Profile: The Pep Boys-Manny, Moe & Jack (PBY.N)

The Pep Boys-Manny, Moe & Jack is an automotive service and retail chain. The Company is engaged in automotive repair and maintenance, and the sale of automotive tires, parts and accessories. The Company's primary operating unit is its SUPERCENTER format. As of January 31, 2009 (fiscal 2008), the Company operated 562 stores consisting of 552 SUPERCENTERS and one SERVICE & TIRE CENTER, having an aggregate of 5,845 service bays, as well as nine non-service/non-tire format PEP BOYS EXPRESS stores. The Company operates approximately 11,514,000 gross square feet of retail space, including service bays. The SUPERCENTERS average approximately 20,700 square feet and the PEP BOYS EXPRESS stores average approximately 9,500 square feet. In most of its stores, the Company has a commercial sales program that provides commercial credit and delivery of tires, parts and other products to local, regional and national repair garages and dealers.

Each Pep Boys SUPERCENTER and PEP BOYS EXPRESS store carries a similar product line, with variations based on the number and type of cars registered in the markets where the store is located. A full complement of inventory at a SUPERCENTER includes an average of approximately 23,000 items (approximately 21,000 items at a PEP BOYS EXPRESS store). The Company's product line includes tires (not stocked at PEP BOYS EXPRESS stores); batteries; new and remanufactured parts for domestic and import vehicles; chemicals and maintenance items; fashion, electronic and performance accessories, and a limited amount of select non-automotive merchandise for automotive do-it-yourself customers, such as generators, power tools, personal transportation products, and canopies.

The Company sells an array of products under various private label names, in addition to offering a variety of name brand products. It sells tires under the names CORNELL, FUTURA and DEFINITY, and batteries under the name PROSTART. The Company also sells wheel covers under the name FUTURA; water pumps and cooling system parts under the name PROCOOL; air filters, anti-freeze, chemicals, cv axles, lubricants, oil, oil filters, oil treatments, transmission fluids and wiper blades under the name PROLINE; power tools under the name ALLEGHENY; alternators, battery booster packs and starters under the name PROSTART; power steering hoses and power steering pumps under the name PROSTEER; brakes under the name PROSTOP, and brakes, starters and ignition under the name VALUEGRADE. All products sold by the Company under various private label names accounted for approximately 28 of the Company's merchandise sales in fiscal 2008.

As of January 31, 2009, approximately 76%, or 425 of the Company’s stores provided commercial parts delivery. The Pep Boys-Manny, Moe & Jack has a point-of-sale system in all of its stores, which gathers sales and inventory data by stock-keeping unit from each store on a daily basis. The Company has an electronic parts catalog and an electronic commercial invoicing system in all of its stores. It has an electronic work order system in all of its service centers. In fiscal 2008, approximately 37% of the Company’s total revenues were cash transactions, with the remainder being co-branded credit card, other credit and debit card transactions, and commercial credit accounts. All Pep Boys stores are open seven days a week.