STEVENSON, M.D., Feb. 22, 2013 (GLOBE NEWSWIRE) -- Brower Piven, A Professional Corporation announces that a class action lawsuit has been commenced in the United States District Court for the Western District of North Carolina on behalf of purchasers of Family Dollar Stores, Inc. ("Family Dollar" or the "Company") (NYSE:FDO) common stock during the period between October 3, 2012 and January 2, 2013, inclusive (the "Class Period").
If you have suffered a net loss from investment in Family Dollar Stores, Inc. common stock purchased on or after October 3, 2012, and held through January 2, 2013, you may obtain additional information about this lawsuit and your ability to become a lead plaintiff by contacting Brower Piven at www.browerpiven.com, by email at email@example.com, by calling 410/415-6616, or at Brower Piven, A Professional Corporation, 1925 Old Valley Road, Stevenson, Maryland 21153. Attorneys at Brower Piven have combined experience litigating securities and class action cases of over 60 years.
No class has yet been certified in the above action. Members of the Class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. If you wish to choose counsel to represent you and the Class, you must apply to be appointed lead plaintiff no later than April 22, 2013 and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement and how much of a settlement to accept for the Class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the Company during the Class Period. You are not required to have sold your shares to seek damages or to serve as a Lead Plaintiff.
The complaint accuses the defendants of violations of the Securities Exchange Act of 1934 by virtue of the defendants' failure to disclose during the Class Period that the Company concentrated on increasing sales of low-margin, high-turnover merchandise to increase foot traffic and implemented significant price cuts on unsalable inventory that significantly diminished profits in the first quarter of 2013 and in December 2012, that significant price cuts undertaken to move existing inventory had also significantly diminished profits in the first quarter of 2013 and December 2012, that the Company's sales of more profitable discretionary items had significantly underperformed expectations in the first quarter of 2013 and December 2012, and that the Company's bloated inventories would significantly weigh down 2013 profitability. According to the Complaint, following Family Dollar's January 3, 2013 disclosure that for its first quarter 2013 and December 2012 sales had underperformed, that inventories had increased, and that the Company was significantly lowering its fiscal guidance for its second quarter 2013 and fiscal year 2013, the value of Family Dollar shares declined significantly.
If you choose to retain counsel, you may retain Brower Piven without financial obligation or cost to you, or you may retain other counsel of your choice. You need take no action at this time to be a member of the class.
Charles J. Piven Brower Piven, A Professional Corporation Stevenson, Maryland 410/415-6616