Family Dollar Stores Inc. - Conference Presentation Calls

To discuss the company's business and growth plans

Family Dollar Stores Inc. reported unaudited consolidated earnings results for the fourth quarter and year ended August 29, 2009. For the quarter, the company reported net income of $60,116,000 or $0.43 per diluted share on net sales of $1,811,424,000 compared to net income of $53,151,000 or $0.38 per diluted share on net sales of $1,765,777,000 for the same period a year ago. The company reported operating profit of $91,745,000 and income before income taxes of $89,137,000 compared to operating profit of $82,096,000 and income before income taxes of $81,477,000 for the same period a year ago. For the year, the company reported net income of $291,266,000 or $2.07 per diluted share on net sales of $7,400,606,000 compared to net income of $233,073,000 or $1.66 per diluted share on net sales of $6,983,628,000 for the same period a year ago. The company reported operating profit of $457,269,000 and income before income taxes of $450,925,000 compared to operating profit of $365,306,000 and income before income taxes of $361,762,000 for the same period a year ago. Cash flows from operating activities were $529,858,000 and capital expenditures were $155,401,000 compared to cash flows from operating activities of $515,738,000 and capital expenditures of $167,932,000 for the same period a year ago. The company provided earnings guidance for the first quarter and year of fiscal 2010. For fiscal 2010, the company expects net sales will increase 5% to 7% as compared with fiscal 2009. The company expects comparable store sales will increase 3% to 5% and expects to open approximately 200 new stores. Capital expenditures for fiscal 2010 are expected to be between $160 million and $180 million and will include investments to support the company's key technology initiatives, new store openings and existing store improvements. Reflecting the anticipated impact from stronger consumable sales, an expanded private label program and investments the company is making to enhance the shopping experience, the company expects earnings per share will be between $2.15 and $2.35 in fiscal 2010. For the first quarter, the company expects that comparable store sales will increase 3% to 5%. The company expects net sales for the quarter will increase 5% to 7% and that earnings per share will be between $0.45 and $0.50 compared with $0.42 in the first quarter of fiscal 2009. The company estimates that comparable store sales for the September period increased approximately 5%.