Recovery Time?

Dollar stores are now getting too expensive for many Americans - Quartz: "Family Dollar CEO Howard Levine had this to say on the subject:

For the last several quarters, we’ve discussed the economic challenges our customers are facing. Over the last two years, I think we’ve seen a growing bifurcation in households. Higher-income households who have benefited from market gains, better employment opportunities, or improvements in the housing markets have become more comfortable and confident in their financial situation. But our core lower-income customers have faced high unemployment levels, higher payroll taxes, and more recently reductions in government-assistance programs. All of these factors have resulted in incremental financial pressure and reduction in overall spend in the market.

Translation? As poor Americans come under more and more pressure, more and more of Family Dollar’s revenue is tied to low-margin sales of necessities like food. (Sales were strongest during the first fiscal quarter in Family Dollar’s “consumables” category, especially in areas like frozen food.)

The fact that so many Americans are being forced to curtail spending at the cheapest discount retailers should give anybody cheering the US recovery something to think about."

Whoops! Put that story on page F34 please.