Hills (store)
| File:Hills Stores Logo.svg | |
| Industry | Retail |
|---|---|
| Founded | 1957, Youngstown, Ohio |
| Defunct | Template:End date and age |
| Fate | Merged into Ames |
| Successor | Ames |
| Headquarters | Canton, Massachusetts |
| Products | Apparel, footwear, bedding, furniture, jewelry, seasonal goods, beauty items, electronics, toys, and housewares. |
Established in 1957 in Youngstown, Ohio, Hills operated until its 1999 acquisition by Ames. Its retail footprint was primarily in Ohio, Indiana, New York, Pennsylvania, and West Virginia, with additional expansion into Virginia, Tennessee, Kentucky, Michigan, and Alabama.
Origins
Hills began as a comprehensive department store chain in the late 1950s, founded by entrepreneur Herbert H. Goldberger. In 1964, ownership transferred to SCOA Industries (Shoe Company of America) based in Columbus, Ohio; however, Goldberger retained the presidency until 1981 when his son assumed leadership. A management buyout led by Goldberger occurred in 1985.
Going public in 1987, Hills ranked as the eighth-largest discount retailer nationwide. CEO Stephen Goldberger stepped down in 1990 and was succeeded by Jack Brouillard. During Stephen’s tenure, the company modernized by implementing credit card acceptance and UPC scanning systems.
To increase market penetration, Hills acquired 35 Gold Circle stores based in Worthington in 1989—many of which were former Twin Fair outlets—bolstering its presence in New York and Ohio.
The company introduced its own private label brand named "American Spirit" across multiple product categories. Its corporate framework included subsidiaries such as Hills Department Store Company, HDS Transport, CRH International, Canton Advertising, Corporate Vision, and Hills Distributing Company.
Financial difficulties and restructuring
In February 1991, Hills sought bankruptcy protection, reducing its store count from 214 to approximately 150. The financial challenges stemmed from a $640 million leveraged buyout in 1985 from the Shoe Corporation of America that left substantial debt. Additional liabilities were incurred after going public in 1987 and purchasing 33 former Gold Circle locations in 1989. The economic downturn during 1990–1991 further exacerbated the situation.
Michael Bozic, previously leading Sears Merchandising Group, was appointed President and CEO to guide recovery efforts. Under his direction, stores underwent remodeling; new distribution centers were established beginning in 1991; and a new store design prototype was launched. The toy department consistently contributed over 10% of total sales. By 1993, Hills successfully emerged from bankruptcy proceedings.
Acquisition by Ames
On July 5, 1995, CEO Michael Bozic along with most senior executives resigned following a two-year control dispute with Dickstein Partners—the largest shareholder of Hills. Jack Smailes, former executive vice president and general merchandise manager (GMM), succeeded Bozic as CEO.
In February 1996, Dickstein stepped down as chairman and was replaced by Chaim Edelstein, formerly chairman of A&S Department Stores. Subsequently, Smailes resigned and Gregory Raven—ex-CFO of Revco—assumed the CEO position. At this time Hills operated 164 stores and focused on acquisitions to broaden its market share.
Raven led a comprehensive revamp across merchandising strategies; financial systems; human resources; payroll; accounts payable; and warehouse operations. The hardlines department was redesigned to include "power aisles" featuring pallet displays of value merchandise.
On November 12, 1998, Ames acquired Hills which operated 155 stores across twelve states with a workforce exceeding 20,000 employees headquartered in Canton, Massachusetts. This acquisition expanded Ames’ store count from 301 to 456 locations making it the fourth-largest discount retailer in the United States behind Walmart, Kmart, and Target. By the end of 1999 most Hills stores were converted to Ames branding—even those overlapping markets such as Pittsburgh—except for one remaining Hills store located in Christiansburg, Virginia. Nevertheless, this purchase placed significant financial strain on Ames which ultimately led to its liquidation by late 2002.
Legacy
Following the closure of Ames, several former Hills store locations were acquired by retailers such as Target, Big Lots, and Planet Fitness; however, a significant number of these sites remain unoccupied.
The July 14, 2015 installment of Pittsburgh Dad, which embraced a Back to the Future motif, celebrated Hills as a cherished shopping landmark. This episode inspired a Pittsburgh-based candle maker to develop a "Pittsburgh Dad's Hills Snack Bar" scented candle designed to evoke the distinctive aroma of the store’s well-loved snack bar.
In 2023, a food truck offering fare reminiscent of the Hills snack bar successfully passed Pennsylvania health inspections. After a soft opening during Independence Day weekend in Independence Township, Pennsylvania, the snack bar officially commenced operations on July 15, 2023, situated in front of the former Hills #28 site in Aliquippa, Pennsylvania. The enterprise intends to expand its presence to additional former Hills locations across Western Pennsylvania, with prospects for further growth beyond this region.
Slogans
- "Hills is the place for kids."
- "When you really need a low price, Hills has it every day."
- "Hills is GREAT for gifts."
- "Christmas wishes come true at Hills."
- "According to legend little folks know, Hills is where the toys are."
- "Hills is, the low cost living, anti-inflation department store."
- "We're a different kind of department store—you oughta be shopping Hills! (Check us out!)"
- "We're a different kind of discount store, and the proof is in the price!"
- "Hills Department Stores - Famous for Low Prices Everyday"
- "Hills has the hits - LPs or Cassettes"
- "Hills for Mom. Hills for Dad. Hills for the Family!"
- "Save every way, save every day at Hills."
- "Hills, the low-cost living, anti-inflation department store" (circa 1980-81)
- "Check Us Out!"