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The People Shaping the Industry

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The People Shaping the Industry DRSN041208p81 4/21/08 3:46 PM Page 81 ANNUALANNUAL TheREPORT people shaping the industry --------------------------------2 Chains expand focus amid uncertain economy -------------15 The Drug Store News Power Rx 50---------------------------16 Mass retailers push pharmacy by expanding programs ---17 Regional players strengthen foothold by finding niche-----18 Supermarkets emphasize health/nutrition connection------19 Drug StoreStore News News www.drugstorenews.comwww.drugstorenews.com 08AprilApril 21, 21, 2008 2008• •81 1 DRSN_042108_p83.qxd 4/9/08 8:47 PM Page 83 08 ANNUALREPORT Bill Baxley, Kerr Drug ill Baxley, senior vice Baxley has been with Kerr for crease inventory.” The big- president of merchandis- more than 40 years, beginning gest long-term challenge? B ing and marketing for as a stock clerk in 1967. After “Constantly reinventing Kerr Kerr Drug, said if he weren’t in graduating from pharmacy Drugs,” he said. the drug store industry, he’d be school in 1971, he began work- Baxley said the most sur- of service to humanity, “devel- ing at Kerr’s Store No. 1 in prising development of the oping goals for peace.” Raleigh, N.C. past year occurred outside Those who know Baxley As a retailer, Baxley said with the “collapse of the finan- probably wouldn’t be surprised his top goal this year is to cial markets,” and of Bear by his altruistic leanings. “improve margin and de- Stearns in particular. Paul Beahm, Wal-Mart aul Beahm, senior vice the healthcare arena, where he’s tinue today, but after a major president and general spent the majority of his career. restructuring of Wal-Mart’s en- Pmerchandise manager for Beahm was reassigned to the tire merchandising organization pharmacy, is a veteran Wal-Mart home goods area several years in early 2006, Beahm is back in merchant with a well-estab- ago, as Wal-Mart sought to inject the area where he is most famil- lished track record of helping new life into that business by ex- iar, with responsibility for phar- Wal-Mart achieve its merchan- ecuting a broad slate of product macy merchandising and third- dising objectives, especially in initiatives. Those initiatives con- party contract administration. Mike Bloom, CVS Caremark PEOPLE ike Bloom, senior with People’s Drug Stores was promoted to senior vice vice president of and with the Florida division president in 2003. M merchandising for of Toronto-based Shoppers In his current role at CVS, CVS Caremark, has nearly 30 Drug Mart. Bloom is responsible for all years of retail experience and Since that time, Bloom has aspects of CVS’ merchandis- joined CVS in 1991 after serv- held a number of positions ing strategy related to its front- ing as a manager/executive related to merchandising and store products. Chris Bodine, CVS Caremark hris Bodine’s 20-plus year chief executive officer. Bodine responsibility for pharmacy tenure with CVS Care- will retain responsibility for merchandising, business de- Cmark will come to an end trade relations, Rx purchasing velopment, IT, MinuteClinic in 2009, when he will retire for and MinuteClinic. and PharmaCare. He assumed personal reasons. He most recently served as that role in early 2007. Before In preparation for his retire- executive vice president and that, he served as executive ment, Bodine is assuming a new president of CVS Caremark vice president of merchandis- role as special adviser to the Health Care Services, with ing and marketing. Terry Burnside, Medicine Shoppe ccording to Medicine continues to be an issue that revenue streams.” Shoppe president Terry is threatening reimburse- If Burnside weren’t in the A Burnside, one of the ments,” he said. “As prescrip- industry, he said he would potential setbacks for the phar- tion margins continue to de- work for an organization like maceutical industry is the aver- cline, pharmacies are faced the Leukemia & Lymphoma age manufacturer price. with the need to diversify Society to help with fundraising “Although we dodged a their product and service of- for research and find cures for bullet as an industry, AMP ferings in order to find other life-threatening diseases. Drug Store News www.drugstorenews.com April 21, 2008 • 83 Drug Store News www.drugstorenews.com April 21, 2008 • 2 DRSN_042108_p84 4/9/08 9:01 PM Page 84 08 ANNUALREPORT Warren Bryant, Longs Drug ongs Drug chairman and served as president and chief at the Market Basket chain. chief executive officer executive officer of Dillon’s and In addition to serving as vice LWarren Bryant has been the as senior vice president of chairman of the National As- key to Longs’ turnaround since Kroger’s Western division. A sociation of Chain Drug Stores’ arriving in 2002, when the chain California native and graduate board of directors, the father of was struggling to compete. of California State University, two also is a member of the Before joining Longs, Bryant Los Angeles, Bryant began his California Governor’s Council worked for