Rentway Corporation.
The notion of "We are family!" has been the title of a song, but has also been behind one of the most memorable marketing campaigns of the last few years. Rentway corporation took this campaign on during a time of economic hardship. Many years ago, it sold off some stores that were not doing very well in markets where business had slowed greatly.
This is not something to be looked down upon, but it is the nature of doing business. But, what happens when a business has strong numbers and decides to stick it to shareholders and consumers alike.
Yesterday it was announced that Rentway was selling out to Rent-A-Center. This leaves one to wonder, why? The issued DVD that they sent to all of the stores for the employees to review stated that the numbers for Rentway were good, but it was just another step in a brand journey.
Bill Short, the president of Rentway, urged all of the employees to embrace the change, and continue to grow the numbers of Rentway corporation. It also stated that the switch over would take approximately 90 days because of the paperwork and approval needed from the SEC (Securities and Exchange Commission). But it doesn't state about the millions that Bill Short is going to make off of his betrayal to the company by selling out.
Has this deal been in the works for some time? The answer to this is and has to be, Yes? Considering certain memos that were released in referrence to the rumors selling the company dated some time ago did not ever deny the events that were taking place.in addition to this, the DVD that reached the stores had to have been in the works for some time before the announcement took place.
Rentway in fact did sell out, and it sold out not just the customers that refused to do business with Rent-A-Center because of how they were treated, but the employees were sold out as well.
Several stories that have emerged as to why managers of Rentway Stores left Rent-A-Center. Two of these stories involve health care issues, but one of them was that of a child. Rent-A-Center had told one of their past managers to choose between the life of her son, and her job. The child was a severe diabetic who ended up in the hospital. His mother was driving back and forth to the hospital and work. Both in different towns. Rent-A-Center gave an ultimatium that she had to be available when ever they wanted and that she had to choose between working and having a career or the life of her son.
Another incident that occurred, when an individual who had grown the customer base of an IL based Rent-A-Center developed cancer. The person had to get treatment for the cancer and Rent-A-Center again put the person in a bad position of choosing life and being close to their family, or a job that would have ended up probably leading to their death.
This seems to be the fate of the rent to own industry. To be controlled by a corporation that does not have feeling and causes suffering.
My only hope is that the SEC will look further into the industry and not allow the merger to take place. When one breaks down the industry as a whole, the companies that control this industry are:
Rent-A-Center
Rentway
Aaron's Furniture
If Rent-A-Center and Rentway combine they will control 2/3 of the mainstream of an industry that has allowed others to acheive a better life, but it will do so by not giving consumers a choice or limiting the choices available to them.
One final note; When this merger was announced, the reagional managers were taken to a meeting to discuss the events that had occurred. It has come out that one reagional manager was on vacation with his wife on a motorcycle several states away from his home. Rent-A-Center and Rentway ordered him to abandon his wife who does not drive a motorcycle. This would have meant him leaving her by herself in a state not her home with transportation that she could not drive. Leaves me with the question, of "What kind of Corporations, would be so heartless?"
Jeremy
Springfield, Illinois
U.S.A.
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