Dollar Tree

Chesapeake, Va. – Dollar Tree Inc. plans to sell about 330 Family Dollar stores to obtain Federal Trade Commission (FTC) approval of its pending $8.5 billion acquisition of Family Dollar Stores.  

The company has not identified the buyer, the sale amount or which stores will be closed. The 330 Family Dollar stores represent about $45.5 million in operating income, according to Dollar Tree. Dollar Tree expects the Family Dollar purchase to go through in July 2015.

Dollars Tree’s first quarter sales were less than expected, it is divesting more of the acquired Family Dollar stores than expected and closing the merger is taking longer than expected.

Matthews, N.C. – Profits slid at Family Dollar Stores Inc. during the second quarter of fiscal 2015 compared to last year, but still beat Wall Street predictions. The discounter reported net income of $76.7 million, down 18% from $90.9 million.

Cold weather in February caused profits to slide at Family Dollar Stores Inc. ahead of its impending merger with Dollar Tree.

Goodlettsville, Tenn. – Dollar General Corp. plans to increase employee income by making more working hours available to them, as opposed to raising salaries. Seeing a need to improve its stores in the face of expanded competition from the merging Family Dollar Stores Inc. and Dollar Tree Inc., Dollar General hopes to keep shelves better stocked with more labor hours.

Matthews, N.C. – Howard Levine, CEO of Family Dollar Stores Inc., intends to reduce his holdings of company stock for the second time in a month. In an SEC filing, Levine said he will sell up to two million shares of Family Dollar stock in an effort to diversify his portfolio.

In February 2015, Levine sold about 1.77 million shares of Family Dollar stock for $134.5 million. Family Dollar is in the process of being acquired by Dollar Tree Inc.

Chesapeake, Va. -- Dollar Tree reported that its net income dropped 13% to $206.6 million in the fourth quarter of fiscal 2014, down from $239 million in the year ago period. The quarter included $6.7 million in acquisition-related costs associated with the pending merger with Family Dollar Stores Inc.

As Dollar Tree prepares to absorb the costs associated with its pending acquisition of Family Dollar, the discounter beat Wall Street estimates of earnings for the fourth quarter.

Dollar Tree said net revenue improved 11% to $2.48 billion. Analysts had projected $1.15 a share in earnings and revenue of $2.47 billion. Dollar Tree said same-store sales rose 5.6% in the quarter and that the number of transactions rose 5%. For the period ended Jan. 31, Dollar Tree posted a profit of $206.6 million, or $1 a share, down from $213 million, or $1.02 a share, a year earlier.

Matthews, N.C. – Howard Levine, CEO of Family Dollar Stores Inc., reportedly plans to sell between one and two million shares of company stock in the next 10 days. According to the Charlotte Business Journal, Levine filed his intention to make the sale with SEC.

New York – Investment fund Trian Fund Management LP has reportedly reduced its stake in Family Dollar Stores Inc. from 7% to a little more than 2%. According to the Wall Street Journal, the fund, headed by activist investor Nelson Peltz, had publicly supported the Family Dollar-Dollar Tree merger.

Triad has an executive on the Family Dollar board. The SEC has confirmed Family Dollar shareholder approval of the Dollar Tree merger.