ALLIED STORES &lt;ALS> SELLS DILLARD &lt;DDS> TWO UNITS
  Dillard Department Stores Inc, based
  in Little Rock, Ark., and Allied Stores Corp jointly said they
  entered a definitive purchase agreement for the sale to Dillard
  of the Joske's and the Cain-Sloan divisions of Allied for 255
  mln dlrs cash, subject to certain closing adjustments.
      The sale excludes certain real estate assets of Joske's and
  Cain-Sloan, which Allied estimates have an aggregate value of
  30 mln dlrs based on current market conditions.
      Joske's has 26 stores in Texas and one in Arizona.
  Cain-Sloan has four stores in Nashville. Joske's is the largest
  unit Allied has slated for sale in its restructuring.
      Allied Stores Corp, a subsidiary of Campeau Corp, was
  acquired by acquired by the Canadian developer last year.
      Robert Campeau, chairman of Allied, said "this is a
  terrific start to our disposition program which is proceeding
  well ahead of schedule. This sale will fulfill the requirements
  under our bank agreements to sell certain assets by June 30 and
  give us additional flexibility in the disposal of the remaining
  divisions being sold."
       Allied Stores is required to pay 200 mln dlrs in bank debt
  by June 30. There had been some doubts on Wall Street that the
  company could meet the payment.
      A Campeau source said, "We believe this cash sale puts us
  in a very strong negotiating position to maximize the proceeds
  Allied can receive from its other divisions."
      "Allied was able to put itself in a position where it knows
  it will be able to meet the June 30 payment schedules," the
  source said.
      About 1.1 bilion dlrs in Allied assets had been targeted
  for sale by Dec. 31, 1988 to pay for the aquisition of Allied
  by Campeau.
      Allied will be taking bids for its other divisions.
  Targeted for sale are Bonwit Tellers, Garfinckel's, Dey's,
  Donaldson's, Herpolsheimer's, Heer's, Miller's, Miller and
  Rhoads, Pomeroy's, Catherine's, Plymouth Shops, and Jerry
  Leonard. The divisions provided 38.4 pct of Allied net sales
  and 11.8 pct of store profit in fiscal 1985.
  

