RETAILING: Family Affair

"We like merchandising; it is in our blood," said the top man in the nation's top department-store chain last week. For cherubic Fred Lazarus Jr., 73, chairman of Federated Department Stores, Inc., this enjoyment of selling has paid big dividends. Last year for the first time Federated edged Allied Stores as the nation's top retailer. Last week Federated reported its best earnings ever: six-month profits of $7.9 million from sales of $280 million.

Fred Lazarus regards Federated pretty much as a family affair. Fortnight ago Fred's son Maurice, 43, was named president of Federated's Boston store, Filene's. Seven members of...