99 Cents Only Stores

99 Cents Only Stores was an American discount retail chain founded by Dave and Sherry Gold in 1982. Based in Commerce, California, the company became one of the best-known price-point retailers in the western United States, operating stores primarily in California and also in Arizona, Nevada, and Texas. Its identity was built around a simple proposition: shoppers could find a broad assortment of everyday merchandise at or near 99 cents. The assortment combined closeout branded merchandise, general merchandise, fresh foods, beverages, household supplies, cleaning products, seasonal goods, party items, and other opportunistically sourced products. The concept grew out of Dave Gold's earlier experiments at a Los Angeles liquor store inherited by his family in the 1960s. Gold found that wine and other products sold particularly well when marked at exactly 99 cents, leading him to view the figure as a distinctive psychological price point. On August 13, 1982, Dave and Sherry Gold opened the first 99 Cents Only Store on La Tijera Boulevard in Inglewood, near Los Angeles International Airport. The opening attracted substantial public and media attention, partly because the store promoted a limited offer of television sets for 99 cents to the first 13 families. Initially, the retailer attempted to keep all merchandise at 99 cents or less. The business model relied on high transaction volume, low operating costs, limited assortments, and purchases of surplus, closeout, and excess inventory. Over time, the company adjusted the format in response to commodity costs and inflation. It began selling selected products below 99 cents in 2003, raised the standard price to 99.99 cents in 2007, and later added merchandise priced at $1.99, $2.99, and other higher levels. These changes allowed the business to preserve its value-retail identity while carrying products whose costs could no longer support a strict 99-cent ceiling. The chain expanded beyond its California base and became a significant regional retailer. Alongside its stores, the broader business operated Bargain Wholesale, which sold merchandise to independent retailers in the United States and exported to more than 15 countries. In 1996, 99 Cents Only Stores became a public company, with founder Dave Gold insisting that the initial offering price retain the brand's characteristic 99-cent ending. In 2012, Ares Management and the Canada Pension Plan Investment Board completed a buyout that returned the company to private ownership. The Gold family's involvement ended in January 2013; Dave Gold died later that year. The retailer continued to face competitive pressure from Dollar Tree, Dollar General, supermarkets, mass merchants, and online sellers. It experimented with the name The 99 Store for locations opened from 2020 onward. By 2023 and 2024, the company was under increasing financial and operating strain, including inflation, changed consumer demand, pandemic-related effects, and liquidity problems. It sold its Los Angeles County warehouse in 2023 and was reported to be approaching a possible Chapter 11 filing. On April 4, 2024, the company announced that all 371 remaining stores would close and that liquidation sales would begin. It filed for Chapter 11 bankruptcy on April 8, 2024, and Hilco Global managed the liquidation process. The final stores completed their wind-down by June 3, 2024. Subsequent transactions transferred some former locations or leases to competitors including Ollie's Bargain Outlet and Dollar Tree, but the original 99 Cents Only Stores chain ceased operations.

