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Dollar Gen'l restates results
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April 30, 2001: 11:27 a.m. ET
Accounting irregularities hit 3 years of discounter's results; targets confirmed
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NEW YORK (CNNfn) - Dollar General Corp. warned Monday that it expects to restate three years of financial results due to accounting irregularities, and the discount retailer's stock tumbled on the news.
The company said the restatement was likely to have a material negative effect on earnings in the fiscal years ending in January of 1999 and 2000, and a minor positive effect for the year ended in January 2001, for an overall earnings decrease of 7 cents a share.
The company previously reported earnings of $1.81 a share for the three-year period.
Dollar General said the problems are not expected to have an impact on future earnings and that performance in its soon-to-be-completed first quarter leaves it confident it should earn between 71 and 73 cents a share for the current fiscal year.
Analysts surveyed by earnings tracker First Call forecast earnings of 73 cents a share for the period.
Sales at stores open at least a year, a closely watched measure known as same-store sales, grew 8 to 9 percent in April, and between 6 and 7 percent for the quarter. But reporting of results for the first-quarter, which ends May 4, will be delayed by the accounting problems, the Tennessee-based company said in a statement.
Dollar General (DG: Research, Estimates) stock sank $6.83 to $17.05 in morning trading, a loss of about 28 percent. 
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