Alliance Data Systems Corp. of Dallas has expanded its relationship with the Bradenton, Fla., retailer Beall's Inc.
Last week Alliance Data said that it had agreed to issue private-label cards for 85 Florida department stores owned by Beall's.
Alliance Data already issues cards for more than 450 outlet stores that use the Beall's and Burke's brands in 14 states in the South and West. Cards issued in the department stores will be accepted in the outlet stores, and vice versa, Alliance Data said.
As a result of the deal, Beall's will be able to offer "expanded reward offerings," along with "more payment and credit options" and discounts, Daniel Love, its chief financial officer, said in a press release. "This … should help to generate new accounts."
Daniel R. Perlin, an analyst at Wachovia Corp.'s securities unit, wrote to clients Friday that the expanded relationship is a sign that Alliance Data's "private-label credit business can still grow in a choppy retail environment."
He has a "market perform" rating on the stock.