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Recession leads to boom for dollar stores

11:53 AM CST on Friday, February 27, 2009

By JIM DOUGLAS / WFAA-TV

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Jim Douglas reports

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RHOME - They are the bright stars of the recession, now shining down on a small North Texas town.

Dollar General stores are booming and the chain is opening 450 new stores this year.

That includes one in Rhome, Texas, a small town just north of Fort Worth.

Even Cadillac drivers are cutting corners where they can and for the first time, everyone can, in the little town of Rhome.

"I think the nearest grocery store is over in Boyd, so they had nothing," said an employee.

Residents used to drive 10 or 15 miles to shop.

That was hard on someone like Kaleb Duncan.

"I've been laid off and trying to find a job. So I don't have to spend as much money to drive somewhere to go shopping," he said.

So he pops in for sandwich bread, laundry and pet supplies.

Pat Moran's son just got laid off.

This makes life a little easier.

"I'll be back pretty regular."

Which is why Dollar General is booming in the bust.

"I am restocking the store," said an employee.

The privately-held Nashville company puts well-stocked stores in communities too small for a big box.

Nearly 500 new stores are planned for this year.

This little Wise County town now draws shoppers, and will finally draw some sales tax revenue.

As the saying goes, good economic news is rare as hens' teeth these days, but it's sweet for Dollar General. Last quarter's sales up more than 9 percent, compared to 2007, up more than 11 percent.

E-mail jdouglas@wfaa.com.

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