Family Dollar and Dollar Tree will close 1,000 stores

Family Dollar, the struggling discount chain that caters to low-income customers predominantly in cities, will close about 1,000 stores.

Family Dollar will close 600 locations this year and 370 stores over the next several years as store leases expire. Family Dollar has around 8,000 US stores.

Dollar Tree, which owns Family Dollar, also said it will close 30 stores as leases expire.

Years of mismanagement and poor conditions in stores have hurt Family Dollar’s brand. The company has struggled as discount competitors such as Dollar General, Walmart and others grew. More recently, inflation has hit Family Dollar customers and the chain’s profits.