Dillard's Paid $10 Million for Other Half of CDI Contractors

by Mark Friedman  on Wednesday, Dec. 10, 2008 10:42 am  

Dillard's Inc. paid $9.8 million on Aug. 29 to buy the remaining half of CDI Contractors LLC of Little Rock that it didn't already own, according to a Security & Exchange filing the Little Rock retailer made Tuesday.

The filing shows CDI had $28.2 million in revenue from Aug. 29 until Nov. 1 and $300,000 in income before taxes and equity in earnings.

CDI also had assets of $92 million, but $72.9 million of the assets is tied to accounts receivables. Dillard's also took on CDI's $82.2 million in debts.

When the sale was announced in August, terms of the deal weren't released. The sellers were a trust created by the late William E. "Bill" Clark and Braggs Electrict Construction Co., which is also controlled by the Clark family.

Dillard's also said in its Tuesday filing that it didn't buy any of its stock during the quarter even though the stock price dropped below $3 for period and it was authorized to purchase shares. In November 2007, Dillard's board of directors approved the company buying up to $200 million of its Class A stock. As of Nov. 1, the company still had $182.6 million available under the plan. 

During the nine months that ended Nov. 1, the company gobbled up 1.8 million shares of Class A stock for $17.4 million at an average price of $9.55 per share.

Also during the third quarter, Dillard's sold its store at Rivercenter in San Antonio for $8 million, which resulted in a profit of $7.2 million.

For the quarter ending Nov. 1, Dillard's reported a loss of $56.1 million on revenue of $1.5 billion. For the same quarter in 2007, the company reported a loss of $11.3 million on sales of $1.6 billion.

On Monday, two activist shareholders once again demanded access to company records including information on CDI



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