'99 Cents Only' Stores Losing Money

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STEVE INSKEEP, host:

Economic analysts tell us again and again when inflation drives up the cost of doing business, a business will pass on the cost to you. That's what they tell us. But today's last word is about the business that has not been able to do that. The company put low, low prices right in its name - the 99-Cent Only Store.

RENEE MONTAGNE, host:

The chain, mostly here on the West Coast, really sells things for 99 cents. The Los Angeles Times notes that the value of 99 cents has gone down sharply. You need $2.26 to buy the same stuff you bought for 99 cents a couple of decades ago. But there's the 99-Cent Only Store still charging the same price and losing money.

INSKEEP: The company's chief executive says he will probably have to change his pricing strategy. But the $2.26-Only Store doesn't have the same ring.

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