OAN’s James Myers
1:31 PM – Friday, April 5, 2024
99 Cents Only Store, which has been in business for more than 40 years, will soon permanently close all its stores.
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The retail chain, known for its prices ranging from $1 to less than $1.25, announced Thursday the impending closure of all 371 stores.
“This was a very difficult decision and not the outcome we expected or hoped to achieve,” Interim CEO Mike Simoncic said in a news release. “Unfortunately, recent years have presented significant and persistent challenges to the retail environment.”
The interim CEO said several factors led to the chain being forced to close all of its stores, including the “unprecedented impact of the COVID-19 pandemic.”
Simoncic also cited other factors, including consumer demand, inflationary pressures, loss of inventory and money due to theft, property damage, and government-related issues.
“We are deeply grateful to our dedicated employees, customers, partners, and community who have collectively supported 99 Cents Only Stores for decades,” he said.
by Los Angeles Times99 Cents Only Stores has an estimated 14,000 employees, but the company has not yet disclosed a timeline for store closures.
The retail giant was founded in 1982 and currently operates in four states: Arizona, California, Nevada, and Texas.
With the closure of the 99 Cents Only store, the company joins Family Dollar and Dollar Tree, which announced last month that they would close 1,000 stores across the United States.
“Sustained inflation and cuts in government benefits continue to squeeze low-income consumers, who make up a significant portion of Family Dollar. [customers]” said CEO Rick Dreyling.
Meanwhile, Walgreens has also announced plans to close many stores, with 150 stores announced last month. Additionally, pharmacy chain CVS plans to close 300 stores in 2024, after closing 600 stores in the past two years.
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