The roots of 99 Cents Only Stores preceded the formal chain by roughly two decades. Dave Gold inherited a liquor store at Grand Central Market in downtown Los Angeles during the 1960s and experimented with selling wine at a fixed price of 99 cents. He observed that products moved more quickly when marked at that exact figure than when priced slightly above or below it. The experiment suggested that 99 cents could function as both a psychological price point and a memorable retail identity. On August 13, 1982, Dave and Sherry Gold opened the first 99 Cents Only Store at 6921 La Tijera Boulevard in Inglewood, California. The opening used an attention-grabbing promotion in which television sets were offered for 99 cents to the first 13 families. More than 300 people reportedly attended, and television coverage helped establish the chain's publicity-oriented grand-opening style. Subsequent openings frequently featured unusual 99-cent promotions designed to create local excitement. The original format promised merchandise at 99 cents or less. The retailer sourced a mixture of closeout branded goods, general merchandise, fresh foods, and everyday necessities. Its limited-assortment approach and opportunistic buying allowed it to offer products from changing categories rather than maintain a completely standardized supermarket inventory. The company began selling selected products below 99 cents in November 2003, including items priced at 69 or 49 cents, partly to provide more flexibility as commodity costs changed. In September 2007, the company made its first formal increase to the central price point, moving from 99 cents to 99.99 cents. Inflation and rising operating and merchandise costs were cited as reasons. The chain later introduced products at higher prices, including $1.99 and $2.99 items. Although this weakened the literal meaning of the original name, the brand continued to use the 99-cent heritage as its principal value signal. The company went public in 1996. The offering reflected the brand's unusual price-point identity: Dave Gold reportedly insisted that the offering price end in 99 cents. During the 2000s, the retailer continued expanding its western state footprint. In 2008, it announced plans to close all Texas stores, but in 2009 it reversed course in part and retained many of them after sales improved. California remained the chain's largest and most important market, with additional stores in Arizona, Nevada, and Texas. In October 2011, Ares Management and the Canada Pension Plan Investment Board agreed to acquire the company for $1.6 billion. The transaction closed on January 13, 2012, taking the retailer private. The Gold family ended its involvement in January 2013, and the company later laid off more than 172 employees in October 2013. Dave Gold died on April 22, 2013. The business also included Bargain Wholesale, a distribution operation that supplied retailers throughout the United States and exported to more than 15 countries. This wholesale activity complemented the stores' closeout and opportunistic sourcing model. In 2020, the company began branding future locations as The 99 Store, while retaining the broader 99 Cents Only identity in public recognition. The chain encountered increasing pressure from inflation, labor and operating costs, changes in consumer behavior, and competition from other dollar stores and mass retailers. In September 2023, it sold its Los Angeles County warehouse. Fitch Ratings reported in October 2023 that the retailer was nearing a potential Chapter 11 filing. On March 28, 2024, the company warned of a possible bankruptcy filing and began discussing liquidation after experiencing a liquidity shortfall and a stalled asset sale. On April 4, 2024, 99 Cents Only Stores announced that it would permanently close all 371 remaining stores in California, Arizona, Nevada, and Texas. Liquidation sales began on April 5, and approximately 14,000 employees were expected to be laid off during the wind-down. The company filed for Chapter 11 on April 8, listing assets and liabilities in the range of $1 billion to $10 billion and arranging financing to support the shutdown. Stores completed liquidation by June 3, 2024. Some former leases were later acquired by Dollar Tree and Ollie's Bargain Outlet, but those transactions did not revive the original chain.

• 2024

  All stores enter liquidation

  [1]99 Cents Only Storesen.wikipedia.org

  The company announced the closure of all 371 stores, began liquidation sales, and filed for Chapter 11 bankruptcy.

• 2023

  Los Angeles County warehouse sold

  [1]99 Cents Only Storesen.wikipedia.org

  The company announced the sale of its Los Angeles County warehouse amid mounting financial pressure.

• 2020

  The 99 Store branding introduced

  [1]99 Cents Only Storesen.wikipedia.org

  The company began branding future locations as The 99 Store.

• 2012

  Ares and CPP Investments complete buyout

  [1]99 Cents Only Storesen.wikipedia.org

  Ares Management and the Canada Pension Plan Investment Board completed their acquisition, taking the company private.

• 2007

  Standard price rises to 99.99 cents

  [1]99 Cents Only Storesen.wikipedia.org

  The retailer made its first central price-point increase, citing rising costs and inflation.

• 2003

  Sub-99-cent prices introduced

  [1]99 Cents Only Storesen.wikipedia.org

  The chain began selling some products below 99 cents, including merchandise priced at 69 and 49 cents.

• 1996

  Company goes public

  [1]99 Cents Only Storesen.wikipedia.org

  The retailer completed an initial public offering, with the offering price reflecting its distinctive 99-cent brand identity.

• 1982

  First 99 Cents Only Store opens

  [1]99 Cents Only Storesen.wikipedia.org

  Dave and Sherry Gold opened the first store on La Tijera Boulevard in Inglewood, California, near Los Angeles International Airport.

