1/03/11

Dillard's to Establish an Internet Fulfillment Center in Arkansas

The center will create 300 new jobs in the Central Arkansas area.

MAUMELLE, Arkansas (December 22, 2010) - Little Rock-based Dillard's, Inc. ("Dillard's" or "the Company") (DDS: NYSE) today announced it will locate an Internet fulfillment center in Maumelle, Arkansas to support the continuing growth of its online store at www.dillards.com. The Company has signed an agreement to purchase the former Target distribution facility and will create over 300 new jobs in the Central Arkansas area.

Dillard's President Alex Dillard, stated, "We are tremendously pleased to announce our new Maumelle Internet Fulfillment Center. This new high-tech facility will be optimally equipped with advanced distribution and fulfillment capabilities to support the growth of our Internet store at www.dillards.com. There are many positive changes currently underway at Dillard's, and the enhancement of the online shopping experience at dillards.com is a major focus of our efforts. Our new Maumelle facility will provide the capacity, the technology and the people to support the growth of our Internet business. We carefully considered several different locations in other cities and states for our new fulfillment center and there were many possible outcomes of this extensive review process. However, many people worked with us in making our home state of Arkansas, and specifically Maumelle, the obvious choice for this high-tech facility. We sincerely thank Governor Mike Beebe and his team along with the Arkansas Economic Development Commission as well as Mayor Mike Watson and the City of Maumelle and the Little Rock Regional Chamber of Commerce for their efforts which largely enabled us to make today's exciting announcement."

Dillard's new Maumelle Internet Fulfillment Center will utilize the latest in fulfillment and distribution technology including the highly advanced use of robotics combined with improvements in ergonomics, noise reduction and safety. The environmentally-friendly features of the new facility include less power consumption due to reduced conveyor usage as well as advanced, energy efficient lighting systems.

Dillard's, Inc. ranks among the nation's largest fashion apparel, cosmetics and home furnishings retailers with annual revenues exceeding $6.2 billion. The Company operates 294 Dillard's locations and 14 clearance centers in 29 states. Currently, Dillard's employs approximately 2,300 people in Arkansas.

"Dillard's has decided to put its new Internet fulfillment center close to home, further bolstering the Central Arkansas economy," Governor Mike Beebe said. "As one of Arkansas's homegrown Fortune 500 companies, Dillard's has played an important business role in our state for more than 70 years, and I hope that this facility will add to the Company's success."

Dillard's currently operates six distribution centers, including one in Mabelvale, Arkansas, and an Internet fulfillment center in Nashville, Tennessee.

"We are excited that Dillard's has selected Maumelle as the site of their new Internet fulfillment center," said Maumelle Mayor Mike Watson. "We are extremely grateful to the team of professionals from AEDC, Metro Little Rock Alliance, the Little Rock Regional Chamber of Commerce, and of course, the Governor's Office, who have helped us make this opportunity a reality. And I want to thank the Dillard's team for their hard work in putting this deal together!"

Dillard's expects the Maumelle internet fulfillment center to be fully operational in late 2012. The 850,000-square-foot former Target distribution center was constructed in 1980 and expanded in 1990 and is surrounded by approximately 100 acres of land.

Additional information about Dillard's, Inc. can be found at www.dillards.com.

Topics:

Arkansas, Dillard's, fulfillment center

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