Los Angeles, CA: The loved retail chain is closing its doors of every store in the United States as the company announces a shutdown of operations. In a statement released on Thursday, 99 Cents Only stated that it will be discontinuing its commercial operations.
Therefore, it is expected that all 371 of its stores in the states of Arizona, California, Nevada, and Texas would be shut down.
Additionally, 99 Cents Only will dispose of specific fixtures, furnishings, and equipment in addition to liquidating all of the company’s business merchandise.
According to the news release, the first 99 Cents Only store opened its doors in the year 1982. A total of 14,000 people are employed by 99 Cents Only.
Following the news release, the organization will “liquidate all merchandise” and will additionally “dispose of certain fixtures, furnishings, and equipment,” additionally stating that “sales under this agreement are expected to begin April 5, 2024 and will be carried out at all 371 of the Company’s store locations.”
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As a result of the shifting economic conditions, Dollar Tree, a competitor, has stated that it will be increasing the price cap on some of its products to $7. This news comes at the same time as the announcement of the closures.
“This was an extremely difficult decision and is not the outcome we expected or hoped to achieve,” Simoncic said in a written statement. “Unfortunately, the last several years have presented significant and lasting challenges in the retail environment, including the unprecedented impact of the COVID-19 pandemic, shifting consumer demand, rising levels of shrink, persistent inflationary pressures and other macroeconomic headwinds, all of which have greatly hindered the Company’s ability to operate. We deeply appreciate the dedicated employees, customers, partners, and communities who have collectively supported 99 Cents Only Stores for decades.”
A further announcement was made by the firm, which had previously acquired Family Dollar in 2014, that it will be closing 600 Family Dollar stores.