I actually think it\'s the opposite: the local stores around here are always swarmed with lots of young kids/teens with unpainted armies and the veterans are nowhere to be found.
In my opinion they have raised prices to the point where young kids can afford to play, but not paint their minis. Laziness aside, the cost of paints and brushes is way too high right now for people on a budget. I\'d wager that you need at least $150 to buy paint, brushes and primer to start painting your first army, and when the store doesn\'t require painted minis any more to play there\'s no reason for kids who are low on funds to pay for this.
Playing against a bunch of kids with unpainted armies has alienated a lot of us older vets, who now pretty much sit around playing games with our old armies and rarely buy much from the stores anymore, except for the occasional paint supply run or to add a new unit/character once in a while.
I\'m no marketing or financial expert, but I think they need to simultaneously find a way to reinvigorate the disgruntled veterans and make it easier for the misled youth to step up and become fully functional hobbyists.
I say drop the prices on paint supplies, since they are being undercut quite a bit by both Vallejo and P3. I do prefer Citadel over Vallejo, but I do kind of begrudge them for the $4.50 per 12mL bottle. Seriously, I pay $3.00 for 18mL of P3 which I find is easier to use. Something\'s not right here.
Dropping the prices on minis wouldn\'t hurt them either, since right now it\'s just too expensive to start a new army on a whim. My largest current Fantasy army started as a bunch of one-off painting projects, back when units were cheap enough that I could afford to buy them just to paint. Eventually I fleshed out a proper army and have been revamping and updating them ever since. Ironically it\'s an army that GW hasn\'t supported with proper rules or new miniatures since about 1998. One or two new units in 11 years does not constitute proper support

Yes I\'m talking about my beloved Dogs of War
Anyway I still love the hobby dearly, and I would be deeply saddened to see the company get into trouble and have lots of good people lose their dream jobs. There was a time when veteran gamers still poured tons of money into new armies, and with the lower standards for gaming and the disappearance of the bitz order system for making your converted characters and/or painting contest entries I think they did some serious damage to their credibility. Customer loyalty seems to be extremely low right now, and I don\'t know how long they can afford it.