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Thursday, August 21, 2014

CORRECTED-Dollar General questions motives of Family Dollar CEO, (NYSE: DG), (NASDAQ: DLTR), (NYSE: FDO)

Dollar General Corp questioned whether Family Dollar Stores Inc Chief Executive Howard Levine was being driven by self-interest in his support of a proposed takeover of his company by Dollar Tree Inc.Dollar General, which has made its own offer to purchase Family Dollar, also alleged it had been led astray by Levine in talks on a potential buyout, notably during a meeting on June 19."At no time during this meeting did Mr. Levine indicate that there was a process, that there was any urgency to act or that there were discussions with another potential buyer," said Dollar General Chief Executive Rick Dreiling in a letter to Family Dollar's board on Wednesday."Had we left the meeting with the belief that a sale of Family Dollar was imminent, we assure you that our course of action would have been different."

Dollar General Corporation is a discount retailer in the United States by number of stores, with 9,961 stores located in 39 states as of March 2, 2012, primarily in the southern, southwestern, midwestern and eastern United States. Shares of DG traded higher by 0.27% or $0.17/share to $63.76. In the past year, the shares have traded as low as $53.00 and as high as $65.99. On average, 6805540 shares of DG exchange hands on a given day and today's volume is recorded at 5831334.

Dollar Tree, Inc. (Dollar Tree) is an operator of discount variety stores offering merchandise at the fixed price. Shares of DLTR traded higher by 0.53% or $0.29/share to $55.00. In the past year, the shares have traded as low as $49.59 and as high as $60.19. On average, 2892680 shares of DLTR exchange hands on a given day and today's volume is recorded at 3502013.

Family Dollar Stores, Inc. (Family Dollar) operates a chain of more than 7,900 general merchandise retail discount stores in 46 states, providing consumers with a selection of merchandise in neighborhood stores. Shares of FDO traded higher by 0.14% or $0.11/share to $79.81. In the past year, the shares have traded as low as $55.64 and as high as $80.10. On average, 3106650 shares of FDO exchange hands on a given day and today's volume is recorded at 2130036.



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