1. Dillard’s, Macy’s, Nordstrom Brandon Wigfield April Smithson Lauren Harrison

2. Dillard’s Inc. Financials

3. Macy’s, Inc.

4. Nordstrom, Inc 20082007 Net sales8,8288,561 Gross margin3,30237.4%3,20737.50% Net Income (after tax)1,17313.3%1,10612.90% Inventory956997 GMROI3.45345%3.22322% Inventory turnover5.785.37 Asset turnover1.581.78 Return on assets20.9%22.90% Return on net worth105.2%51.00%

5. Dillard’s Inc. 200820072006 Number of stores315326328 Sales per store$22,881$23,423$23,023 Sales per store WOMEN’S$8,465$8,666$8,518

6. Macy’s, Inc.

7. Nordstrom, Inc

8. Dillard’s Inc. Sales Lines Percentage of Net Sales Fiscal 2008 Fiscal 2007 Fiscal 2006 Retail operations segment: Cosmetics 15% % % Ladies’ apparel and accessories 37 36 Juniors’ and children’s apparel 9 9 10 Men’s apparel and accessories 18 Shoes 13 Home and furniture 7 8 8 99 100 Construction segment 1 — — Total 100% % % Retail Trade StoresSales% of sales Dillard's Inc., 2008 10-K$7,207,417,000 Cosmetics$1,081,112,55015 Ladies' Apparel and Accessories$2,666,744,29037 Juniors' and Childrens' Apparel$648,667,5309 Mens' Apparel and Accessories$1,297,335,06018 Shoes$936,964,21013 Home Furnishings$504,519,1907 Major Competitors: Macy’s, JC Penny, Kohls, etc…..

9. Macy’s, Inc. Sales Lines

10. Nordstrom, Inc Merchandise Line Women’s apparel 34% ($963,000) Shoes 21% Men’s apparel 16% Women’s accessories 12% Cosmetics 11% Children’s apparel 3% Other 3% Major Competitors: Gap Inc, American Eagle, Goody’s

11. GeographyDillard’s Households: Households 35 to 54 years; $75,000+/store Households: Households 35 to 54 years; $75,000+ Households: Total Women’s Clothing stores Women’s Clothing stores sales Sales per store Pittsburgh, PA MSA0 - 104,570967,044277269,047971 Tampa--St. Petersburg-- Clearwater, FL MSA425,287101,1491,009,792276198,493719 Kansas City, MO--KS MSA334,167102,500694,971185176,250953 Houston, TX PMSA; Houston-- Galveston--Brazoria, TX CMSA547,908239,5391,463,983536586,2231,094 Dallas, TX PMSA; Dallas--Fort Worth, TX CMSA1220,915 1,283,156641583,164910 Atlanta, GA MSA393,006279,0171,505,564641610,480952 St. Louis, MO--IL MSA271,074142,1471,013,341303282,958934 Nashville, TN MSA165,585 479,744176166,879948 Austin--San Marcos, TX MSA239,41778,834472,085165176,2471,068 Dillard’s Markets Examined

