Bon-Ton Stores to sell credit card portfolio

Alliance Data Systems Corp., a Dallas-based provider of loyalty and marketing solutions derived from transaction-rich data, today announced its Retail Services business has agreed to acquire the private label credit card portfolio of The Bon-Ton Stores Inc., which operates headquarters in Milwaukee and York, Pa.

Alliance Data will also manage the retailer’s private label credit card program.
Bon-Ton Stores operates 272 stores in 23 states across the Northeast, Midwest, and upper Great Plains, under the nameplates of: Bon-Ton, Bergner’s, Boston Store, Carson’s, Elder-Beerman, Herberger’s, Younkers, and Parisian.
Under terms of the agreement, Alliance Data will purchase The Bon-Ton Stores’ existing file of private label credit card accounts, acquiring a portfolio of approximately $475 million.
“Alliance Data’s retail heritage and proven credit and marketing tools were key factors in our partnership decision,” said Brendan Hoffman, president and chief executive officer of Bon-Ton Stores. “Working with Alliance Data, we’re confident we can deliver additional value to our customers through our credit program. We look forward to collaborating with Alliance Data to help shape this program into an even greater driver of growth for our business.”
The transaction is scheduled to close in the third calendar quarter of 2012, subject to customary closing conditions.
“We are excited to begin our partnership with The Bon-Ton Stores, a well-established regional department store chain with a history of success,” said Melisa Miller, president of Alliance Data Retail Services. “Together we will advance their current program, driving higher levels of loyalty among Bon-Ton customers by expanding their marketing across new channels. We are privileged to be a collaborative partner to The Bon-Ton Stores, and look forward to helping them meet their sales and growth goals.”

 

Sign up for BizTimes Daily Alerts

Stay up-to-date on the people, companies and issues that impact business in Milwaukee and Southeast Wisconsin

No posts to display