Tuesday Tipsheet: D.Gen. had chance @ F.Dol. | TargetExpress San Fran Location | Wegmans: 10 More


“Why monster dollar-store merger should scare Pepsi, Coca-Cola” by Brian Sozzi at CNBC.  “The only topic not touched on thus far is how the merged Dollar Tree/Family Dollar will exert pressures on major food, household goods, and drink suppliers, including Pepsi, Hershey, and Clorox…Walmart has 659 suppliers compared to Dollar Tree at 32 and Family Dollar at 54. However, as the unified buying teams at Dollar Tree/Family Dollar sit with the aforementioned suppliers, and others, they will boast a store base totaling in excess of 13,000 (Walmart U.S. 4,800 stores or so), and undeniably be an advantageous negotiating position for merchandise prices.” Read more


Source: “Dollar General was offered a chance to bid on Family Dollar and declined” by Brooke Sutherland at Bloomberg.  “There’s hope that a strategic buyer might step in,” Dutch Fox, an analyst at FBR & Co., said in a phone interview. “We handicap that as a relatively low probability. There’s no obvious other contender beside Dollar General that’s going to come and break this merger up. ‘‘I don’t think they’re interested,” he added.” Read more


“Family Dollar to keep Charlotte area HQ for ‘foreseeable future’ “ by Jennifer Thomas at Charlotte Bus. Journal.  “Family Dollar has approximately 1,400 employees at its headquarters here. “For the foreseeable future, we will continue to operate out of both,” the memo reads.” Read more


San Francisco: “New Target Express store could land on Ocean Avenue in S.F.’s Ingleside” by Annie Sciacca at San Fran. Bus. Times.  “According to the San Francisco Planning Department, a proposal has been submitted for a Target Express at a site formerly occupied by Rite Aid. The spot has been empty for six years.” Read more


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“Wegmans working on 10 new stores” by Tom Tobin at Democrat & Chronicle.  “Wegmans spokesperson Jo Natale said Monday that the company is not in a growth spurt, but is pursuing an expansion strategy — two or three new stores a year…The idea, Natale said, is to continue to open new stores in six East Coast states — New York, Massachusetts, Pennsylvania, New Jersey, Virginia and Maryland. Most of the states are in regions dominated by a large city, including Boston, Washington, D.C. and Philadelphia.” Read more


“What Amazon’s foray into 3D printing means for the industry” by Benjamin Snyder at Fortune.  “There is this feeling of watching something get created, and this isn’t going to provide that in the same way,” Shepherd said. But he added that “it’s going to get people more excited” and potentially encourage them to buy and 3D printer to use in their own garage.” Read more


Canada: “RONA and Ace Hardware Announce Agreement for Master License” “RONA and Ace Hardware International have also signed a long term distribution agreement giving RONA access to products available through Ace Hardware’s various channels of distribution including its China direct programs to support the growth of the Ace brand in Canada.” Read the release


“Amazon Loses $1.5B IRS Transfer Pricing Dispute” by Jonathan Randles at Law 360 (Subscription required). “Amazon.com Inc. lost its bid Monday in the U.S. Tax Court to resolve parts of the company’s ongoing litigation with the Internal Revenue Service over use of a European subsidiary to substantially reduce its tax bill.” Read more


In the first half of this year, 136 retailers have been involved in 264 lawsuits brought by patent trolls by Andria Cheng at WSJ.  “Some of the bricks-and-mortar retailers that land in the top 100, among the more than 11,000 companies that have been sued by patent trolls in the U.S., are Wal-Mart, Best Buy, Target, Home Depot,Sears and J.C. Penney, according to Dan McCurdy…In the retail category, though, only the e-commerce pioneer Amazon ranks in the top 10.” Read more



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