Dollar Tree 2004 Annual Report Download - page 6

2DOLLAR TREE STORES, IN C. • 20 0 4 AN N UAL REPORT
SHAREHOLDERS
To Our
On paper, “The Art of the Possible”appears to be
five ordinary words. But here at Dollar Tree, they
take on a life of their own.
To us, it’s all about taking the impossible and
making it possible. It’s taking an idea and watching
it grow from a concept, to a sketch on paper, to a
piece of art in the form of merchandise. The Art of
the Possible is retaining the same $1 retail price we’ve
charged since the company opened for business in
1986. The Art of the Possible is a living art, one
that’s taking place in more than 2,700 Dollar Tree
stores, all across the United States.
Of course, it’s our associates that really bring
The Art of the Possible to life. More than 35,000
dedicated field associates bring passion to their jobs,
ensuring stores are neatly organized, shelves are
stocked with the right items, and customer purchases
are rung efficiently. The infectious, can-do spirit of
these associates imparts such a positive impression
of Dollar Tree that our customers find themselves
enthusiastic about coming back — again and again
and again.
Delivering variety, value, and convenience with
merchandise that consumers want and need — that’s
our whole purpose for being. And let’s not forget:
Everything’s $1, in every aisle, every day, all year long.
And to our customers, that’s what sets us apart. With
a “$1 only” pricepoint, and a nationwide presence,
we’re unique. Dollar Tree brings new meaning to
everyday low price.
Even in a tough year, when gasoline prices
soared to record highs, Dollar Tree’s operating margin
remained the envy of other retailers. So not only are
we able to create merchandise that delivers tremen-
dous value to our customers, we’re able to do so
profitably — a win-win. That’s how we deliver
The Art of the Possible to our investors.
Speaking of this past year, it certainly threw a
number of curveballs and challenges at us. Record
high gas prices crimped the disposable income of
our customers, while also increasing the cost to
import and transport merchandise to our distribution
centers and stores. Four hurricanes hitting Florida in
less than two months caused upheaval for everything
from trucking to store operations. But our stores
weathered the storms, with some even doing business
by candlelight — talk about dedication! Despite
everything the commodity markets and Mother
Nature threw our way, I am proud that we not only
survived these tests but thrived.
During these past several years, we have reinvested
in the business to open up new possibilities for Dollar
Tree and drive stronger results in the years ahead. Just
some of our noteworthy accomplishments in 2004
include:
• Successfully opening two new distribution centers:
one in Ridgefield, Washington, the other in Joliet,
Illinois. Seamlessly opening one new distribution
center would be cause enough for a high-five. Two
in the same year are cause for celebration. Having
it occur in a year when the cost of gasoline soared
is priceless. These two new distribution
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'01
'02
'03
'04 $3,126
$2,800
$2,329
$1,987
$1,688
Net Sales
( I n millions)