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Levine: Family Dollar customers have "not benefited from this recovery at all"

  • Family Dollar (FDO) CEO Howard Levine had strong words on the economic state of America’s low-income consumers yesterday in the discount retailer's earnings conference call, saying "the low-end consumer has not benefited from this recovery at all - in fact, I think have slipped further back."
  • But Levine thinks he can coax more money from customers by selling beer and wine; FDO has been testing alcohol sales for two years and had its best-ever beer sales on this year's July 4 weekend, prompting an accelerated rollout for 2015.
  • Meanwhile, Carl Icahn, who wants the company to sell itself to rival Dollar General (DG), points to the top in assigning blame for FDO's woes: "The leadership, to say the least, is questionable at Family Dollar and it's been that way for many years."
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Comments (5)
  • financeminister
    , contributor
    Comments (971) | Send Message
     
    The compassionate Levine is going to help the low income by selling beer.
    11 Jul 2014, 08:21 PM Reply Like
  • redhat63
    , contributor
    Comments (88) | Send Message
     
    You beat me to it with that comment! lol.
    11 Jul 2014, 09:33 PM Reply Like
  • javkoza
    , contributor
    Comments (143) | Send Message
     
    If they had benefited, would they be shopping at your establishment?
    This again proves Icahn is absolutely right about management.
    11 Jul 2014, 08:31 PM Reply Like
  • redhat63
    , contributor
    Comments (88) | Send Message
     
    Excellent point. Thank you.
    11 Jul 2014, 09:34 PM Reply Like
  • User 19709911
    , contributor
    Comment (1) | Send Message
     
    I fundamentally and categorically disagree with the idea that the way to help the low income shoppers is to sell them alcohol. This is a very stupid way to grow sales, to say that it lacks vision would be an understatement. I believe that he is not alone in the state of current mass retailers lacking new creative ideas to sell merchandise and improve the quality of its customers lives. The setting is ripe for fresh, enlighting visionaries to take over the retail sector.
    12 Jul 2014, 09:40 AM Reply Like
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