According to an official statement by the company, Schwab had been in declining health for a number of months.
Clearly the most beloved resident of Prineville, most businesses and government centers in the area were flying their flags at half-staff. The Crook County Courthouse, according to local reports, will be draped in black.
After starting his company in 1952, he built Les Schwab Tire Centers into one of Oregon’s best-known businesses. The company now operates more than 410 stores throughout the West, with 7,700 employees, and posted 2006 sales of $1.6 billion.
“Les was not just a great businessman, he was a great man,” said Phil Wick, current chairman of Les Schwab Tire Centers. “There will never be another Les. He was a visionary, and all of us who worked with him will stay true to his vision of integrity, service and treating people right.”
The Schwab family will own the business, led by Wick and CEO Dick Borgman.
“Les built one of the greatest companies, with some of the best employees, not just in the West, but in the world. He left us a remarkable legacy, and we are all committed to seeing that it thrives.”
Les Schwab was born in Bend, Ore. on Oct. 3, 1917, and graduated from Bend High School. Both of his parents died while he was still in high school, and he supported himself by distributing the Oregon Journal newspaper and eventually controlled all nine routes in Bend.
He married his high school sweetheart, Dorothy Harlan, shortly after graduating high school. After working his way up at the Oregon Journal, he left to become circulation manager at The Bulletin in Bend.
During World War II, Schwab served with the Air Cadets.
In 1952, he bought OK Rubber Welders in Prineville, Ore., starting out in a shack with no running water and no toilet. “I had one hired man, and the two of us were the total crew. So I learned the tire business from the bottom up.” Schwab said.
Schwab’s total focus on customer service helped him grow rapidly; within one year, the company’s sales grew from $32,000 to $150,000. Fifty-five years later, Les Schwab has stores in Oregon, Washington, Idaho, Montana, California, Nevada and Utah.
The company won acclaim for its unswerving attention to customer service. New customers were often startled to see employees literally running up to help them. Many people who became Les Schwab customers remained so for decades. Schwab referred to his business approach as following the Golden Rule by always “treating people right.” His message to employees was to take “Pride in Performance.” He instituted a written warranty policy for customers under the name “If We Can’t Guarantee It, We Won’t Sell It.”
Employees were also a crucial part of the Schwab story, and early on became known for its employee programs. Schwab instituted a profit sharing plan, employee retirement accounts, funding for education, health and dental care, and the payment of an annual dividend. Through these programs, 50 percent of company profits are distributed to employees.
Schwab was also the face of the business, appearing for years in the company’s radio and television commercials. He continued to appear, with his trademark cowboy hat, in commercials until about 10 years ago.
Schwab remained active in the business day to day until some 20 years ago until, and was still a presence there until the September 2005 death of his daughter, Margie Denton. Son Harlan died in a car crash in 1971.
Schwab leaves his wife, Dorothy, and four grandchildren. Funeral services will be private. Les Schwab’s family has requested that cards and condolences be addressed to the Les Schwab Family, c/o Shirley Jacobs, P.O. Box 667, Prineville, OR 97754.