Kroger, where he retail career as a grocery sacker on Physical Fitness and Sports. Charles Burnett, Costco ew pharmacy executives Costco chief executive officer started his own Save Mart chain. can claim to have found- Jim Sinegal. The pharmacy But Burnett, recipient of the F ed the retail operation worked so well that Costco Harold W. Pratt Award in 2007, they head, but Charles Burnett began opening them in all of its hasn’t always been a pharma- is one of them. stores and now has 385. cist. He earned a law degree at He opened the first Costco Before coming to Costco, the University of San Diego in pharmacy in Portland, Ore., in Burnett headed the pharmacy 1970 and practiced law for a 1986 at the request of old friend division at FedMart and then short time. Jerry Cardinale, Rite Aid erry Cardinale, a Rite Aid ment and reverse logistics. Cardinale also served as Rite PEOPLE veteran, was named to That makes him data-savvy— Aid’s vice president of infor- J his current post of senior he favors consumer-purchas- mation systems development vice president of category ing information the most, an from March 1996 to May 1998. management in June 1998, area where manufacturers are And before that, he was vice where he focuses on category ahead of retailers, to better president of merchandising, a management in areas of sup- understand consumers and position he held for more than ply chain, inventory replenish- buying habits. five years. Ron Chomiuk, Wal-Mart hereas Paul Beahm pharmacy operations after a at Kmart and helped that com- and Chuck Fehlig are successful career elsewhere. pany enjoy some of its best years Whomegrown Wal- After spending nearly a in pharmacy. Today, Chomiuk is Mart pharmacy and healthcare decade at Perry Drug Stores, doing the same thing at Wal- executives, Ron Chomiuk is a Chomiuk joined Kmart in 1995 Mart as the retailer gains market different story. He is a relative as director of pharmacy opera- share and new customers via its newcomer, having joined Wal- tions. He went on to hold posi- $4 generic program and ag- Mart in 2001 as vice president of tions of increasing responsibility gressive promotions. Michael Cirilli, Duane Reade ichael Cirilli, vice pres- cally and internationally? In the business model and have objec- ident of merchandis- United States, the potential re- tives and goals in place to reach Ming for Duane Reade, cessionary economy must be sales and gross-margin forecasts. believes that the biggest chal- managed; are we prepared? If he weren’t working in the lenge over the next three years The Bronx, N.Y., native be- pharmacy industry, Cirilli said will be the election of the next lieves that, unless retailers are he’d either be a teacher (math president. What effect will his or careful, focus and direction can or history) or a coach (baseball her policies have, both domesti- be lost. They must know their or basketball). Drug84 •StoreApril News 21, 2008 www.drugstorenews.comwww.drugstorenews.com AprilDrug 21, Store 2008 News • 3 DRSN_042108_p86.qxd 4/9/08 8:39 PM Page 86 08 ANNUALREPORT Tony Civello, Kerr Drug hen chain pharmacy and his ability to call his own University of Pittsburgh’s phar- was staggering un- industry colleagues to action macy school in the mid-1960s. W der the impact of with strong language, Civello Through his leadership of federal reimbursement cuts and seemed the perfect choice to NACDS, as well as his numer- burdensome regulations a few head the National Association ous appearances on Capitol years ago, it found in Kerr Drug of Chain Drug Stores as its Hill in support of pharmacy chairman and chief executive chairman from 2005 to 2007. initiatives and his other activi- officer Tony Civello a leader Civello led the buyout of ties, Civello has become one of who seemed born for the role. Kerr in 1997 and guided its evo- retail pharmacy’s best-known With his clear-eyed assessment lution from a traditional drug advocates. He’s also a tireless of the dangers posed by Medic- store retailer to a retail health champion of a broader health- aid cuts, declining pharmacy and wellness leader. But before care role for community phar- reimbursements and mandato- coming to Kerr, he built a career macists, and he’s put his ry mail-order plans; his willing- spanning four decades at career and the company he ness to take on both Congress Pittsburgh-based Thrift Drug leads on the line in support of and the managed care industry; after his graduation from the that effort. Keith Cook, Medicine Shoppe or Medicine Shoppe vice move caused everyone in the challenge for retailers, “especial- president of pharmacy retail and pharmacy benefit ly if [the average manufacturer F solutions Keith Cook, the manager industries to take a price] goes through as originally most surprising thing that step back and evaluate their planned.” Also, he adds, “as occurred in the pharmaceutical own businesses in light of this more and more patents expire industry over the past year was new business model.” on some of the larger branded PEOPLE the CVS Caremark merger.
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