Discloses 3.2% Ownership Interest in the Company
NEW YORK, June 28 /PRNewswire/ -- Barington Capital Group, L.P. sent a letter yesterday to William T. Dillard, II, the Chairman and Chief Executive Officer of Dillard's, Inc. (NYSE:DDS), on behalf of a group of investors that owns over 3.2% of the outstanding common stock of the Company. In the letter, which was written because Barington has been unable to reach Mr. Dillard by telephone, Barington requested to meet with Mr. Dillard and members of his management team to discuss measures which Barington believes will maximize shareholder value for the benefit of all of the Company's stockholders.
A copy of the Barington letter is attached to this press release.
About Barington Capital Group:
Barington Capital Group, L.P. is an investment firm that, through its affiliates, primarily invests in undervalued, small and mid-capitalization companies. Barington and its principals are experienced value-added investors who have taken active roles in assisting companies in creating or improving shareholder value. Barington represents a group of investors that owns more than 2,600,000 shares of Class A Common Stock of Dillard's, Inc., constituting over 3.2% of the outstanding shares of the Company.
Barington Capital Group, L.P. 888 Seventh Avenue
New York, New York 10019 June 27, 2007 William T. Dillard, II
Chairman of the Board and Chief
Executive Officer
Dillard's, Inc. 1600 Cantrell Road
Little Rock, Arkansas 72201 Dear Mr. Dillard: Barington Capital Group, L.P. represents a group of investors that owns over 3.2% of the outstanding common stock of Dillard's, Inc. We have invested in Dillard's, whose shares we believe are undervalued, as we are convinced that we can assist the Company in dramatically improving shareholder value.
As we have not been able to reach you by telephone, we are writing to request to meet with you and members of your management team. We would like to discuss a number of measures that we believe will increase the Company's profitability to levels achieved by its peers and better utilize the Company's substantial asset base. These include initiatives that would augment the Company's existing operating strategy in areas such as merchandising, inventory management and cost containment, as well as measures to unlock the value of the Company's real estate portfolio.
We have substantial experience helping improve shareholder value as an investor in a number of retail, apparel and footwear companies including Syms, Warnaco, Pep Boys, Stride Rite, Steven Madden, Payless ShoeSource, Nautica and Maxwell Shoe. We hope that we can work together with you to maximize shareholder value at Dillard's.
We look forward to meeting with you.
Sincerely, /s/ James A. Mitarotonda James A. Mitarotonda
DATASOURCE: Barington Capital Group, L.P.
CONTACT: Caroline Shin of Edelman, +1-212-704-4467, for Barington Capital Group, L.P. Web site: http://www.barington.com/
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