LITTLE ROCK, Ark. -- Dillard Department Stores Inc. Thursday announced an agreement to purchase six John A. Brown department stores in Oklahoma and 12 Diamond's stores in Arizona and Nevada from the Dayton-Hudson Corp. of Minneapolis, Minn.
Dillard spokesman Ken Jameson said the agreement provides for the Little Rock-based chain of 80 stores to take over the Diamond's and John A. Brown stores at the close of business on Sept. 29.
Under the terms of the purchase agreement, all Diamond's and John A. Brown store and service center employees, and all Diamond's headquarters employees will be offered the same jobs by Dillard. No other terms of the agreement were disclosed.
John A. Brown stores are located in Penn Square, Crossroads Mall and Quail Springs Mall in Oklahoma City; Utica Square and Woodland Hill Mall in Tulsa, and a small store in Norman, Okla.
Diamond's stores are located in Park Central, Thomas Mall, Fashion Square, Metrocentre, Fiesta Mall, Paradise Valley and Westridge Mall in Phoenix, Ariz.; Park Mall Center and Tucson Mall in Tucson, Ariz.; and Boulevard Mall, Fashion Show Mall and the Meadows Center in Las Vegas, Nevada.
Jameson said the Diamond's stores reported sales of $159.8 million and John A. Brown had sales of $81.8 million for the year ending Jan. 28, 1984.
Dillard had sales of $847.5 million for the same period, Jameson said.
The Arkansas company now operates Dillard's stores in Arkansas, Illinois, Kansas, Louisiana, Missouri, New Mexico, Oklahoma, Tennessee and Texas.
The acquisitions had been rumored in recent published reports, leading to strong demand for Dillard stock on the American Stock Exchange and an $8 per share rise last week in the price of common stock.
In a letter Wednesday to employees at the six Brown stores, Brown president James R. Miller told workers the sale 'will create uncertainty for all of us.'
Miller said the company in recent years had faced 'a very tough economy and intense competition in our market,' but he expected the sale to benefit the employees because 'Dillard's is committed to providing our customers with high quality merchandise and good customer service.'
Financial reports released by Dayton Hudson show the operating profit at the six Brown's stores dropped 32 percent from 1982 to 1983. There report does not show whether the stores still are being operated at a profit.
Company employees were notified of the sale Wednesday and were told there were no immediate prospect for lay-offs.
The Diamond stores reported a profit increase of 12 percent last year.