LAUREL - With the world's largest retailer operating in their backyard, two longtime Laurel small-business owners said they feel the pinch of low-priced competition but are optimistic about the future.

Wal-Mart opened Oct. 24 in Laurel. In anticipation of its arrival, a bevy of new businesses were built on Southeast Fourth Street, and the town's third stoplight was installed at Fourth Street and First Avenue South.

Existing business owners, including Laurel's only grocery store and sole craft-and-fabrics outlet, braced for the opening.

Grocers Bob Dantic and his brother Mike, who co-manage Jan's IGA, have reduced staff by about 40 employees since the peak summer employment in August.

"It's been an interesting ride," Bob Dantic said. "The layoffs have been a major detriment to our family."

Since Wal-Mart announced in late 2005 that it would open in Laurel, Dantic has told his employees that, overall, employment at Jan's IGA is secure.

"We'll be here next year; we're not going anywhere," he said.

Rod Halvorson, who owns the Ben Franklin store with his wife, Linda, said they have felt the pinch of Wal-Mart but that it is too early to tell what the impact will be.

"We're optimistic at this point," he said.

Dantic and Halvorson said they expect business to rebound as the Wal-Mart novelty wears off. They expect curious customers, who may have shifted to buying at Wal-Mart, to return. They said they appreciate the loyal customers who have stayed with them.

Because Wal-Mart has been in Billings for years, the Laurel store is just an added convenience for some shoppers, Halvorson said.

"Wal-Mart has always been 20 minutes from this community anyway," he said.

Halvorson said as a small, independent business, Ben Franklin can change up its merchandise regularly to meet customers' demands. Other than that, he doesn't anticipate any changes in the organization, including decreases in his "good, experienced staff" of 10 employees. The Halvorsons have owned and operated the business for 17 years.

All retail businesses, regardless of what they sell, compete for business, Halvorson said. Wal-Mart is just another growth in business and another challenge, he said.

While there is definitely more traffic on the south side of town - toward Wal-Mart - downtown is in transition, too. There are some empty buildings, but there also are recently purchased buildings and a number of renovations, Halvorson said.

Laurel is growing, including the construction of several subdivisions. Halvorson ticked off what he called "so many positives in Laurel right now," including:

• A new 92,000-square-foot middle school, which was occupied by students and staff this fall.

• A $325 million coker plant project under way at the CHS refinery.

• The Crossings, a development by St. John's Lutheran Ministries of Billings that includes independent and assisted-living apartments and a cottage for residents with early onset of Alzheimer's and dementia.

"I've always said it's good we're next to Billings because that's how we're growing," he said.

Full Story: http://www.billingsgazette.net/articles/2007/12/05/news/local/18-walmart.txt