Family Dollar to sell more groceries.

(From AFX Europe (Focus))

CHARLOTTE, N.C. (AFX) - Family Dollar Stores Inc. plans to offer more groceries in its stores and begin accepting food stamps, a move aimed at making the North Carolina-based discount chain a lower-priced competitor to convenience stores.

Through adding more perishable food to the traditional dollar store product mix, Avondale Partners analyst Patrick McKeever said Friday the strategy may grab customers who are looking for quick shopping stops between larger grocery trips.

That convenience is a way to set Family Dollar apart from "big box" stores like Wal-Mart, which also compete for low-income customers, McKeever said. …