28917--4/3/2006--DILLARDS_INC

related topics
{acquisition, growth, future}
{loan, real, estate}
{customer, product, revenue}
{operation, natural, condition}
{stock, price, operating}
{condition, economic, financial}
{competitive, industry, competition}
{financial, litigation, operation}
The retail merchandise business is highly competitive, and that competition could lower revenues, margins and market share. Changes in economic, market and other conditions could adversely affect our operating results. Current store locations may become less desirable, and desirable new locations may not be available for a reasonable price, if at all. Ownership and leasing of significant amounts of real estate exposes us to possible liabilities and losses. We rely on third party suppliers to obtain materials and provide production facilities from which we source our merchandise We intend to evaluate acquisitions, joint ventures and other strategic initiatives, any of which could distract management or otherwise have a negative effect on revenues, costs and stock price. Our annual and quarterly financial results may fluctuate depending on various factors, many of which are beyond our control, and if we fail to meet the expectations of securities analysts or investors, our share price may decline. Litigation from customers, employees and others could harm our reputation and impact operating results. Catastrophic events may disrupt our business.

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