Dollar Tree’s turnaround plans for its Family Dollar business seem to be paying off, as the retailer reported improved results for its second quarter.
Activist investor Starboard Value, which has pushed for changes at Dollar Tree, has decided to withdraw its slate of nominees for election to Dollar Tree’s board of directors at the 2019 annual meeting of shareholders.
Dollar Tree reported solid sales in its fourth quarter, while ramping up its Family Dollar integration and turnaround plans, which includes store closings this year.
Dollar Tree is planning a new distribution center project in Rosenberg, Fort Bend County, TX.
Dollar stores are seeing growth in shopper traffic during the holiday season with shoppers from higher income levels driving the growth, according to a recent survey from The NPD Group.
Dollar Tree has appointed Thomas Dickson as a new independent director to the company’s board, effective January 1, 2019. Dickson’s appointment is to fill the vacancy created by the previously announced retirement of Mary Anne Citrino as a director.
Pressured by freight and other cost increases, Dollar Tree managed to grow its net sales and income, although comps slipped at the company’s Family Dollar banner.
Dollar Tree, as part of its continuing integration of Family Dollar’s organization and support functions, plans to consolidate its store support centers in Matthews, North Carolina and Chesapeake, Virginia, to the company’s newly-completed office tower in the Summit Pointe development in Chesapeake.
As part of a planned leadership succession, Dollar Tree said that Bob Sasser, the company’s CEO since 2004, will now assume the role of executive chairman of the board. Gary Philbin, enterprise president, has been promoted to president and chief executive officer and has been appointed to the board of directors.