266:, vowed to fight the sale of the retail company. On September 12, 1984, The Trump Group announced that it had withdrawn its offer to purchase Ernst's parent company in order to negotiate with Sloan and Stroum. On October 15, 1984, Pay 'n Save was officially sold to the Trumps for $ 358 million (~$ 889 million in 2023). The future of Ernst was put at risk in May 1985 when Pay 'n Save announced plans to sell off all of its subsidiaries. On November 8, 1985, Pay 'n Save's drugstore chain became controlled by a company equally owned by the Trump Group and a partnership headed by William Zimmerman, owner of California discount chain
367:
operating 77 stores in eight U.S. states. Ernst later delayed their initial stock offering, but later resumed their offering and went public in
September 1994.In January 1996, Ernst reported a $ 47.6 million (~$ 85.4 million in 2023) loss in its fourth-quarter, nearly twice what the retailer made in the past four years. At the same time, Ernst announced the cancellation of plans for 13 new stores and the closure of nine stores. On July 12, 1996, Ernst filed for
27:
215:
246:, expressed the possibility of operating non-drugstore businesses. Bean later took interest in Ernst and, in February 1960, came to an agreement with Fred Ernst to buy his nine hardware stores. Two years later, Pay 'n Save acquired Malmo Nursery and began opening Ernst-Malmo combination stores; combining hardware, lumber, garden supplies, and nursery items in one building.
298:
371:
and announced the closure of 25 stores. The filing came after Ernst reported a loss of nearly $ 116 million in the company's past three quarters. On
November 12, despite the chain's attempt to remain in business, Ernst announced it would close its remaining 53 stores and sell off the remainder of its
357:
against Ernst, charging the retailer with failing to pay employees for work done on their own time. The union, representing 450 of Ernst's
Seattle area employees, had been boycotting the hardware chain since November 1992 when their contract expired on November 1. The union sued Ernst again in August
366:
In June 1994, Ernst announced plans to go public and to raise $ 50 million (~$ 93.3 million in 2023) through a stock sale to open 55 superstores over the next three years. The company began opening the superstores, averaged at 60,000 square feet (5,600 m), in 1991. At the time, Ernst was
321:
At the same time of the Eagle suit, Ernst went after Pay 'n Save, accusing it of illegal competition for selling nursery products in 15 Washington shopping centers the two retailers operated in. Ernst had contracts with the owners of the 15 shopping centers to be the primary or exclusive seller of
317:
Three months later, Ernst sued another retailer, Seattle-based home improvement chain Eagle
Hardware & Garden, for unfair competition and violation of the state's Consumer Protection Act. The company claimed Eagle's comparisons of prices for various products were false and deceptive. Eagle, in
400:" on the Pacific Coast, selling all that was needed for the "most elaborate garden, from seeds to large trees," as he humbly asserted during the opening festivities. His son Clark bought 30 acres (120,000 m) to cultivate at the present site of
326:, who had then-recently acquired Pay 'n Save, hit the chain with a counterclaim, which accused Ernst of selling camera film and film-processing services at eight shopping centers where PayLess had the sole right to sell those services.
270:. The sale left Pay 'n Save with 69 Ernst stores, three Yard Birds stores and wholesaler Northwestern Drug Co. In January 1986, Pay 'n Save was renamed Seattle Standard Corp. In March 1986, Hal Smith, former president of
313:
claiming the discount chain stole Ernst's registered advertising slogan ("Always the right price. Always."). Ernst asked the court to force Wal-Mart to stop using their slogan and pay unspecified damages to the retailer.
348:
Local 1001 following several months of union complaints against the retail chain. Union complaints about off-the-clock work and unlawful pay practices prompted the chain to file the lawsuit alleging defamation and
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384:, founded a seed store on Second Avenue in Seattle in 1893. Malmo was credited with being first in the Northwest to propagate and grow his own nursery stock rather than import ornamental shrubs from
281:. The new concept featured garden-like nurseries, an espresso cart, wider aisles, expanded merchandise, brighter signs and other modern amenities. Ernst opened two more of the new concept stores in
372:
operations. At the time, Ernst was operating 53 stores in six U.S. states and had about 2,000 full and part-time employees. Ernst began its final going-out-of-business sale on
November 23.
