Dive Brief:
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Matthews, NC-based Family Dollar is planning job cuts and will close 370 stores in an effort to stem falling sales and reduce expenses by at least $40 million.
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The company also said it would delay some store openings and cut prices on 1,000 items to lure customers in.
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Meanwhile Dollar General CEO Rick Dreiling recently sold most of his shares in the company, prompting some observers to wonder if the discount chain faces a troubled future.
Dive Insight:
Discount stores like Family Dollar and Dollar General have in some ways fared better than many retailers because their low prices are more palatable to those on a strict budget. But even they have suffered from the discouraging weather and price competition from other retailers. If the economy continues to improve, they may not be the first stop for some people anymore. This is an area of retail that is in flux, and one to watch.