Douglas daily dispatch., 1927-10-30
JIG. PENNEY CO.
BUYS GOLDEN
RULE STORES

RULE STORES
Announcement was made today by
T. T. Schofield, manager of the local
j. G. Penney company store, of the
purchase of the 20 stores operated
by the Golden Rule Mercantile COM
pany by the j. G. Penney company.
The latter organization owns and
operates 885 stores throughout the
country. The deal involving the con-
Solidation of the Golden Rule Mer-
camille company with the j. G. Pen
ney company is the largest of its
kind ever put through in this section
and involves consideration of more
than $2,000,000, according to state
ment made by E. M. Tower, vice
president of the Golden Rule Mer-
camille company and one of the larg-
est stockholders in that organization.
Negotiations were completed in New
York City on october 4, with the
]. G. Penney company represented
by Earl G. Sans, president, after two
years consideration of the policies
governing the change.
The stores involved will start oper-
alton under the j. G.. Penney COM
pany name on January l, 1928, fol-
lowing the annual inventory of both
companies and the j. G. Penney COM
pany will take over the furniture,
fixtures and stock of the Golden Rule
Mercantile company at that time.
This consolidation will bring to-
gether two well known store organi-
cations which started from a common
origin little over quarter of a
century ago.
At that time, j. c.. Penney went to
work as a salesman in store oper-
ated at Evanston, Wyo., by Guy john
son. Also working for Mr.. Johnson
at the same time was a man by the
name of T. W. Stevens.
AS these two men grew in expert
ence with the store, they were taken
into partnership and allowed to pur-
chase interests in other stores opened
by Mr.. Johnsons company, which
later became the Golden Rule Mer-
camille company.
In 1902, Mr. Penney went to KEN
merer, Wyo., and Mr.. Johnson's part
ners consented to sell him their in
terests in the small store which
became the mother store" of the
present j. G. Penney company sys-
tena
The Golden Rule Mercantile COM
pany, under the guidance of Mr..
Tx~
it's development of stores in Utah,
Nevada, Montana, wyoming and Cali
fornia.
Associated with it in this develop
ment were H T. Heddon and j. A.
Cooper, who became directors of the
organization and who were involved
in the present consolidation with the
j. G. Penney company.
The j. G. Penney company started
national growth which has brought
it up to it's present standing of 885
stores before the acquisition of the
new interests. In 1927, it did
gross volume of business of better
than $115,0OO,OOO and this year the
sales figures will reach beyond $780,
OOO,OOO
With the growth of the Golden
Rule Mercantile company, headquar-
tiers were moved to Ogden, Utah,
where they are at present located.
Headquarters of the j. G. Penney
company were moved to New York
City where an 18-story building Gov
ering half city block is now occu-
pied by the general executive otflces
and New York City warehouse.
Mr.. Stevens ultimately became pres
ident of the Golden Rule Mercantile
company.
Mr.. Penney retired from the presl-
dency of the j. G. Penney company
and became chairman of the board
of directors. He was succeeded IN
the presidency of. the organization py
Earl G. Sans, who started with nm
as clerk in the original j, G. Penney
company store at Kemmerer, Wyo.
The executive personnel OF both
organizations has been built up py
men who have gone through the
business from clerkships up to the
top.
During the development of the j. G.
Penney company and the Golden Ruie
company, a cordial and friendly work
ing arrangement has been maintained
/ BY mutual agreement they refralned
from competition in the various cities
and towns where they were located
When both were operating in a
small way a few years ago, their
buyers joined forces and bought TO-
gether in the eastern markets.