WOONSOCKET, RI, March 16, 1998 -- CVS Corporation (NYSE: CVS) today announced that its Board of Directors has named Thomas M. Ryan President and Chief Executive Officer. Mr. Ryan, who is currently Vice Chairman and Chief Operating Officer, succeeds Stanley P. Goldstein, who will continue in the position of Chairman of the Board. The changes become effective at the Company’s Annual Meeting on May 13, 1998.
Mr. Goldstein commented, "Tom has done a truly outstanding job at CVS. Under his leadership, CVS has achieved industry-leading performance, while laying the foundation for future growth through the acquisition of Revco last year and the proposed acquisition of Arbor Drugs, announced in February. With the divestitures of Linens ‘n Things and Bob’s Stores during 1997 and the full completion of Melville’s strategic restructuring, it is natural that Tom assume the position of Chief Executive Officer of the Corporation at this time."
Mr. Ryan said, "Since Stan co-founded CVS 35 years ago, the Company has grown to become one of the clear leaders in the chain drugstore industry and a major U.S. corporation. I have worked closely with Stan for many years and have tremendous respect for his judgment and business acumen. I am honored to succeed him in this position, and I look forward to continuing CVS’ record of excellence."
Under its strategic restructuring program, announced in October 1995, Melville transformed itself from a diversified retail conglomerate into an industry-focused healthcare retail company, CVS Corporation. The restructuring, led by Mr. Goldstein, involved divesting a significant number of retail businesses through sale, spinoff or initial public offering. In Fall 1996, Melville changed its name to CVS Corporation and its stock symbol to "CVS." Since that time, Mr. Goldstein has been primarily responsible for the completion of the restructuring and, together with Mr. Ryan, for growth strategies for CVS. In his present position as President and CEO of CVS Pharmacy, Inc., Mr. Ryan has been responsible for all aspects of CVS’ operations.
Mr. Ryan, 45, has served as Vice Chairman and Chief Operating Officer since October 1996. He joined CVS in 1975 as a Pharmacist and, since that time, has held a number of managerial positions in the Company, including Vice President-Pharmacy Operations, Senior Vice President-Pharmacy and Executive Vice President-Stores. In 1993, Mr. Ryan was appointed President and Chief Executive Officer of CVS Pharmacy, Inc., which, at that time, was part of Melville Corporation. Mr. Ryan currently serves as a Director of Fleet Financial Group and of Reebok International Ltd.
Mr. Goldstein, 63, was appointed Chairman and Chief Executive Officer of Melville Corporation in 1987 and has continued as Chairman and Chief Executive Officer of CVS Corporation. Mr. Goldstein co-founded CVS in 1963. In 1969, CVS was acquired by Melville Corporation, and Mr. Goldstein became President of the CVS Division. In 1984, he was appointed Executive Vice President of Melville and Chairman and Chief Executive Officer of its CVS Division.
CVS, which operated 3,888 stores at the end of 1997 in 24 states and the District of Columbia, is the leading drug store chain in the Northeast, Mid-Atlantic, Southeast and Midwest, with 1997 net revenues of $12.7 billion.