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shopping mall. Many of the mature yards surrounding old
Laurelhurst homes in Seattle today were the work of the Malmos. In 1962, the Malmos sold their business to
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in a 1990 advertising campaign. In a settlement made in
October 1992, Ernst admitted no wrongdoing but agreed to pay $ 19,500 (~$ 38,027 in 2023) in court costs,
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Shortly after the suits against the three retailers, the state of
Washington sued Ernst on charges that it failed to objectively portray prices at competitors
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1993 for knowingly selling toilets that violate state water conservation requirements. Ernst later announced it would stop selling the specific toilets.
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turn, accused Ernst of also misleading consumers with its advertising and defamation for suing Eagle just before the newly formed company went public.
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239:. In 1907, the new company was incorporated as Ernst Hardware and Plumbing Co. and moved to 512 Pike Street in downtown Seattle.
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and became a wholly owned subsidiary, operated by Pay 'n Save as part of its Ernst stores, which were then called Ernst Malmo.
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in 1994. Following several highly publicized lawsuits and a failed attempt to open larger stores, the company filed for
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In 1987 and 1988, Ernst remodeled and upgraded all of its stores and, in late 1990, tested a new concept store in
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in 1996 and liquidated in early 1997. At the company's peak, it operated 95 stores in 12 western U.S. states.
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435:"Ernst Selling All Its Stores, Finally Going Out Of Business -- Seattle Chain Unable To Survive Competition"
262:) attempted to acquire Pay 'n Save for $ 355 million. Pay 'n Save's largest shareholders, Stuart Sloan and
187:. Ernst was started in 1893 by Seattle brothers Charles and Fred Ernst. In 1960, it became a division of
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619:"Half interest in Pay 'n Save stores sold to discount-orientated California group".
906:"Ernst loses $ 47 million in quarter - 9 stores to close; expansion plan on hold".
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violations by the union and its legal counsel. In March 1993, the union filed a
274:-based Builders Emporium, succeeded Mike Rouleau as president and CEO of Ernst.
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849:"Ernst Chain Yanking Toilets -- Product Exceeds Limit Of 1.6 Gallons Per Flush"
161:
242:
During the 1950s, M. Lamont Bean, president of
Seattle-based drugstore chain
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950:. (Idaho-Washington). staff and wire reports. July 13, 1996. p. 10A.
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968:. (Idaho-Washington). Associated Press. November 12, 1996. p. 1A.
511:"How Donald Trump Tried to Protect His Name from Others Who Shared It"
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981:"Ernst Home Centers is going out of business and closing all stores"
258:, led by New York investors Julius and Edmond Trump (no relation to
195:. After a 1984 takeover of Pay 'n Save, Ernst was sold off and went
231:
In 1893, brothers
Charles and Fred Ernst started Ernst Hardware in
385:
296:
213:
882:"Ernst Plans Stock Offering, Addition Of 55 Superstores"
634:"Business Digest: Named changed for Pay 'n Save Corp".
484:"M. Lamont Bean, 1924-2004: Builder of a retail empire"
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Companies that filed for Chapter 11 bankruptcy in 1996
309:
In April 1992, Ernst filed a lawsuit against retailer
601:"Pay 'n Save putting all subsidiaries up for sale".
532:"Pay 'n Save Corp Battle Shareholders to Fight Sale"
433:Heberlein, Greg; Moriwaki, Lee (12 November 1996).
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847:Haberstroh, Joe; Harrison, Leah (20 August 1993).
460:"Ernst Hardware is established in Seattle in 1889"
1000:"Ernst Home Center liquidation sales start today"
541:. No. 215. API. 8 September 1984. p. 12
586:"Newly private Pay 'n Save to go public again".
526:
524:
344:In November 1992, Ernst filed a lawsuit against
134:Lumber, tools, hardware, garden supplies, plants
1053:Home improvement retailers of the United States
823:"Lawsuit Is Latest Salvo In Ernst-Union Battle"
1028:Defunct retail companies of the United States
962:"Ernst liquidating assets for entire company"
649:"Business Digest: Ernst gets new president".
191:, one of the largest retail companies in the
8:
1063:1997 disestablishments in Washington (state)
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341:and to enforce the Consumer Protection Act.
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944:"Ernst files Chapter 11; Moscow store safe"
567:. New York Times Company. 13 September 1984
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1058:1893 establishments in Washington (state)
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796:"Ernst Files Lawsuit Against Union Local"
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1048:Retail companies disestablished in 1997
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396:. In 1930, he opened the first "garden
16:Chain of home improvement retail stores
926:"Ernst to continue despite bankruptcy"
880:Nogaki, Sylvia Wieland (3 June 1994).
