Dec 27 (Reuters) - Fred's Inc
* Fred's inc - after fred's observed "unusual and substantial activity in company's shares", board unanimously adopted rights plan
* Fred's inc - sets trigger of 10 percent
* Fred's inc - "has had an ongoing dialogue with a number of shareholders"
* Fred's inc - rights plan not adopted in response to any specific takeover bid or other proposal to acquire control of company
* Fred's inc - will close 40 underperforming stores in first half of 2017, creating a benefit to earnings of over $4 million
* Fred's pharmacy unanimously adopts shareholder rights plan Source text for Eikon: Further company coverage: