DOLLAR Tree found itself in trouble after the Food and Drug Administration alleged the discount retailer kept recalled products on its shelves months after they were eliminated.
The deals and discount retailer was asked by the FDA to remove a certain brand of applesauce snacks from its shelves last year.
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WanaBana USA recalled its applesauce containers on October 29, 2023, after large amounts of lead were linked to more than 500 cases of lead poisoning across the country.
Specifically, the brand’s Applesauce and Cinnamon Applesauce packaging was determined to be contaminated and retailers recalled the item immediately — except for Dollar Tree, according to a release from the FDA on Tuesday.
Public health officials said they recently saw Wanabana Apple Cinnamon Fruit Puree packages at several Dollar Tree stores.
They said Dollar Tree continued selling the contaminated applesauce for several months after notification from the FDA.
Since then, the administration has written a warning letter to Dollar Tree CEO Rick Dreiling.
In the letter, the FDA said it has made “numerous attempts to bring this serious problem to your attention.”
Due to Dollar Tree’s alleged inaction in removing the product, the recall was ineffective at retail until two months after WanaBana USA’s announcement on December 19, 2023, according to the FDA.
As of March 2024, the Centers for Disease Control and Prevention has received reports of at least 519 children with elevated blood lead levels.
At least 136 of these cases have been confirmed in 44 states.
DIFFERENT STORY
Dollar Tree has since responded to the statements made by the FDA.
The discount retailer claimed it took immediate action following the October 2023 recall notice.
“In October 2023, Dollar Tree took immediate action and began recalling the Wanabana Apple Cinnamon Fruit Puree Pouch upon being notified of the issue with the product,” the company wrote to CBS News.
“We continue to operate with [the] FDA on this matter.”
Dollar Tree has been criticized for more than applesauce in recent months.
Stores selling at least $1,000 will close, says CEO
Dollar Tree, the parent company of Family Dollar, revealed that it would close about 1,000 stores over the next few years.
The company announced in March that it would close stores after the value of the discount retailer it acquired nearly a decade ago plummeted.
Dollar Tree plans to close about 600 Family Dollar stores in the first half of this year.
This will be followed by the closure of 370 Family Dollar and 30 Dollar Tree stores in the coming years.
The discount store chain also indicated that sales are being affected by the cost of living crisis and inflation.
But USA today added that Dollar Tree has also been hit by reduced government benefits for the Supplemental Nutrition Assistance Program.
This has left families struggling to balance their finances, with up to $250 less per month.
PRICE ISSUES
CEO Rick Dreiling noted in a earnings call that Dollar Tree would increase its maximum price from $5 to $7 in its stores.
He said the change was made to give customers more choices at more than 3,000 locations, but many were upset about the increased costs.
Some even claimed the retailer could no longer keep its name.
“Just call it 7 Below… it’s not a dollar anymore,” fumed one customer on X, formerly Twitter.
Dollar Tree also detailed plans to close at least 1,000 stores this year.
However, customers should not fear as it also recently purchased another struggling discount retailer, with plans to add 170 stores to its portfolio.
This story originally appeared on The-sun.com read the full story
