TROY, Mich. (May 2, 2001)-–Kmart Corp. and Penske Auto Centers are extending their agreement covering Penske's operation of Auto Service Centers in 638 Kmart and Kmart Supercenter stores nationwide. Penske initially assumed operations of Kmart´s Auto Service Centers in 1995.
``The Penske brand is known for great product and services,” said Mark Schwartz, Kmart president and chief operating officer, in a prepared statement. “We are excited that we will continue to have Penske as our brand partner delivering high-quality car care to our customers. This new agreement will benefit both companies as we pursue our strategic growth plans.´´
The renewed agreement includes a 10-year initial term under which Penske Auto Centers will continue to provide complete auto service including repair and routine maintenance.
``We´re enthused about the new long-term agreement with Kmart and the unique marketing advantage we enjoy by having our Auto Centers located at Kmart. It certainly offers us excellent exposure to Kmart´s customer base. We look forward to growing our stores along with Kmart while continuing our efforts to provide our customers and those of Kmart with superior automotive services and quality products at value prices,´´ said Jim Wheat, president and CEO of Penske Auto Centers.