**Exhibit 10.27**

 

**RelocationPolicy Applicable to Executive Officers**

** **

**The following relocation policy applies to all CompanyAssociates holding the position of Divisional Vice President or above,including the Company’s named executive officers.**

 

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**FamilyDollar Stores Inc. Temporary Housing and Relocation Guidelines for RelocatingAssociates**

** **

# **I.****             ****General Information**

#  

A.           Introduction

 

Thepurpose of this policy is to minimize any personal expense and inconvenienceyou may have due to relocating your household effects at the direct request ofFamily Dollar Stores Inc.

 

Thiscommunication states the relocation assistance program for those employees whoare transferred at the Company’s request. If you request a transfer, expenses to relocate are your responsibility.

 

TheCorporate Relocation Specialist for company paid relocation shall make allexpense item arrangements.  These itemsinclude, but are not limited to, temporary housing, house hunting and actualmoving expenses including any lump sum payments.

 

B.             EffectiveDate

 

Thispolicy is effective on February 3rd, 2003.  Any moves prior to this effective date willbe handled according to the agreed upon relocation assistance outlined in therelocating individual’s Terms of Employment.

 

C.             Eligibility

 

Thebenefit group upon which you are entering determines the Tier.  You are eligible for Tier 1.

 

D.            EmployeeRelocation Expense Agreement

 

TheEmployee Relocation Expense Agreement form explains the terms of the Relocationand Temporary Housing benefits for which you are eligible.  You will receive this information at the timeof offer.  You will also receive a copyof the form to sign and return to your Recruiter.  If this paperwork is not signed, then you arenot eligible for the benefits.  Bysigning this form, you agree to all of the terms and will not deviate fromthem.  Any questions should be directedto the Family Dollar Recruiter or in absence of the Recruiter, the HiringManager.  Once this form is received, theRelocation Specialist will contact you to start the process.

 

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E.              Administration

 

The Human ResourcesDepartment will be responsible for relocation development, vendor selection,administration and management.  Allrequests for information concerning the provisions of this policy should bedirected to Family Dollar’s Corporate Human Resources Department (RelocationSpecialist) at (800) 547-0359 ext. 4461 or (704) 847-6961 ext. 4461.

 

## **II.****           ****Procedures**

##  

A.           TheRelocation Specialist will assist you in relocation by:

 

1.               Providingappropriate forms required for you to complete.

2.               Contactingthe moving company.  The moving companyrepresentative will in turn call you to coordinate your move and conduct apre-move survey.  *Please takeadvantage of the tips the moving company provides.*

3.               Serveto interpret and clarify details of this policy.

 

B.             Packingand Loading

 

1.               Youor your representative should be present during packing and loading to see thatthe goods are packed carefully and fully inventoried.  Let the moving company do all of thepacking.  Any items packed by you are notthe carrier’s liability.  Contents of theboxes should be written on the outside of the box and transferred to theinventory.  We also recommend that you donot leave articles in drawers and bureaus. If you do, they are shipped uninventoried and make it difficult orimpossible to prove a loss.

2.               Neverallow the moving company to pack and move such items as money, valuable paper,jewelry or other pieces of extraordinary or sentimental value.  Carry these items with you.

3.               Asthe packer loads your furniture, they will make notations regarding thefurniture’s condition.  Discuss thesenotations with the packer, and do not sign the inventory until you agree to theconditions noted.

4.               Itis your responsibility to thoroughly check to make sure all goods have beenplaced on the van before departing. Claims for forgotten items are generally declined.

5.               Thebill of lading (i.e. inventory) must be signed by you and the moving company driver.  Be sure to retain a copy for your records, asthis is your key to ensuring proper settlement of any claim.

 

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C.             Valuation(Insurance) Coverage

 

FamilyDollar Stores Inc. will cover items in the moving van up to $75,000.  Any amount in excess of $75,000 Family DollarStores Inc. will bill you for the difference. The moving company will also pay for damages of sets and pairs.  For example, if one lamp breaks then thecarrier will replace both of your lamps.

 

FamilyDollar Stores Inc. will pay for valuation coverage for household goods that arestored in a facility authorized and contracted by Family Dollar Stores Inc.

 

D.            Deliverand Unload

 

1.               Youor your representative must be present at the time of delivery.  Upon delivery, check your inventory copy withthe driver’s.  If there is no damage orloss to your shipment, write the words “no exceptions” and sign the driver’sinventory as well as the bill of lading.

