ShopKo Expanding ShopKo Express Format

GREEN BAY, WI -- ShopKo Stores has announced the locations of two additional ShopKo Express stores. Construction will begin this fall at 2585 Lineville Road in the Village of Howard, WI, located near Green Bay. The 15,000 sq. ft. ShopKo Express store, which will include a professional eye care center, will open at the site in mid-January 2005.

The Howard site is the second ShopKo Express location to be named in the Green Bay area. Earlier, ShopKo announced plans to build a ShopKo Express in Ledgeview, WI, at the southeast corner of County Highway G and County Highway GV. Construction on the Ledgeview site will also begin this fall with an opening scheduled for mid-January 2005.

In addition to the Ledgeview and Howard locations, ShopKo has purchased an existing neighborhood drug store, "Port Apothecary," in Port Washington, WI, approximately 20 miles north of Milwaukee. Beginning in October, the pharmacy/retail store will be completely remodeled and will be converted to the ShopKo Express format. The store will remain open to customers during the remodeling period. Job opportunities with ShopKo have been presented to the Port Apothecary teammates.

"I'm very excited to be joining ShopKo," said Steve Ziebell, co-owner of Port Apothecary. "Customers will receive the same level of professional service from me and my team in the remodeled ShopKo Express setting. In addition, I believe our customers will benefit from the increased product offerings that will come with ShopKo Express."

ShopKo Express will keep the full-scale liquor department currently at Port Apothecary and expand the selection of convenience foods, beverages and household goods.

"We are extremely pleased the owners and staff of Port Apothecary are joining the ShopKo Express team," said Mike Bettiga, ShopKo svp of retail health operations. "We are confident the Port Washington area will embrace our new ShopKo Express format."

ShopKo Express is a neighborhood drug store format focused on providing professional pharmacy services, health and wellness products and information, home business solutions, photo processing, as well as a convenient assortment of food and beverages and traditional drug store merchandise.

"ShopKo's historical roots are in providing exceptional pharmacy services to our customers," said Sam Duncan, ShopKo president and ceo. "We know this business very well and, as the baby boom generation ages, the demand for these products and services is growing. ShopKo Express will provide customers with a unique blend of professional services and products currently not available under one roof, in a convenient neighborhood setting."

Recognized nationally as a leader in customer satisfaction, retail health operations at ShopKo have grown 16% in the last three years and now represent more than 26% of the company's total sales. ShopKo pharmacies filled 3.2 million prescriptions in 2003. ShopKo eye care centers filled more than 660,000 optical prescriptions last year.

"We are known for providing reliable products and values better than large pharmacy chains, and we compare very well with independent pharmacy operators, known for providing exceptional service and trustworthy health care information," Duncan added.

ShopKo Stores, headquartered in Green Bay, WI, operates 357 stores in 23 states throughout the Midwest, Western Mountain and Pacific Northwest regions.