Duckwall-ALCO cuts more HQ staff

ABILENE, Kan. Duckwall-ALCO Stores reported that it has reduced its headquarters staff by more than 10% in a second step of a multiphase program to streamline operations with the goal of improving profitability and return on equity (ROE).

The company announced today that 27 positions in the Abilene, Kan. corporate headquarters have been eliminated, including one officer, Kalen Gunderson, vp operations Western division. The corporate labor cost reductions to-date equate to an annualized savings of approximately $2.5 million.

"As we explained previously, a thorough analysis of operations by the new Board of Directors and management made it clear that reducing corporate staff was imperative,'' said Donny Johnson, interim ceo of Duckwall-ALCO Stores. "Decisions that affect associates' jobs and their families are always difficult, but we are confident these changes will prove very positive for Duckwall-ALCO Stores over the long term. While cutting expenses and streamlining the corporate infrastructure, we have also identified numerous opportunities for improving store operations and the value we offer customers in our stores. Our goal in making these and future operational changes is to dramatically improve profitability and increase shareholder value."