99 Cents Only Is Closing Stores Now

Shouldn’t discounters thrive in this sick economy?99 Cents Only sure isn’t. The deep discounter is exiting Texas, where it will close all of its 48 stores. The move leaves the City of Commerce, CA-based retailer with 230 units in California, Nevada and Arizona. The move comes just days after 99 Cents’ management announced that it was raising its prices above its 99-cent promise. Newspapers had fun with headlines after they learned that the chain was actually only raising prices by less than a penny.Executive say they were exiting Texas because those stores made less money than in other locales. What? Are our friends in the Lone Star State richer than everyone else?We’re guessing that other discounters have a better foothold down there. Or do you get the sense that 99 Cents’ problems are bigger than that?