Document:

Unassociated Document

    Equity
      Pledge Agreement

     

    

    By
      and among

     

     

    The
      Shareholders of Daqing Qingkelong Chain Commerce&Trade Co.,
      Ltd.

     

     

    Speedy
      Brilliant (Daqing) Commercial Consulting Company Limited

    

    

    Daqing
      Qingkelong Chain Commerce&Trade Co., Ltd.

     

     

     

    March
      28th
      , 2008

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
              Equity
                Pledge Agreement

            

    

     

     

    EQUITY
      PLEDGE AGREEMENT 

     

    

    THIS
      EQUITY PLEDGE AGREEMENT (hereinafter referred to as “this Agreement”) is
      executed by the following parties on March 28th,
      2008 in
      Daqing, People’s Republic of China (“PRC”): 

    

    (1)
      All shareholders of Daqing Qingkelong Chain Commerce&Trade Co., Ltd.
(hereinafter
      collectively called “Party A” or “Pledgors”)

    

    
      	
              Name
                of the Shareholders

            	
              Shareholding
                Ratio (%)

            	
              ID
                Card No.

            	
              Contact
                Address

            
	
              Wang
                Zhuangyi

            	
              66.08

            	
              230602196001023411

            	
              Suite
                2-801, No.107 of Shidailijing, Reyuan Street, Sa’ertu District, Daqing,
                Heilongjiang, 163311

            
	
              Wang
                Shuai

            	
              15.95

            	
              23060219850921711X

            	
              Suite
                2-801, No.107 of Shidailijing, Reyuan Street, Sa’ertu District, Daqing,
                Heilongjiang, 163311

            
	
              Zheng
                Limin

            	
              10.82

            	
              23060219631013342X

            	
              Suite
                2-801, No.107 of Shidailijing, Reyuan Street, Sa’ertu District, Daqing,
                Heilongjiang, 163311

            
	
              Teng
                Wenbin

            	
              1.36

            	
              230603196905232116

            	
              Suite
                2-103, No.72-1 of Wolitun Street, Long Feng District, Daqing,
                Heilongjiang, 163000

            
	
              Li
                Zhongfen

            	
              1.36

            	
              23060219591111342X

            	
              Suite
                1-502, No.2-4 o f Yuanyuan Community, Ranghu Road, Daqing, Heilongjiang,
                163000

            
	
              Feng
                Shuxia

            	
              1.30

            	
              230822196811135825

            	
              Suite
                5-102, No.3-48 of WanBao Community, Reyuan Street, Sa’ertu District,
                Daqing, Heilongjiang, 163311

            
	
              Zhang
                Yuepin

            	
              0.54

            	
              230602197110256227

            	
              Suite
                1-202, No.2-20 of Shengxin Community, Ranghu District, Daqing,
                Heilongjiang, 163314

            
	
              Li
                Xiaoqiu

            	
              0.54

            	
              230602196409240022

            	
              Suite
                6-101, No.5-15 of Weijiu Road, Sa’ertu District, Daqing, Heilongjiang,
                163311

            
	
              Fan
                Xishuang

            	
              0.41

            	
              230604196312060829

            	
              Suite
                1-602, No.B-14 of Liminghe Community, Sa’ertu District, Daqing,
                Heilongjiang, 163311

            
	
              Wei
                Chuanyu

            	
              0.33

            	
              232332196607210936

            	
              Suite
                5-201, No.3-48 of Wanbao Community, Reyuan Street, Sa’ertu District,
                Daqing, Heilongjiang, 163311

            
	
              Han
                Jinhong

            	
              0.30

            	
              372922197004268712

            	
              Suite
                5-202, No.3-48 of Wanbao Community, Reyuan Street, Sa’ertu District,
                Daqing, Heilongjiang, 163311

            
	
              Zhang
                Lihui

            	
              0.27

            	
              230602601029081

            	
              Suite
                1-301, Xincun HB Community, Sa’ertu District, Daqing, Heilongjiang,
                163311

            
	
              Ding
                Yinxia

            	
              0.27

            	
              230623197404180047

            	
              Single
                Community, Sa’ertu District, Daqing, Heilongjiang,
                163311

            
	
              Wang
                Yan

            	
              0.11

            	
              230602197002120816

            	
              Suite
                5-402, No.56-1 of Ka’er Jiali Road, Sa’ertu District, Daqing,
                Heilongjiang, 163311

            
	
              Li
                Jing

            	
              0.08

            	
              230602197606075163

            	
              Suite
                2-502, No.2-15 of Sa’ertu Street, Sa’ertu District, Daqing, Heilongjiang,
                163311

            
	
              Wang
                Shuchang

            	
              0.05

            	
              232325196908203234

            	
              Suite
                2-204, No.3-56 of Wanbao Community, Reyuan Street, Sa’ertu District,
                Daqing, Heilongjiang, 163311

            
	
              Cai
                Yingli

            	
              0.05

            	
              230707197506250224

            	
              No.3
                Group, Donglinwei, Tielin Street, Xinqing District, Yichun, Heilongjiang,
                153000

            
	
              Zhang
                Xueying

            	
              0.05

            	
              230606197207260025

            	
              Suite
                3-11, No.41 Xiang, Longhua Road, Longfeng District, Daqing, Heilongjiang,
                163711

            
	
              Yao
                Li

            	
              0.03

            	
              232623197812290028

            	
              Suite
                2-102, No.10-18 of Tianhe Community, Wei’er Road, Sa’ertu District,
                Daqing, Heilongjiang, 163311

            
	
              Su
                Zhongbo

            	
              0.03

            	
              232302681208042

            	
              Suite
                8-502, No.5-22 of Weijiu Road, Sa’ertu District, Daqing, Heilongjiang,
                163311

            
	
              Wang
                Zhanfu

            	
              0.03

            	
              23011919780829433X

            	
              Suite
                1-301, No.3-47 of Wanbao Community, Reyuan Street, Sa’ertu District,
                Daqing, Heilongjiang, 163311

            
	
              Lu
                Anwen

            	
              0.03

            	
              230602197902274028

            	
              Suite
                6-501, No.S-05 of Lvcejiayuan, Weishiyi Road, Sa’ertu District, Daqing,
                Heilongjiang, 163311

            

    

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    (2)
      Speedy Brilliant (Daqing) Commercial Consulting Company Limited (hereinafter
      collectively called “Party B” or “Pledgee”)

    

    Registered
      Address:
      No.1-9,
      Hubin Community, Gaoxin District, Daqing

    Legal
      Representative: Wang Zhuangyi

    

    (3)
      Daqing Qingkelong Chain Commerce&Trade Co. Ltd. (hereinafter collectively
      called “Party C” or the “Company”)

    

    Registered
      Address: Jing Qi Street, Dongfengxin Village, Sa’ertu District, Daqing
      City.

    Legal
      Representative: Wang Zhuangyi

     

    (Pledgors,
      Pledgee and the Company may be collectively called the “Parties” and
      individually as “Each Party”.)

     

    WHEREAS,
      

    

    
      	
              1.

            	
              The
                Company is a domestic company incorporated and validly existing under
                PRC
                Laws, and its business license No. is 2306022100591å

            

    

    

    
      	
              2.

            	
              The
                Pledgors, the PRC citizenôlegally
                holds 100% Equity Interests in the
                Company;

            

    

    

    
      	
              3.

            	
              The
                Pledgee, as a wholly foreign-owned enterprise, was duly incorporated
                and
                validly existing under the PRC Laws;

            

    

    

    
      	
              4.

            	
              Party
                A signed a loan agreement (the “Loan Agreement”) on March 28th,
                2008 with
                Party B. According to this agreement, Party B will provide the loan
                to
                Party A and Party A agrees to pledge all their equities in Party
                C as a
                guaranty of the performance of the obligations thereunder.
                

            

    

     

    
      	
              5.

            	
              Party
                B signed a consigned management agreement (the “Consigned Management
                Agreement”) on March 28th,
                2008 with Party C and Party A, and Party A agrees to pledge all their
                equities in Party C to Party B as a guaranty for the performance
                of the
                obligations thereunder. 

            

    

     

    
      	
              6.

            	
              Party
                B signed a technology service agreement (the “Technology Service
                Agreement”) on March 28th,
                2008 with Party C and Party A, and Party A agrees to pledge all their
                equities in Party C to Party B as a guaranty for the performance
                of the
                obligations thereunder. 

            

    

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	
              7.

            	
              The
                Parties signed an exclusive purchase option agreement (the “Exclusive
                Purchase Option Agreement”) on March
                28th, 2008, and the parties thereto agree that Party A shall pledge
                all
                their equities in Party C to Party B as a guaranty of the performance
                of
                the obligations assumed by Party A and Party C thereunder.
                

