Why consumers don't feel confident about the economy right now Dollar Tree on Wednesday said it is selling Family Dollar for $1 billion to a pair of private equity firms, a decade after it bought ...

Dollar Tree is ending its short-lived and ill-fated Family Dollar experiment, offloading the discount brand for $1 billion – just a fraction of its purchase price from a decade ago.

Dollar Tree purchased Family Dollar in 2015 for about $9 billion, hoping the merger would help both stores reach more customers. But it struggled to effectively manage the Family Dollar brand.

Dollar Tree announced on Wednesday that it has agreed to sell its Family Dollar division to a group of private equity firms in a deal valued at approximately $1 billion.

Dollar Tree reported net sales of $5 billion – excluding sales from Family Dollar stores – a 2% increase in same-store sales during the three-month period ending Feb. 1, 2025.

Dollar Tree is selling its Family Dollar business to private equity firms for about $1 billion, a fraction of its 2015 acquisition cost, as the brand struggled to drive traffic.

Dollar Tree announced it will record a $950 million impairment against Family Dollar's trade name in addition to a $1.07 billion goodwill charge.

Family Dollar, which Dollar Tree bought in 2015, has been its main underperformer. Earlier this year, the company had outlined plans to shutter 970 of its Family Dollar stores.

Family Dollar, Dollar Tree, Dollar General and other discount stores have had longstanding theft issues, operating stores with just a handful of employees who have at times been victims of violent ...