<html> <head> <title>Reward-Specials</title> <meta http-equiv="Content-Type" content="text/html; charset=iso-8859-1"> <style type="text/css"> #Final1 { font-family: Georgia, "Times New Roman", Times, serif; font-size: 8.1px; } #Last24 { font-family: Georgia, "Times New Roman", Times, serif; font-size: 15px; } #Mid3 { font-family: Georgia, "Times New Roman", Times, serif; font-size: 15px; font-weight: bold; } #First { font-family: Georgia, "Times New Roman", Times, serif; font-size: 17.5px; font-weight: bold; text-align: center; } #Mid11 { font-family: Georgia, "Times New Roman", Times, serif; font-size: 15px; } </style> </head> <body bgcolor="#FFFFFF" leftmargin="0" topmargin="0" marginwidth="0" marginheight="0"> <table id="Table_01" width="570" height="575" border="0" cellpadding="0" cellspacing="0"> <tr> <td> <center><a href="http://yourpoints.yourrewardsnewestupdates.com"><img src="http://see1.yourrewardsnewestupdates.com" width="444" height="89" alt=""></a></center></td> </tr> <tr> <td id="First">Attn: Your Dollar-Tree Reward is Going to-Expire!</td> </tr> <tr> <td id="Mid11"> Greetings rivet@projects.hepforge.org, Did you know that you have $50-in Dollar-Tree Points available? These-points can be applied towards any-items that are available at ALL Dollar-Tree locations...all you have to do is fill-out a quick-survey about your latest-Dollar Tree-experience. This bonus will only last for another 48-hours so make sure that you get your-points right away. </td> </tr> <tr> <td id="Mid3"> <a href="http://yourpoints.yourrewardsnewestupdates.com">Please Go-Here to Claim-Your Dollar-Tree Bonus-Today</a></td> </tr> <tr> <td id="Last24"> If you are-looking to not.receive future-bonusads-you <a href="http://iwed3.yourrewardsnewestupdates.com">can.go.here</a>. # 2885 Sanford.Avenue S.W. #40442-GRANDVlLLE, M.I. #49418. </td> </tr> <tr> <td id="Final1"> Discount retailer Dollar Tree (DLTR) reported an ugly quarter last week, prompting an 11% selloff that now has many investors wondering what to do next. Personally, I think the stock should be bought here. To me, the selloff was stupid. DLTR got slaughtered in part because it reported a messy quarter when all of the the recent turmoil in financial markets made it the wrong time to miss analyst estimates. But I think the market missed some important factors. First, the quarter included the acquisition of the Family Dollar chain, a deal that closed in July. But some analysts didn't even include the merger in their estimates, as few bothered to model the acquisition. So, investors who were expecting $0.63-$0.68 in earnings per share were shocked when Dollar Tree reported just $0.25. But few realize that management decided to write off a large amount of Family Dollar's inventory, while the company took a $0.20-per-share hit to earnings from foreign-currency translations. If you exclude the Family Dollar deal, Dollar Tree would have reported $0.67 EPS -- a penny aheaof some Wall Street estimates. Second, anyone who's bothered to model the combined companies can easily find more than $300 million in synergies. After all, management plans to close or rebrand over 250 underperforming Family Dollar stores over the next two years. Dollar Tree is also a best-in-class operator and should be able to lift Family Dollar margins by deploying DLTR's way of doing business across the combined operation. That should help earnings over the next two years. Third, the combined entity should soon rationalize their supply chain. Both companies carry a slightly different assortment of goods, but the ability to stock the highest-margin items should improve operations. Likewise, the companies are working to combine distribution facilities and information technology, which should begin to produce savings over the next 24 months. Lastly, if Dollar Tree can get Family Dollar's earnings before interest and taxes up by 300 basis! points, that could add at least $0.85 to EPS. That's like adding over $300 million directly to the bottom line. Family Dollar's EBIT margin was 2.2% in 2014, while Dollar Tree's was 12.5%. Dollar Tree should be able to get those margins up over the next two years. Family Dollar has 50% more stores and only 25% more revenue than Dollar Tree. If management can streamline inventory and fix some of Family Dollar's operational problems, the combined company should be a real powerhouse. The entity will have over 14,000 stores, which will help it get more leverage with suppliers. In fact, margins should soon improve on over 40% of sales because those items involve Chinese-made goods and Beijing has just devalued its currency. True, the Dollar Tree/Family Dollar merger is a work in progress -- so there's plenty of integration risk, and probably some bumpy quarters ahead. But at current prices, Dollar Tree is a great long-term buy for those who can stand the ups and downs. I think the combined company is planting the seeds of future success. Threat, But Walmart Isn't Going Anywhere The pending merger of Dollar Tree DLTR -0.36% and Family Dollar has led some in the retail industry to declare the era of big box retail in general, and Walmart in particular, to be over. But Walmart isn’t going anywhere, certainly not anytime soon. It’s not Walmart so much as the supercenter model that is being pressured. But that was true before Dollar Tree announced it would purchase Family Dollar, creating an $18 billion powerhouse. Walmart's new CEO Doug McMillon has been quite vocal about that fact, clearly stating that the retailer would be building a lot fewer supercenters even as it tries to revive sales at existing stores. Walmart is hardly sitting back and waiting for the end. Walmart and Target TGT -0.50% are both testing small formats. Target opened its first such unit dubbed TargetExpress just last month in Minnesota. Walmart is not just testing different formats, but has promised to accelerate their openings. Small stores and convenience outlets are the key to Walmart's future. This year, Walmart will open close to 300 small format stores. Walmart isn't just waiting for the end, not even close. There’s a convenience store test, a grocery pick-up test in Denver, the Neighborhood Market grocery chain and Walmart Express EXPR -3.46%. There are new technology launches including an e-receipt that promises to not just provide a new way to price match, which is does, but is a platform that Walmart will use to layer on other services. There’s also the WalmartLabs division, making acquisitions of technology companies and the tech talent that come with, at a rapid clip. Walmart labs has bought 14 companies in the past three years, most recently social shopping app Luvocracy. Target is moving more slowly and has some problems of its own to recover from. But while it may be down, Target is by no means out. There’s a new CEO and several new top executives, and it really won’t take much to put Target back on track. Will the combined Dollar Tree and Family Dollar pose a threat? Sure. There's a growing need for convenient, low-cost stores. </td> </tr> </table> <img src="http://trc.yourrewardsnewestupdates.com/redirect.php?email=rivet@projects.hepforge.org"> </body> </html>