National Intergroup To Move To Dallas
PITTSBURGH (AP) _ National Intergroup Inc. on Tuesday said it will move its headquarters to Dallas and its chairman, Howard Love, will resign.
The holding company, formerly the majority owner of National Steel Corp., said it will change its name to FoxMeyer Corp., the name of its drug distribution company.
Love, 59, will recommend to National Intergroup’s board that he be replaced by FoxMeyer head Robert L. King.
National Intergroup also said it would sell its Ben Franklin Stores Inc. subsidiary, and it would either sell, spin off or seek a partner for a joint venture for its Permian Partners oil business.
The company also sold aluminum assets and announced on Monday the sale of its Genix Enterprises computer company in Robinson Township, Allegheny County.
The Genix sale, if approved, would leave FoxMeyer as National Intergroup’s sole remaining operating division.
The company said it would buy back stock or pay a dividend with cash from the sales.
In March, National Intergroup sold 40 percent of its 50 percent share in National Steel, the nation’s sixth largest steel producer last year.
The company employs about 50 people in Pittsburgh.
Centaur Partners, a New York investment group, earlier this year tried unsuccessfully to gain control of National Intergroup’s board. The partnership, which owns one-sixth of NII, said it was disappointed in National Intergroup’s management and recent earnings.
National Intergroup spokesman Edward Klein said Tuesday’s moves did not represent appeasement of Centaur Partners.