            

    

     

    NOW
      THEREFORE,
      the
      Parties, through friendly negotiations, hereby enter into this Agreement with
      respect to the equity pledge. 

     

     

    
      	
              1.

            	
              Definitions
                and Interpretation 

            

    

     

    Unless
      otherwise provided in this Agreement, the following terms shall have the
      following meanings: 

    

    
      	 	
              1.1

            	
              “PRC”
                refers to the People’s Republic of China, excluding the HongKong Special
                Administrative Region, Macao Special Administrative Region and Taiwan
                Province;

            

    

    

    
      	 	
              1.2

            	
              “PRC
                Laws” refers to all PRC laws, administrative regulations and government
                rules in effect;

            

    

    

    
      	 	
              1.3

            	
              “Pledged
                Equity” refers to all the equity in the Company as provided in Article2.1;
                

            

    

    

    
      	 	
              1.4

            	
              “Main
                Agreements” refers to the Loan Agreement, Consigned Management Agreement,
                Technology Service Agreement and Exclusive Purchase Option Agreement
                and
                the Appendixes thereof (if applicable);

            

    

    

    
      	 	
              1.5

            	
              “Right
                of Pledge” refers to the right owned by the Pledgee to be first
                compensated from the money converted from or the proceeds from the
                auction
                or sale of the Pledged Equity by the Pledgors to the Pledgee in the
                event
                of default of Pledgors and/or Party C, and such right shall cause
                the
                Pledgee to be entitled to the bonus arising from Pledged Equity;
                

            

    

    

    
      	 	
              1.6

            	
              “ABIC”
                refers to the competent Administration Bureau of Industry and Commerce
                which is authorized in accordance with PRC Laws to register the Pledged
                Equity hereunder;

            

    

    

    
      	 	
              1.7

            	
              “Event
                of Default” refers to the event as defined in Article 8
                hereunder.

            
	 	 	 
	 	
              1.8

            	
              “Business
                Day” refers to any
                day except Saturday, Sunday and other public holidays as permitted
                by PRC
                Laws;

            

    

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	
              2.

            	
              Equity
                Pledge 

            

    

     

    
      	 	
              2.1

            	
              The
                Parties agree that Pledgors shall pledge all their Equities in the
                Company
                to the Pledgee as a guaranty for the performance of the obligations
                assumed by the Pledogors and/or the Company under each of the Main
                Agreements. 

            

    

    

    
      	 	
              2.2

            	
              In
                case the Pledgors increase the registered capital in the Company
                during
                the term of this Agreement, such increased capital shall be equally
                deemed
                as the Pledged Equity.

            

    

    

    
      	 	
              2.3

            	
              In
                case any act conducted by the Pledgors or the Company may cause the
                Right
                of Pledge damaged so as to harm the interests of the Pledgee, the
                Pledgee
                is entitled to require the Pledged Equity to be auctioned or sold
                in
                advance and the proceeds from such auction or sale shall be used
                to
                discharge the debt secured by the Pledged Equity in
                advance.

            

    

     

     

    
      	
              3.

            	
              Registration
                of Pledge 

            

    

    

    
      	 	
              3.1

            	
              Upon
                the execution of this Agreement, the Pledgors shall cause the Company
                to
                record the Right of Pledge in the register of shareholders and deliver
                it
                with the common seal of the Company as well as the original of equity
                contribution certificate of the Pledgors to the Pledgee for keeping.
                Within the term of this Agreement, Party B shall return the register
                of
                shareholders and equity contribution certificate to the Company for
                modification registration with ABIC, and the Company shall complete
                the
                modification registration within 10 days upon receipt of the register
                of
                shareholders and equity contribution certificate, and Party A together
                with the Company shall continue to deliver such modified register
                of
                shareholders and equity contribution certificate to Party B within
                2 days
                following the completion of the aforesaid
                registration.

            

    

    

    
      	 	
              3.2

            	
              The
                Parties agree that if ABIC accept the registration with respect to
                the
                equity pledge, they will promptly cause the Pledged Equity under
                this
                Agreement to be recorded at ABIC, and the Parties confirm that whether
                the
                Pledged Equity is recorded as above or not shall not affect the validity
                of this Agreement unless compulsorily required by PRC Laws.
                

            

    

    

    
      	 	
              3.3

            	
              After
                the signing of this Agreement, the Pledgors shall in accordance with
                the
                Pledgee’s written request which may be made by the Pledgee from time to
                time, together with the Pledgee, notarized this agreement as well
                as the
                register of shareholders with the recorded Pledged Equity in a notary
                public office as designated by the Pledgee, and Party A and the Company
                shall give assistant with respect to the notarization following the
                delivery of the notice with the request of notarization by Party
                B.
                

