Article: Phar-Mor rocked by scandal. (Phar-Mor Inc.) (Special Double Issue)(The State of the Industry)

YOUNGSTOWN, Ohio--For 10 years Phar-Mor Inc. had grown rapidly by underselling all of its competitors. It had become not only the largest deep-discount drug retailer by far, but one of the largest drug chains overall. For the fiscal year ended June 30, 1992, it reported a 24% increase in sales to $3.14 billion. The chain even had plans to go nationwide.

How Phar-Mor could grow so fast and still be profitable was a mystery, and people's darkest suspicions were confirmed when, shortly after celebrating the opening of its 300th store, the chain announced in early August that it had fired cofounder, president and chief operating officer Mickey Monus and chief financial ...

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