Food Drives Quarterly Comp Gains for Family Dollar

MATTHEWS, N.C. — Family Dollar stores that have received expanded square footage for food displays are turning stronger comparable results than the chain overall, officials of the discount chain here said last week. Family Dollar began rolling out enhanced food departments emphasizing quick-prep and ready-to-eat products this spring “and the results have been very positive,” Howard Levine, president and chief executive officer, told analysts in a conference call reviewing the retailer’s third quarter results. Levine added that Family Dollar also intends to increase the number of stores that accept food stamps from 300 to around 750 by the end of the current quarter. Food sales helped overcome sluggish sales of other consumables during the quarter, which ended June 2. Overall, Family Dollar reported net income of $5.7 million on sales of $60.4 million for the period. Comparable-store sales improved by 1.5%.

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