The Register-Herald, Beckley, West Virginia

Money

June 15, 2008

Work begins on new Rio Grande

Local Business column

By Fred Pace

Site work is being done at 1090 N. Eisenhower Drive for the new location of the Rio Grande restaurant.

Rio Grande closed its old location at 1500 N. Eisenhower Drive on May 14. The Mexican restaurant was one of several businesses that have moved to make way for a new Walgreens, which is also currently under construction.

The Rio Grande project is valued at $1 million and the new Walgreens on North Eisenhower is valued at just over $1.8 million, according to a project valuation and fee report filed with the city/county zoning and permit office in Beckley.

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Goody’s files for bankruptcy

Goody’s Family Clothing Inc. has filed a voluntary petition for reorganization under Chapter 11 of the U.S. Bankruptcy Code.

The company announced June 9 that while it reorganizes it will close 69 underperforming stores across the country.

A company spokesman said the only store in West Virginia that will close is in Morgantown. Stores in Beckley, Charleston, Nitro, Clarksburg, Logan, Princeton and Summersville will remain open, the official said.

The privately owned company said it is focused on executing a comprehensive restructuring plan and will continue to operate the business without interruption during the reorganization process. Officials declined to say how many of its 12,000 employees would be affected by the bankruptcy filing or how many might lose their jobs.

In a prepared press release, Paul White, Goody’s recently appointed chief executive officer, stated, “While Goody’s has a very successful 55-year heritage and we serve an important market niche, we have recently faced considerable challenges. After careful analysis, we made the decision to restructure the business through a Chapter 11 filing in order to streamline operations, refocus on our core business, and strengthen our balance sheet so that Goody’s is better positioned for the future.

“Please be assured that Goody’s is not going out of business,” White added.

White said the decision to close a large number of stores and further consolidate operations was a difficult one.

“We regret the impact that this will have on some of our employees,” he said. “However, we believe these are necessary steps as we work to improve the business and return to profitability.”

Goody’s is headquartered in Knoxville, Tenn.

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Jiffy Lube closes without notice

Jiffy Lube, located at 102 Bypass Plaza in Beckley, has closed without notice. Closed signs are hanging from the front door and garage bay doors.

On Tuesday, eight West Virginia locations of the national service center closed.

The Houston-based corporation said all eight were owned by a franchisee incorporated as JDSK Oil. The company said the closing of all locations was a decision made by JDSK Oil.

Jiffy Lube says it’s working with other franchisees to reopen the service centers in the near future, including the one in Beckley.

Jiffy Lube had two locations in Charleston and one each in Barboursville, Morgantown, Beckley, Huntington, Vienna and Princeton. A Jiffy Lube in Martinsburg with a different owner remains open.

The Associated Press contributed to this column. Pace is a reporter for The Register-Herald.

— E-mail: fpace@register-herald.com

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