2.               Exceptionsneed to be noted explicitly per item and number on the driver’s inventory,specify the nature and extent of damage or loss and sign the inventorysheets.  Make the same notations on yourcopy and ask the driver to sign both. Sign the bill of lading and write “exceptions noted” next to your name.

3.               Unloadingis the responsibility of the carrier.

 

E.              Claims

 

Claimsfor loss or damage should be filed immediately with the moving companyaccording to its procedure.

 

F.              ExpenseReporting Reimbursement

 

1.               ExpenseReports – Please fill out all applicable areas of your expense report and giveit to your manager for their approval. It is suggested that you retain copiesof everything, for your files, in case of a discrepancy.

2.               Receipts– All expense reports must have original receipts attached.  You will not be reimbursed for non-receiptitems.  For mileage, calculate the numberof miles traveled and multiply by $.26 to determine your reimbursement amount.

 

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G.             Taxes

 

Underthe Internal Revenue Code effective January 1, 1994, moving expenses fallinto two different types:

 

•                  Qualified Moving ExpenseReimbursements:  These are limited to theactual cost of:

•                  Transportation of household goods andpersonal effects and

•                  Travel (including lodging, but notmeals) to the new residence on the day of the move.

 

•                  Non-Qualified Moving ExpenseReimbursements:

•                  This includes all other reimbursedmoving expenses.

 

Anyamount reimbursed by Family Dollar Stores Inc. to employees for non-qualifiedmoving expenses or amounts in excess of the actual qualified moving expensespaid or incurred must be included in gross income and will be reported on a W-2form.

 

Taxablerelocation expenses are considered wages received for services rendered and aresubject to all applicable withholding. Expenses paid by Family Dollar Stores Inc., other than those under theIRS definition of qualified moving expense reimbursements, as outlined above,are included in the gross wages of the employee.  You are responsible for paying any taxesassociated with non qualified moving expenses.

 

## **III.****          ****Employee Reimbursement**

##  

A.           Terms

 

If youvoluntarily resign within twelve (12) months of your effective start date atthe new location, you will reimburse Family Dollar Stores Inc. for those expensesincurred by the company.  Examples ofexpenses incurred are, but not limited to, temporary housing, house huntingtrips, lump sum and actual moving.

 

IfFamily Dollar Stores Inc. incurs any costs or expenses, including but notlimited to attorney fees, in the collection of this debt, you agree to pay theattorney fees and expenses associated with the collection of their debt.  In addition, if the associate is late inmaking payments or fails to make any payments under this Agreement, FamilyDollar Stores Inc. may in its sole discretion make all monies owed to itimmediately due and payable.

 

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B.             ReimbursementPlan

 

Youwill pay back an amount equal to one-twelfth (1/12) of the total cost incurredby Family Dollar Stores Inc. for each month of the commitment not met.  Divide the total amount of the move by twelve(12) to get the payment and then multiply the payment amount by the number ofmonths the commitment was not met.

 

## **IV.****          ****Moving Expenses**

##  

A.           FamilyDollar Stores Inc. authorizes the following:

 

1.                 Packing,loading and delivery of normal household goods of the employee’s primaryresidence.  Items included in this packare: Grandfather/Grandmother clocks, breakables, crating, mattresses,wardrobes, and upholstery/fine finish wrap for furniture.

2.                 Valuation(insurance) coverage up to $75,000.

3.                 Actualcovered expenses are described under Relocation Summary – Tier 1.

 

B.             FamilyDollar Stores Inc. will not pay for the moving of special items not normallyassociated with the movement of household goods or effects to include thefollowing: (This is not an exclusive list)

 

1.               Pets

2.               Unpacking

3.               Popup,travel camper, or utility trailers

4.               Hottub, spa, or tanning bed

5.               3rdparty service on all appliances

6.               Liveplants, shrubs or trees

7.               Currency,securities, other valuable papers, jewelry and precious stones or metals

8.               Firewood,flagstones, bricks, lumber and other construction materials

9.               Perishablefood items

10.         Ammunitionor explosives

11.         Combustibleliquids, open cans of paint, etc

12.         Buildings,storage sheds, awnings, fences, cabanas, gazebos, outside oil tanks, etc

13.         Cleaningor maid service

14.         Disconnector hook up of television, radio antennas, CATV or satellites

15.         Assemblyor disassembly of furniture, tool sheds, playhouses, etc

 

