WWD.com/business-news/financial/hurricane-ike-costs-dillards-8-million-to-10-million-1790213/
government-trade
government-trade

Hurricane Ike Costs Dillard’s $8M to $10M

Texas City store bears brunt of damage and will be closed.

Hurricane Ike hammered Dillard’s Inc., causing $8 million to $10 million in damage, which will not be covered by insurance, the department store said.

More than half of the damage occurred at the chain’s Mall of the Mainland store in Texas City, Tex., which will be closed. A mall receptionist said Friday officials were still evaluating the overall damage to the shopping center.

In preparation for the storm, Dillard’s temporarily closed 17 stores beginning Sept. 11.

Two of the retailer’s Houston stores suffered moderate damage and were to reopen. Eight other Texas locations had minor damage. Stores in Ohio, Kentucky and Indiana were also affected as the hurricane made its way north, generating heavy rains. Ike made landfall at Galveston, Tex., at 2:10 a.m. Sept. 13 and hit Houston before moving on to Louisiana and beyond.

Dillard’s said disruptions at its Gulf area stores would continue in the near term.

Conditions were slowly improving, but still far from normal along Ike’s path. Hundreds of thousands of customers were still without power across Texas and more than 20,000 people were housed in shelters. “The winds have died down, but the folks around here know better than anyone that we have a long road to recovery ahead of us,” said Texas Gov. Rick Perry.