            

    

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	
              4.

            	
              Representations
                and Warranties

            

    

    

    
      	 	
              4.1

            	
              Each
                Party under this Agreement represents and warrants to other Parties
                that:
                (1) it has relevant power, rights and authorizations for the execution
                hereof, and performance of the obligations hereunder; 

              (2)
                the execution and performance of this Agreement shall not violate
                or
                conflict with any of the terms and conditions of other agreements
                sighed
                between the Parties. 

            

    

    

    
      	 	
              4.2

            	
              The
                Pledgors represent and warrant to the Pledgee that:

              (1)
                they are the legal owner of the Pledged Equity, and have fulfilled
                the
                obligations of capital contribution in the registered capital of
                the
                Company;

              (2)
                except for the Right of Pledge as setup hereunder, the
                Pledged Equity is not subject to
                any pledge, guaranty or other form of encumbrances;

              (3)
                they do not or will not transfer the Pledged Equity to any third
                party or
                make any agreements, whether oral or written, with respect to the
                transfer
                of Pledged Equity.

            

    

    
      

      
        	 	
                4.3

              	
                The
                  Company
                  agrees to undertake the joint liability with respect to the
                  representations and warrants made by the Pledgors.  

              

      

       

    

     

    
      	
              5.

            	
              Obligations
                of Pledgors 

            

    

    

    
      	 	
              5.1

            	
              The
                dividend and bonus arising from the Pledged Equity shall be deposited
                in
                an escrow account for the supervision of the
                Pledgee.

            

    

    

    
      	 	
              5.2

            	
              Apart
                from the encumbrance set forth hereunder and under the Exclusive
                Purchase
                Option Agreement, without the Pledgee’s prior written consent, the
                Pledgors shall not sell, transfer, mortgage or otherwise dispose
                of the
                Pledged Equity, nor shall place encumbrances on such Pledged
                Equity;

            

    

    

    
      	 	
              5.3

            	
              Without
                the Pledgee’s prior written consent, the Pledgors shall not supplement or
                amend the articles of association of the Company in any manner, nor
                shall
                it increase or decrease the registered capital or change the shareholding
                structure of the Company in any
                manner;

            

    

    

    
      	 	
              5.4

            	
              The
                Pledgors shall cause the Shareholders’ General Meeting not to approve for
                the resolutions on the dissolution, liquidation and change of legal
                form
                of the Company, its subsidiaries wholly owned or controlled by the
                Company; 

            

    

    

    
      	 	
              5.5

            	
              The
                Pledgors shall cause the Shareholders’ General Meeting not to approve for
                any Profit Distribution Proposal, nor shall accept such distributed
                dividend without
                the Pledgee’s prior written consent; At the Pledgee’s request, it shall
                promptly approve for the Profit Distribution Proposal, and accept
                such
                distributed dividend;

            

    

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	 	
              5.6

            	
              At
                the
                Pledgee’s request, the Pledgors shall provide the Pledgee with all
                information regarding the business operation and financial condition
                of
                the Company;

            

    

    

    
      	 	
              5.7

            	
              The
                Pledgors shall not incur or succeed to any debts or liabilities which
                may
                adversely affect their
                equity interests in the Company without the Pledgee’s prior written
                consent;

            

    

    

    
      	 	
              5.8

            	
              The
                Pledgors shall appoint, and appoint only, the candidates nominated
                by
                the
                Pledgee to the board of directors of the Company, and shall not replace
                such candidates without the Pledgee’s prior written consent;
                

            

    

    

    
      	 	
              5.9

            	
              The
                Pledgors shall cause the Board of Directors of the Company not to
                approve
                any acquisition of, any consolidation with, or any investment in
                any third
                party without the
                Pledgee’s prior written consent; 

            

    

    

    
      	 	
              5.10

            	
              The
                Pledgors shall promptly notify
                the Pledgee of any pending or threatened lawsuit, arbitration or
                administrative dispute which involve the assets, business or incomes
                of
                the Company, and take positive measures against aforesaid lawsuits,
                arbitrations or administrative dispute;

            

    

    

    
      	 	
              5.11

            	
              The
                Pledgors shall
                not commit any conducts or omissions that may adversely affect the
                assets,
                business operation, the debts and liabilities of the Company without
                the
                Pledgee’s prior written consent;