987:. (Salt Lake City, Utah). p. B7.
614:
612:
7:
1038:Retail companies established in 1893
998:Moriwaki, Lee (November 23, 1996).
664:"Home-store competition heats up".
1033:Defunct companies based in Seattle
979:Knudson, Max (November 13, 1996).
346:United Food and Commercial Workers
14:
821:Harrison, Leah (20 August 1993).
768:"Ernst Takes Pay'n Save To Court"
707:"Eagle Ads Deceptive, Ernst Says"
509:Barron, James (31 January 2016).
380:Charles Malmo, an immigrant from
766:Stevens, John H. (9 July 1992).
731:Gupta, Himanee (22 March 1993).
25:
924:Lim, Paul J. (July 13, 1996).
733:"Ernst Images Likely To Clash"
705:Jung, Helen E. (7 July 1992).
561:"Bid Withdrawn For Pay'n Save"
488:The Seattle Post-Intelligencer
1:
482:Richman, Dan (1 March 2004).
490:. Hearst Seattle Media, LLC
218:An empty Ernst location in
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322:nursery products in them.
301:An empty Malmo Nursery in
966:Moscow-Pullman Daily News
948:Moscow-Pullman Daily News
179:retail stores founded in
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173:Ernst Home Centers, Inc.
20:Ernst Home Centers, Inc.
539:Ellensburg Daily Record
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223:
67:Fred and Charles Ernst
369:Chapter 11 bankruptcy
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217:
125:Western United States
355:class-action lawsuit
293:Early 1990s lawsuits
283:Lynnwood, Washington
351:consumer protection
324:PayLess Drug Stores
287:Spokane, Washington
254:In September 1984,
140:Number of employees
110:Number of locations
102:Seattle, Washington
58:Seattle, Washington
21:
910:. 27 January 1996.
802:. 19 November 1992
638:. 22 January 1986.
623:. 8 November 1985.
565:The New York Times
515:The New York Times
402:University Village
339:consumer education
307:
303:Idaho Falls, Idaho
272:Irvine, California
224:
908:The Seattle Times
886:The Seattle Times
854:The Seattle Times
827:The Seattle Times
800:The Seattle Times
772:The Seattle Times
737:The Seattle Times
711:The Seattle Times
684:The Seattle Times
666:The Seattle Times
651:The Seattle Times
636:The Seattle Times
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603:The Seattle Times
588:The Seattle Times
439:The Seattle Times
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680:"Stolen Slogan?"
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668:. 12 April 1991.
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264:Samuel N. Stroum
177:home improvement
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686:. 27 April 1992
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653:. 1 March 1986.
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466:. 2001-05-17.
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279:West Seattle
276:
268:Pic 'N' Save
260:Donald Trump
253:
241:
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220:Boise, Idaho
172:
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162:Subsidiaries
120:Areas served
97:Headquarters
34:Company type
1023:Pay 'n Save
535:(Newspaper)
464:HistoryLink
406:Pay 'n Save
390:Netherlands
250:Trump Group
244:Pay 'n Save
189:Pay 'n Save
155:Pay 'n Save
91:Liquidation
1017:Categories
891:20 January
860:20 January
832:20 January
806:20 January
777:20 January
742:20 January
716:20 January
690:20 January
571:20 January
545:20 January
494:20 January
444:20 January
412:References
331:Pay 'n Pak
237:Washington
204:bankruptcy
201:Chapter 11
335:Home Club
289:in 1991.
193:Northwest
311:Wal-Mart
227:Founding
131:Products
64:Founders
394:England
362:Decline
233:Seattle
210:History
181:Seattle
77: (
72:Defunct
50: (
45:Founded
388:, the
382:Norway
197:public
150:Parent
40:retail
386:Japan
893:2015
862:2015
834:2015
808:2015
779:2015
744:2015
718:2015
692:2015
573:2015
547:2015
496:2015
446:2015
392:and
333:and
285:and
87:Fate
79:1996
75:1996
52:1893
48:1893
56:in
1019::
1002:.
983:.
964:.
946:.
928:.
916:^
884:.
870:^
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798:.
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709:.
682:.
611:^
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54:)
Text is available under the Creative Commons Attribution-ShareAlike License. Additional terms may apply.
