Family Dollar announced earlier this month that it plans to close 370 of its 8,100 stores in the second half of the year, and to slow down store growth to about 400 per year, starting next year.
The company also said it would try to boost traffic by cutting prices on about 1,000 items, and to increase profits by cutting jobs. CEO Howard R. Levine said he hopes these efforts will result in annual savings of $45 million.
Family Dollar posted a 6.1 percent decrease in net sales for the fiscal second quarter (ended March 1) compared to the same quarter a year ago, and net income fell from $140.1 million to $90.9 million.