12. Macy’s Markets Examined

13. Nordstrom, Inc MSAs Examined

14. Existing LocationsHouseholdsIncomeAgesChildrenEducationLifeStyle 1: 900 West Oaks Mall3 mi. 42,569$30-39m (130)25-34 (130)<6 (118)College Grad (149)Striving Suburban Mix (950) Houston, TX 77082 (Mall) Lat: 29.7310126 mi. 150,412$100m+ (123)25-34 (127)<6 (131)College Grad (154)Striving Suburban Mix (366) Long. 95.6487249 mi. 315,883$100m+ (120)25-34 (129)<6 (131)College Grad (144)Striving Urban Melting Pot (381) 2: 7925 FM 1960 Rd W3 mi. 29,045$100m+ (158)35-44 (111)<6 (111) 6-17 (111)College Grad (154)Cosmopolitan Suburbs (481) Houston, TX 77070 (Mall) Lat: 29.9581116 mi. 126,938$100m+ (151)45-54 (122) 6-17 (138)College Grad (154)Midscale Suburban Mix (471) Long: 95.5407849 mi. 259,406$100m+ (135)35-44 (125)<6 (139)College Grad (154)Struggling Small City Mix (381) 3: 10 Greenspoint Mall3 mi. 32,012$20-29m (163)18-24 (202)<6 (171)Grade School (215)Struggling Small City Mix (1419) Houston, TX 77060 ( Mall) Lat: 29.9424926 mi. 103,817$20-29m (138)18-24 (150)<6 & 6-17 (162)Grade School (199)Striving Suburban Mix (863) Long: 95.4123019 mi. 246,369$20-29m (124)18-24 (128)<6 & 6-17 (144)Grade School (175)Striving Suburban Mix (615) 4: 400 NW Barry Rd3 mi. 21,579$75-99m (126)18-24 (131)No Children (106)College Grad (121)Striving Small City Living (623) Kansas City, MO 64155 (Mall) Lat: 39.2483876 mi. 66,905$50-74m (125)25-34 (119)<6 (111)College Grad (123)Striving Small City Living (441) Long: 94.5833329 mi. 99,223$75-99m (119)25-34 (116)<6 (110)College Grad (113)Striving Small City Living (386) 5: 8800 Ward Pkwy3 mi. 40,095$100m+ (113)65+ (132)No Children (116)College Grad (180)Striving Suburban Mix (369) Kansas City, MO 64114 (Mall) Lat: 38.9688886 mi. 148,817$30-39m (112)18-24 (110)No Children (115)College Grad (166)Striving Suburban Mix (336) Long: 94.6050689 mi. 282,051$100m+ (108)18-24 (110)No Children (107)College Grad (148)Suburban Aristocrats (351) 6: 8640 N Dixson Ave.3 mi. 16,885$75-99m (136)25-34 (114)No Children (105)College Grad (149)Affluent Suburbs (670) Kansas City, MO 64153 (Mall) Lat: 39.2493696 mi. 42,710$75-99m (135)25-34 (120)<6 (111)College Grad (132)Affluent Suburbs (506) Long: 94.6689379 mi. 86,340$50-74m (115)25-34 (113)No Children (103)Some College (111) Midscale Minipolitan (418) 7: 2202 E. Fowler Ave.3 mi. 53,892Under $10m (184)18-24 (246)No Children (107)Some HS (128)Striving Urban Melting Pot (1144) Tampa, FL 33612 (Mall) Lat: 28.0545886 mi. 147,464Under $10m (142)18-24 (177)No Children (105)Some HS (116)Striving Urban Melting Pot (782) Long: 82.4344549 mi. 241,557Under $10m (125)18-24 (147)No Children (104)Some HS (112)Striving Urban Melting Pot (537) 8: 8161 Citrus Park Town Ctr Mall 3 mi. 27,780$100m+ (130)35-44 (127)<6 (132)College Grad (127)Affluent Suburbs (547) Tampa, FL 33625 (Mall) Lat: 28.0692756 mi. 100,194$100m+ (116)35-44 (117)<6 (113)College Grad (128)Affluent Suburbs (313) Long: 82.5749939 mi. 197,771$30-39m (109)35-44 (109)<6 (105)College Grad (112)Striving Urban Melting Pot (364) Mall locationMinimum 6 mi: 42,710 $100m+25-34<6College GradStriving Suburban Mix/Not completely clear

17. Location Requirements: Dillard’s Inc. Criteria Typical leased site Minimum household count Demographic indices  Household income level  Age  Children  Education attainment Findings Enclosed shopping mall (Google Earth) 6 mile radius: 43,000 Higher income, mature families  $100,000+  25-34  <6  College graduate

18. Location Requirements: Nordstrom Criteria:  Typical leased spot Demographics:  Households: above 18,000  Age: 18-24  Income: Under 10,000  Education: Grade School  Struggling Small City