            

    

    

    
      	 	
              5.12

            	
              To
                the extent permitted by the PRC laws and regulations, and at any
                time upon
                Pledgee’s request, the Pledgors shall promptly and unconditionally
                transfer their equity interests of the Company to Pledgee or its
                designated third party in accordance with the Exclusive Purchase
                Option
                Agreement, and cause other shareholders waive their rights of first
                refusal with respect to such transfer;

            

    

    

    
      	 	
              5.13

            	
              The
                Pledgors shall cause the directors of the Company approve for the
                resolution in respect of the Equity Transfer or Assets Transfer
                hereunder;

            

    

    

    
      	 	
              5.14

            	
              The
                Pledgors shall make every efforts to cause the
                Company perform the obligations of Article 6
                hereunder;

            

    

     

    
      
        	 	
                5.15

              	
                
                  The
                    Shareholders shall, to the extent permitted by applicable laws,
                    cause the
                    business term of Party C (including the circumstance of change
                    of business
                    terms) not shorter than that of Party B(including the circumstance
                    of
                    change of business terms);

                

              

      

       

    

    
      	 	
              5.16

            	
              The
                Pledgors shall strictly comply with the provisions of this Agreement,
                and
                effectively perform its obligations hereunder, and shall be prohibited
                from committing any act or omission which may affect the validity
                or
                enforceability of this Agreement.

            

    

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	
              6.

            	
              Obligations
                of the Company

            

    

    

    
      	 	
              6.1

            	
              Without
                the
                Pledgee’s prior written consent, it shall not supplement or amend the
                articles of association or rules of the Company, its subsidiaries
                wholly-owned or controlled by the Company in any manner, nor shall
                it
                increase or decrease the registered capital or change the shareholding
                structure of aforesaid entities in any manner; 

            
	 	
              6.2

            	
              It
                shall prudently and effectively maintain its business operations
                according
                to good financial and business standards so as to maintain or increase
                the
                value of its assets; 

            

    

    

    
      	 	
              6.3

            	
              Unless
                as required necessary for the business operation of the
                Company or upon the prior written consent by Party B , it shall not
                transfer, mortgage or otherwise dispose of the lawful rights and
                interests
                to and in its assets or incomes, nor shall it encumber its assets
                and
                income in any way that would affect the Pledgee’s security interests;
                

            

    

    

    
      	 	
              6.4

            	
              It
                shall not incur or succeed to any debts or liabilities unless as
                required
                necessary for the business operation of the
                Company or upon the prior written consent by Party B;
                

            

    

    

    
      	 	
              6.5

            	
              Without
                the
                Pledgee’s prior written consent, it shall not enter into any material
                contract (exceeding RMB5,000,000 in value);

            

    

    

    
      	 	
              6.6

            	
              Without
                the
                Pledgee’s prior written consent, it shall not provide any loans or
                guaranty to any third party; 

            

    

    

    
      	 	
              6.7

            	
              At
                the
                Pledgee’s request, it shall provide the Pledgee with all information
                regarding its business operation and financial condition;
                

            

    

    

    
      	 	
              6.8

            	
              The
                Company shall purchase insurance from insurance companies acceptable
                to
                the Pledgee in such amounts and of such kinds as are customary in
                the
                region among companies doing similar business and having similar
                assets;
                

            

    

    

    
      	 	
              6.9

            	
              Without
                the Pledgee’s prior written consent, it shall not acquire or consolidate
                with any third party, nor shall they invest in any third party;
                

            

    

    

    
      	 	
              6.10

            	
              It
                shall promptly notify
                the Pledgee of any pending or threatened lawsuit, arbitration or
                administrative dispute which involve its assets, business or incomes,
                and
                take positive measures against aforesaid lawsuits, arbitrations or
                administrative dispute; 

            

    

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	 	
              6.11

            	
              Without
                the
                Pledgee’s prior written consent, it shall not distribute any dividends to
                the Pledgors in any manner, and at the Pledgee’s request, it shall
                promptly distribute all distributable dividends to the
                Pledgors.

            
	 	 	 
	 	
              6.12

            	
              Without
                the Pledgee’s prior written consent, it shall not commit any act or
                omission that would materially affect its assets, business or
                liabilities;

            

    

     

     

    
      	
              7.

            	
              Exercise
                of Right of Pledge 

            

    

    

    
      	 	
              7.1

            	
              The
                Pledgee may exercise the Right of Pledge at any time following the
                delivery of Notice of Default as provided in Article 8.2 to the
                Pledgors.

