Close Family Dollar trade for a loss

We are closing the FDO Short Put trade, and buying it back at $1.70 for a loss.  We entered this position on October 28th, and sold Puts at $1.05.  The stock continued to move lower and it's currently in the money where we could get put and have to buy the stock.  As we outlined in the original trade, we were ok with getting put, and picking up the stock at an effective price belos $64.  However, recent news and analyst notes on the company suggest a tougher road a head, and we're going to steer clear of this company for now.

Buying the puts back today at $1.70 nets us a 62% loss on the short put position.