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REVCO AND ECKERD REACH AGREEMENT

 REVCO AND ECKERD REACH AGREEMENT
 TWINSBURG, Ohio, Feb. 13 /PRNewswire/ -- Jack Eckerd Corporation and


Revco D.S., Inc. announced today that Eckerd will postpone indefinitely consideration of its plan of reorganization for Revco. This will permit an amended Revco plan to proceed with confirmation in the Bankruptcy Court without incurring significant additional expense and delay.
 In consideration of Eckerd's action, the Revco plan of reorganization has been amended to provide for a payment to Eckerd of $7.5 million to cover Eckerd's plan related expenses. Revco believes this will expedite the resolution of the Revco bankruptcy and maximize the recoveries of Revco creditors. The plan amendment, which is subject to approval by the U.S. Bankruptcy Court in Akron, Ohio, is supported by most of the creditor committees of Revco. The payment will be funded through the exercise of rights issued by Revco to holders of Revco's subordinated debt. Each right will entitle the holder to purchase one share of new common stock of Revco at a price of $7.47 per share. Zell/Chilmark Fund, L.P. has agreed to be a standby purchaser of any common stock not purchased pursuant to these rights, thus assuring the cash required for the payment to Eckerd.
 The amended plan and disclosure statement were filed yesterday with the U.S. Bankruptcy Court in Akron, Ohio. The hearing on approval of that disclosure statement is scheduled for Feb. 14, 1992. If the court approves the Revco disclosure statement, the Revco plan and disclosure statement then will be sent to creditors for a vote. The deadline for that vote is March 6.
 "We believe this action -- which results in an uncontested Revco plan -- will provide significant savings for Revco and present a realistic opportunity for the company to emerge from bankruptcy at an early date," said Boake A. Sells, Revco chairman and chief executive officer.
 Stewart Turley, chairman of the board of Jack Eckerd Corporation, commented, "Confirmation of the Eckerd plan would have resulted in significant additional costs to Eckerd and even further delays in this case."
 Revco D.S., Inc., operates 1,150 drug stores in 10 states.
 Jack Eckerd Corporation operates 1,675 drug stores in 13 states.
 -0- 2/13/92
 /CONTACT: Gene Ormond of Jack Eckerd Corporation, 813-398-8318; or Diana Lueptow of Revco D.S., Inc., 216-425-9811, ext. 6145/ CO: Revco D.S., Inc.; Jack Eckerd Corporation ST: Ohio, Florida IN: REA SU: TNM


KK -- CL006 -- 9574 02/13/92 09:05 EST
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Publication:PR Newswire
Date:Feb 13, 1992
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