Value Merchants Inc., Milwaukee

Gary I. Kastel, 414/274-2976