• 1960

  Dave Gold experiments with 99-cent pricing

  [1]99 Cents Only Storesen.wikipedia.org

  Before the chain existed, Dave Gold tested selling wine and other products at a fixed 99-cent price in a Los Angeles liquor store, helping establish the concept behind the later retailer.

Extreme-value regional discount retail for price-conscious households, combining a recognizable fixed-price heritage with closeouts, general merchandise, groceries, and fresh foods.

• Grocery retail

  Fresh foods

  Fresh foods formed part of the chain's grocery assortment and helped distinguish the stores from purely general-merchandise dollar retailers. Availability varied by location and sourcing conditions.

• Discount retail · 1982

  Closeout branded merchandise

  The company regularly purchased surplus, discontinued, and closeout inventory from branded suppliers. This produced a changing assortment and enabled the retailer to offer recognizable products at unusually low prices.

• Discount retail · 1982

  General merchandise

  General merchandise included household supplies, cleaning products, small home goods, health and beauty items, party goods, seasonal products, and other everyday necessities.

• Value retail · 1982

  99-cent and near-99-cent products

  The signature offering was a broad range of products priced at 99 cents or less. The company later moved its standard price to 99.99 cents and added selected higher-priced merchandise while retaining the brand's extreme-value positioning.

• 198299-cent television grand opening

  Inglewood, California

  For the first store opening, the company offered television sets for 99 cents to the first 13 families. The promotion drew hundreds of people and received television coverage, establishing the retailer's attention-seeking grand-opening tradition.

  Outcome. The opening generated substantial local awareness and helped establish the brand.

  Source
• Open 9 days a week

  United States

  Advertising humorously claimed that the stores were open '9 days a week,' extending the brand's use of the number nine beyond pricing and store hours.

  Outcome. The slogan reinforced the chain's distinctive and playful identity.

  Source
• Do the 99

  United States

  Do the 99 was one of the chain's recurring brand slogans, presenting shopping at the retailer as a recognizable value-oriented activity.

  Outcome. The slogan supported brand recall but did not prevent the eventual closure of the chain.

  Source

• 2024

  Wind down the entire retail chainOther

  Background

  The company faced a liquidity shortfall and cited the effects of the COVID-19 pandemic, inflation, and shifting consumer demand.

  Action taken

  It announced closure of all remaining stores, began liquidation sales, filed for Chapter 11, and pursued the sale of assets and leases.

  Aftermath

  All stores closed by June 3, 2024. Some former leases were later transferred to Dollar Tree and Ollie's Bargain Outlet, while the original chain ceased operations.

  Chapter 11 stated asset and liability range. $1 billion to $10 billion (April 8, 2024 bankruptcy filing)

  Source

• 2012

  Accept private-equity buyoutM&A

  Background

  Ares Management and the Canada Pension Plan Investment Board agreed to acquire the publicly traded retailer.

  Action taken

  The acquisition was completed on January 13, taking 99 Cents Only Stores private.

  Aftermath

  The Gold family later ended its involvement, and the company operated under private ownership until its 2024 wind-down.

  Announced acquisition value. $1.6 billion (2011 agreement; completed January 13, 2012)

  Source

• 2007

  Raise the standard price to 99.99 centsPrice change

  Background

  The company cited dramatically rising costs and inflation as reasons for changing its long-standing price point.

  Action taken

  The standard price increased from 99 cents to 99.99 cents, followed later by selected products priced above that level.

  Aftermath

  The brand continued to be associated with 99-cent shopping despite no longer maintaining a strict single-price format.

  Source

• 2003

  Introduce prices below 99 centsOther

  Background

  Management sought greater flexibility in dealing with changes in commodity and merchandise costs.

  Action taken

  The chain began offering selected products at prices such as 69 cents and 49 cents.

  Aftermath

  The retailer retained its 99-cent identity while broadening the range of price points below the headline figure.

  Source

1. 199 Cents Only Storesen.wikipedia.org