Dollar General And Family Dollar Are Closing Stores
Introduction
The COVID-19 pandemic has hit businesses hard, and the retail sector has not been spared. Two popular discount stores, Dollar General and Family Dollar, have announced they will be closing a number of their stores across the United States.
Dollar General Store Closures
Dollar General, which operates more than 16,700 stores across 46 states, has announced that it will be closing 390 stores in 2021. The company cited poor performance as the reason for the closures.
The company's CEO, Todd Vasos, said in a statement, "We have been looking at our real estate footprint, and we believe we have the opportunity to close underperforming stores as well as build a number of new stores in the right locations."
The closures will affect stores in both rural and urban areas, and the company has not yet released a list of which stores will be closing.
Family Dollar Store Closures
Family Dollar, which is owned by Dollar Tree, will be closing up to 390 stores in 2021 as well. The company has not yet released a list of which stores will be closing, but a spokesperson said that the closures will be based on the stores' performance.
In a statement, Dollar Tree CEO Gary Philbin said, "We are confident that these steps will position the Company to deliver stronger results and greater value for our shareholders."
The Impact of Store Closures
The closures of Dollar General and Family Dollar stores will have a significant impact on the communities in which they are located. These stores often serve as the only affordable option for low-income families to purchase household items and groceries.
Furthermore, the closures will lead to job losses for the employees of the affected stores. Dollar General and Family Dollar have not yet announced how many jobs will be lost due to the closures.
Conclusion
The closures of Dollar General and Family Dollar stores are a clear indication of the challenges that businesses are facing in the wake of the COVID-19 pandemic. While these closures may be necessary for the companies' financial health, they will have a significant impact on the communities and individuals affected.