1959–1980
Family Dollar was founded in 1959 by Leon Levine, a 21-year-old entrepreneur.[11] In November of that year, the company's first store was opened, in Charlotte, North Carolina.[12] In 1961, their first store in South Carolina opened, followed by stores in Georgia and Virginia, which were opened in 1962 and 1965, respectively. During the 1960s, the store company was largely a southern United States operation. By 1969, there were fifty stores in Charlotte alone.
The 1970s were growing years for the store chain. In 1970, Family Dollar's stock went public for the first time, at $14.50 per share.[13] In 1971, the chain's 100th store opened, followed by their 200th in 1974 and their 300th in 1978. Also in 1974, a distribution center was opened in Matthews, North Carolina. In 1979, Family Dollar stock began trading at the New York Stock Exchange.
1980–2000
In 1981, the chain's 400th store was opened, followed by a 500th store in 1982 and a 700th in 1983. The 1980s saw expansion at a wider scale for the company, and by 1989, 1,500 stores were operating.
The 1990s saw the pace of expansion slow down compared to the 1980s, with 1,000 stores opened. The company opened distribution centers in West Memphis, Arkansas; Front Royal, Virginia, and Duncan, Oklahoma. Since 2000, the pace of growth increased significantly, with the addition of about 3,500 new stores, and new distribution centers opening in Morehead, Kentucky; Maquoketa, Iowa; Odessa, Texas; Marianna, Florida; and Rome, New York.
2000–2010
In 2001, Family Dollar joined the S&P 500 stock market index.[14] In 2002, the company joined the Fortune 500 list of largest publicly held companies.[11]
When Leon Levine retired in 2003, his son Howard R. Levine succeeded him as Chairman and CEO, keeping this multibillion-dollar company in the family.
On March 3, 2005, after opening over 2000 retail locations in the previous five years, Family Dollar announced a new distribution center would be built in Rome, New York.[15] Later that month, Family Dollar restated the company's fiscal 2000 to fiscal 2004 earnings per share downward by 2 cents to 3 cents a year, to correct lease-accounting issues.[16]
2010–2020
As of August 2011, there were 7,000 stores in 44 states.[17] According to their website in 2005, Family Dollar opened 500 new stores, 350 more in 2006, and an additional 300 in 2007. According to the company's 2013 Corporate Profile in 2010, Family Dollar opened 200 new stores, 300 more in 2011, 475 in 2012, and an additional 500 in 2013. On October 3, 2012, Family Dollar said they will open 500 stores in 2013.[18] The next day, Family Dollar partnered with Healthways.[19] Family Dollar operates 11 distribution centers – the latest of which opened in St. George, Utah, on October 16, 2013.[20]
Family Dollar created a game show based on the store in late 2016. Hosted by celebrity chef Pat Neely, the show Save to Win aired on The CW between 2016 and 2017.[21]
Selling pressure
In March 2011, Family Dollar rejected a takeover offer by Nelson Peltz's Trian Fund Management reportedly between $55 and $60 a share.[22]
On June 6, 2014, activist investor Carl Icahn disclosed that his firm, Icahn Enterprises, held a 9.4% stake in Family Dollar.[5][23] On June 19, 2014, Icahn demanded in an open letter that Family Dollar be put up for sale immediately.[4][6] Goldman Sachs and other analysts had identified a number of potential buyers.[24]
Acquisition by Dollar Tree
On July 28, 2014, Dollar Tree announced that it would acquire Family Dollar for $74.50 per share, a deal valuing Family Dollar at $8.5 billion, and that Dollar Tree would also assume $1 billion in debt currently owed by Family Dollar, for a total of $9.5 billion.[7][26] Dollar Tree CEO Bob Sasser said that Family Dollar CEO Howard R. Levine will remain with the company following the merger and will be appointed to Dollar Tree's board of directors.[8]
On August 18, 2014, Dollar General announced a counterbid for $78.50 per share.[27] The enterprise value of the Dollar General bid was $9.7 billion compared to that of Dollar Tree of $9.2 billion, while the quantum return to shareholders was varying as the stock and cash deal valuation was subjected to fluctuations of price of the competing bidders stock.
On August 20, 2014, Family Dollar rejected the Dollar General bid, saying it was not a matter of price, but concerns over antitrust issues that had convinced the company and its advisers that the deal could not be concluded on the terms proposed.
2020–present
In May 2020, eight Family Dollar stores were damaged by rioting and looting during the George Floyd protests in Minneapolis–Saint Paul, with two locations being destroyed by arson during the widespread civil unrest.[35][36][37]
In March 2024, Dollar Tree, owner of Family Dollar stores since 2015, announced it would close 600 retail stores by July 2024 and another 370 over the next few years. The company will also close 30 Dollar Tree stores as well.[38]
On April 28, 2024, a tornado destroyed Family Dollar parent company Dollar Tree's distribution center in Marietta, Oklahoma. On August 16, 2024, the dilapidated warehouse caught on fire.[39]
Sale to capital management firms
In June 2024 it was reported that Dollar Tree were in discussions to potentially spinoff or sell the Family Dollar brand due to poor financial performance for the chain. As of December 2024 such a spinoff or sale has not occurred.[40][41] On February 20, 2025, Reuters reported that Apollo Global Management, Sycamore Partners, and Brigade Capital Management were among the parties expressing interest in acquiring the Family Dollar brand.[42]
On March 26, 2025, Dollar Tree announced it had reached an agreement to sell Family Dollar to Brigade Capital Management and Macellum Capital Management LLC for $1 billion.[43]
