The six top managers of the Garfinckel's department store chain have been notified they will be fired as soon as the company is purchased by Raleigh Stores Corp.
Raleigh's last month agreed to buy Garfinckel's from Allied Stores Corp. for $95 million.
The department heads were told this week by Garfinckel's President Hanne Merriman that their dismissals would be effective on July 15, the expected date of the sale's completion. Merriman herself recently submitted her resignation, effective the same day.
Merriman, who bid for the chain with financial backing from outside investors, declined to comment on the firings yesterday. Asked where the orders for the dismissals originated, Raleigh's spokesman David Nellis said: "I don't know the first thing about it. Talk to Allied. We don't own it yet."
Raleigh's Chairman Neal J. Fox has said he plans to run the 12-store Raleigh's chain and the 10-store Garfinckel's chain as separate entities after the sale is final. Fox did not return a reporter's telephone calls yesterday.
Allied officials also did not return phone calls yesterday.
"We've already put things into motion," said Gloria Kreisman, vice president of marketing and sales promotion for the Garfinckel's stores, who was one of the six who will be fired. "Basically, the store is running itself ... . The day after closing, Mr. Fox's managers will come in."
Kreisman, who has worked for the retail company for 13 years, said that for her, the firings created a situation that was "bittersweet but exciting at the same time."
The other Garfinckel's executives to be fired are Thomas Anderson, vice president/treasurer; L. Dwight O'Dell, vice president, operations; Harry VandeVort, vice president, personnel; David Milbrandt, vice president, merchandising, and Wendell Ward, vice president, merchandising.
Several of the executives reached yesterday declined to comment on their dismissals.
Canadian real estate developer Robert Campeau sold the Garfinckel's chain to help finance his $3.5 billion buyout of Allied.