1,000 Dollar Tree and Family Dollar Stores Closing Across the Country

The news comes after Dollar Tree experienced a surprising fourth-quarter loss.

However, since the 2015 acquisition, the discount retailer has found it challenging to fully absorb the chain.

They will close a further 370 stores alongside 30 Dollar Tree stores over the next few years.

According to the spokesperson, the decision comes after a review “to identify and address underperforming stores and invest in improved store standards and growth.”

It was also announced that Family Dollar would spend nearly $600 million on rebranding or closing stores.

“This dramatic cull is the coup de grâce in the rather botched acquisition of the Family Dollar chain, which has caused Dollar Tree nothing but hassle since it was completed back in 2015,” wrote Saunders.

“Basically, almost ten years on, Dollar Tree is still sifting through the mess it inherited and has not been able to completely turn around,” he said.

According to an emailed statement from Saunders, the budget retailer will lose around 12% of its stores over the next few years.

During the quarterly period that ended at the beginning of February, the company lost an estimated $1.71 billion, per CBC.

“For communities that have been negatively impacted by the proliferation of dollar stores, it’s a great thing,” she told CNN. “I’ve been waiting on this announcement for a long time.”

“When dollar stores proliferate, it causes grocers to go out of business,” she said.

The closures of the acquired Family Dollar may only further increase their profitability in the coming years as they attempt to clean up the mess they inherited over a decade ago.