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C.             Thecost of the actual move will be billed directly to Family Dollar Stores Inc.provided the employees uses the moving vendor Family Dollar Stores Inc. selects.  The use of other moving companies notcontracted directly by Family Dollar Stores Inc. is not allowed and expenses **WILL NOT BE REIMBURSED**. By contracting with one moving company, we are able to :

 

1.               Provideconsistency in the moving process

2.               Ensurethere is a clear understanding with the mover as to which expenses are coveredand which are not

3.               Obtainan estimate of moving expenses to the Company for planning purposes.

 

##### **V.**            TemporaryHousing

##### ** **

FamilyDollar Stores Inc. may provide you with temporary housing. Your Tier determineseligibility.  You are eligible for up to90 days of temporary housing.

 

Corporate:

 

Thecompany will pay for the direct leasing costs of a fully furnished apartmentfor up to 90 days, including monthly rent, electricity, water and basiccable.  Expenses incurred by you includephone set up and monthly telephone bill. You will be provided with information on how to set up your phone whenthe first contact is made with the Relocation Specialist.

 

Vacatingthe apartment earlier than your agreed upon time, requires that you give theRelocation Specialist a 30 day notice. If you wish to assume your own leasewith the apartment complex, after the temporary housing expires, it is yourresponsibility to make arrangements with the apartment complex.  Family Dollar Stores Inc. assumes no chargesafter the stated amount of time has expired.

 

RemoteLocations:

 

Arrangementswill go through the designated individual for that location.  Your contact person is ____________________.

 

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##### **VI.**           RealEstate Assistance

##### ** **

You may be reimbursedfor certain actual, documented expenses relating to the real estate commissionspaid by you on the sale of your house within six (6) months of actualstart date.  You must submit verificationof the amount spent to your supervisor for reimbursement.  The amount given will not exceed $5,000. Youare required to pay any taxes associated with this money.  Real Estate Assistance is considered income,and is taxable.  You are required to payany taxes associated with this.

 

##### **VII.**         Storageof Household Goods

##### ** **

Youare eligible to receive up to 60 days of paid storage.  Family Dollar Stores Inc. also selects thevendor for storage.  *It will bethe associate’s responsibility to pay for storage if they request a specialfacility*.  Family DollarStores Inc. will not pay for climate controlled storage or for storage of cars.

 

##### **VIII.**        Travel

##### ** **

#### **A.**           Pre-Move Travel

#### ** **

1.               Youare eligible for two (2) house hunting trips up to three (3) days andtwo (2) nights.

2.               Employeeauthorized to be accompanied on each trip with one (1) additionaltraveler.  Any other travelers will bethe responsibility of the employee.

3.               Reimbursementwill only be made you and your companion.

4.               Reasonablepriced lodging and meals will be reimbursed for you and your companion.  You must fill out an expense report, attachoriginal receipts and forward to your supervisor for signature.

 

#### **B.**             En Route Reimbursement

#### ** **

FamilyDollar Stores Inc. will reimburse you the cost of transportation and lodgingfor you and the members of your household while traveling from your former hometo your new home. You are eligible to receive two (2) nights of lodging,and reimbursement for up to 2 cars at $.26 per mile.

 

Airfareis only authorized if your move is over 500 miles.  *Please do not make thearrangements on your**own**.***  If you are eligible for transportation viaairfare, please contact the Relocation Specialist.

 

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Thistrip is considered business and it must go through our Internal Travel andRelocation Department.  *Pets are not included in the flight arrangements.*

 

Enroute expense does not cover any expenses at the former location.  En route expenses begin upon traveling fromthe old location for the final move; i.e. lodging or expenses incurred whiletraveling to the new location.  Receiptsare required for all expenses submitted for reimbursement (other than personalautomobile mileage).  *Side trips, vacations or excessive mileage will not be covered.*

 

## **IX.****          ****Automobile Shipment**

##  

Expensesassociated with the shipping of vehicles to the employee’s new location areTier specific.  You are eligible for:

 
| ** **           | ** ** | **Tier  1**                                  |
|----------------------|------------|----------------------------------------------|
| Less than 250 miles  |       | Drive all  None moved by carrier             |
| 250 – 500 miles |       | Drive 1  Move 1 by carrier                   |
| 500+ miles           |       | Move 2 by  carrier  Fly- Employee and Family |

 

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