Melville Corporation
| Company type | Public |
|---|---|
| Industry | Retail holding company |
| Founded | 1922 |
| Founder | Ward Melville |
| Defunct | 1996 |
| Fate | Restructured as CVS Corporation |
| Headquarters | Rye, New York , United States |
Area served | United States |
| Products | Pharmacies, apparel, footwear, toys, domestics, furniture retail chains |
Overview
Melville Corporation was a prominent American retail holding company established by Ward Melville in 1922, evolving from the original Melville Shoe Company. Headquartered in Rye, New York, the corporation underwent a significant restructuring in 1996, emerging as CVS Corporation. It was publicly traded on the New York Stock Exchange under the symbol MES before transitioning to the CVS ticker.
Between 1925 and 1928, Melville experienced a remarkable expansion, with its store count rising by 184% and net profits growing by 360%. In the first quarter of 1929 alone, the retail chain recorded a 34% sales increase compared to the previous year. By February 1930, Melville Shoe Corporation managed 460 outlets under brands such as Thom McAn, Rival, and John Ward across thirty-nine states. At its height, Melville operated more than 7,282 stores spread over roughly 3,500 locations, offering an extensive variety of merchandise.
In April 1976, Melville expanded its portfolio by acquiring Marshalls, a specialty retail chain consisting of thirty-two stores primarily located in New England, for $40 million.
Melville was also a pioneer in establishing a shared-services satellite communications system that integrated the technological infrastructure across all its divisions. This innovation led to substantial cost reductions for the company.
Starting in the early 1990s, Melville faced increasing pressure to streamline operations and divest from its diverse holdings due to underperformance among many of its chains.
Ultimately, the company divested nearly all its retail operations except for CVS, which represented approximately 40% of total revenues. Pharmacies including Peoples, Revco, Standard Drug, and Austin Drug were rebranded under the CVS name. By 1996, most non-pharmacy subsidiaries were sold off or closed.
Several of Melville’s former retail divisions continue to operate today either independently or as part of other corporate entities.
Divisions
At the peak of Melville's prominence, the corporation managed a variety of retail divisions.
Pharmacies
Apparel
- Marshalls (divested to T.J. Maxx in 1995)
- Wilsons The Leather Experts
- Bermans
- Pelle Cuir
- Tannery West
- Snyder Leather Outlets
- Georgetown Leather Design
- Bob's Stores
- Accessory Lady
- Chess King (transferred to Merry-Go-Round in 1993; ceased operations by 1995)
- Chess King Garage
- Foxmoor (disposed of in 1985; acquired by Edison Brothers Stores in 1990; shuttered during Edison Brothers' liquidation in 1999)
- Free Fall
- Putnam Stores
.jpg){kind=link}
Footwear
- FootAction USA (spun off as Footstar Inc., currently under Foot Locker)
- FootAction For Kids
- Fan Club
- Thom McAn (included in Footstar spin-off, presently owned by Sears)
- B.O.Q.
- Miles
- Open Country
- Smart Step
- Vanguard
- Meldisco
- Woodbridge Shoes
Toys
- KB Toys (sold to Consolidated Stores in 1996; ceased operations in 2010; relaunched in 2018)
- Circus World
- K & K Toys
- Toy Works (no longer operational)
- Play Things
Domestics
- Linens 'n Things (liquidated in 2008; reintroduced as an online retailer in 2009)
- Prints Plus
Furniture
- This End Up
- Wood's End
- Prism