Longs Drug to Buy Pacific Northwest Chain

Longs Drug Stores Corp., the sixth-largest U.S. drugstore chain, agreed to buy 20-store chain Western Drug Distributors Inc. for an undisclosed price to expand in the Pacific Northwest. Closely held Bellevue, Wash.-based Western Drug operates franchises of Powell, Ohio-based Drug Emporium Inc. under the name Drug Emporium in Washington and Oregon. After the acquisition, expected to be completed this month, Longs will have 373 stores. Walnut Creek-based Longs, whose stores sell pharmaceuticals, housewares, greeting cards, food products and cosmetics, is buying Western Drug to broaden its reach into western Washington and Portland, Ore. Longs generated $2.95 billion in sales last year, and Western Drug had $172 million in sales. Longs now operates stores in California, Colorado, Hawaii and Nevada. Its shares rose 13 cents to close at $29 on the New York Stock Exchange.