Luverne Store Becomes One of J.C. Penney Co. ChainThe following appeared in the Rock County Herald on May 6, 1927: LUVERNE STORE BECOMES ONE OF J.C. PENNEY CO. CHAINGolden Rule, of F.S. Jones Company, with Fifty-Three Others, Is Purchased by Famous ConcernConfirmation of the report that the F.S. Jones chain of fifty-four department stores has been purchased by the J.C. Penney company was received the fore part of the week from Manager H.B. Creeger of the Golden Rule store, of this city, which is one of the Jones chain. Mr. Creeger has been in the Twin Cities since last week and expected to return the last of this week.The Luverne store, and the other fifty-three of the chain, will pass under the ownership and management of the Penney company June 1st, but there will be no particular change in the personnel of the local store as Mr. Creeger will continue as manager. All of the Jones chain of stores are located in six northwest states, fifteen of them being in Minnesota, sixteen in Montana, five in North Dakota, ten in South Dakota, seven in Iowa and one in Wisconsin. Their annual sales are said to have exceeded $3,000,000 for the last few years. J.C. Penney company has long been recognized as the greatest merchandising organization of its kind in this country, representing as it did eight hundred thirty-one stores doing business in forty-five states, exclusive of those acquired by the purchase of the Jones chain. The Penney company and the Jones company are said to have never become competitors, a long-time personal friendship existing between the heads of the two organizations. While the Penney company has heretofore confined its activities to the larger cities, the Jones company has been content to find its sphere of activity in the smaller county seat towns. The Penney company, which has the reputation of catering to a much wider range of trade and tastes than did the Jones company, is an exceptionally progressive corporation and aggressive advertiser. Twin city papers carried the following announcement of the purchase: "Negotiations were completed in St. Paul today for the purchase by J.C. Penney & Co. chain, to form what is said to be the largest chain department store organization in the world. "The Jones chain of fifty-four stores, scattered throughout Minnesota, North Dakota and South Dakota, with headquarters in St. Paul, was purchased at a consideration said to be near $1,000,000."The acquisition of the Jones stores and several others for which the J.C. Penney organization will close within a short time will give J.C. Penney & Co., 885 stores throughout the country, with an invested capital of $31,000,000."The Jones stores handle a line of goods similar in variety to those sold by J.C. Penney & Co. The combined stores which will comprise the enlarged Penney chain will do a business this year, based on the sales of the same stores last year, of more than $150,000,000, according to officials in St. Paul today to complete the deal.Previous to the merger, the Penney company, with 831 stores, was one of the largest chain store concerns in the country, but the acquisition of the Jones line, and others that will be bought soon, officials said, will make it the largest in the world, with the exception of five and ten-cent store chains. The Jones headquarters at 404 Hackney building will be closed immediately, officials announced. "Growth of the Penney chain from $500 invested by J.C. Penney 25 years ago to an invested capital of $30,000,00 is described as phenomenal in financial circles. Each dollar originally invested has multiplied itself 60,000 times. Sales in 1926 were reported as $115,682,737."Donations to the Rock County Historical Endowment Fund can be sent to the Rock County Historical Society, P.O. Box 741, Luverne, MN 56156.Mann welcomes correspondence sent to mannmade@iw.net.