            

    

    

    
      	 	
              7.2

            	
              The
                Pledgee is entitled to be first compensated with the money converted
                from
                or the proceeds from auction or sale of all or part of Pledged Equity
                in
                accordance with legal proceedings unless the Pledgors has duly and
                completely performed the obligations under Main Agreements.
                

            

    

    

    
      	 	
              7.3

            	
              Within
                the term of this Agreement, If the Pledged Equity hereunder is subjected
                to any compulsory measures implemented by a court or other departments
                due
                to the Pledgors’ failing to repay the debts which fall due or violation of
                PRC Laws or state policies etc., the Pledgors shall, 

              (1)
                notify the Pledgee in written form of such compulsory measures within
                three (3) days following its occurrence;

              (2)
                use all efforts (including but not limited to provide other security
                to
                the court or other government authorities), in order to dismiss the
                compulsory measures taken by the court or other government authorities
                over the Pledged Equity.

            

    

    

    
      	 	
              7.4

            	
              The
                Pledgors shall not hinder the Pledgee from exercising the Right of
                Pledge
                and shall give necessary assistance so that the Pledgee could realize
                its
                Right of Pledge. 

            

    

     

     

    
      	
              8.

            	
              Event
                of Default 

            

    

    

    
      	 	
              8.1

            	
              The
                following events shall be regarded as the Events of Default:
                

            

    

    

    
      	 	
              8.1.1

            	
              Any
                Party breaches any of the representations or warranties
                hereunder;

            

    

    

    
      	 	
              8.1.2

            	
              The
                Pledgors and/or the Company breaches any of the representations or
                warranties under the Main
                Agreements;

            

    

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	 	
              8.1.3

            	
              The
                Pledgors and/or the Company fail(s) to duly and completely perform
                the
                obligations hereunder; 

            

    

    

    
      	 	
              8.1.4

            	
              The
                Pledgors and/or the Company fail(s) to duly and completely perform
                the
                obligations under the Main
                Agreements;

            

    

    

    
      	 	
              8.1.5

            	
              Any
                other external borrowing, guaranty, compensation or other liabilities
                of
                the Pledgors: (1) is required for an early repayment or performance
                prior
                to the scheduled date due to any breach by the Pledgors; or (2) is
                due

              but
                can not be repaid or perform as scheduled, which , at the discretion
                of
                the Pledgee, has an adverse effect on the Pledgors’ ability of performing
                the obligations under this
                Agreement;

            

    

    

    
      	 	
              8.1.6

            	
              The
                Company fails to repay the debts which fall
                due;

            

    

    

    
      	 	
              8.1.7

            	
              The
                properties owned by Pledgor have significant adverse changes, which,
                at
                the discretion of Pledgee, has an adverse effect on Pledgor’s ability of
                performing the obligations under this
                Agreement;

            

    

    

    
      	 	
              8.2
                

            	
              Unless
                the Pledgors take the action to Pledgee’s satisfaction to remedy the
                defaults as listed in Article 8.1 hereof, the Pledgee may give a
                written
                notice about default (“Notice of Default”) to the Pledgors when such
                default occurs or at any time thereafter.

            

    

     

     

    
      	
              9.

            	
              Taxes
                and Expenses 

            

    

    

    
      	 	
              9.1

            	
              The
                Parties shall pay, in accordance with relevant PRC laws and regulations,
                their respective taxes and expenses arising from the execution and
                performance of this Agreement.

            

    

     

     

    
      	
              10.

            	
              Assignment 

            

    

    

    
      	 	
              10.1

            	
              The
                Pledgors shall not transfer part or all of the rights and obligations
                under this Agreement without prior written consent from the Pledgee.
                

            

    

    

    
      	 	
              10.2

            	
              To
                the extent being permitted by law, the Pledgee shall
                have the right to transfer any or all of its rights and obligations
                under
                this Agreement to any third party upon a six (6) -day written notice
                to
                the Pledgors or the Company without its
                approval.

            

    

     

     

    
      	
              11.

            	
              Effectiveness
                Modification
                and Cancellation

            

    

    

    
      	 	
              11.1

            	
              This
                Agreement shall be executed on the date set forth in the first page
                and
                shall become effective on the day on which the Pledged Equity is
                recorded
                on the register of the
                shareholders.

            

    

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	 	
              11.2

            	
              The
                modification of this Agreement shall not be effective without written
                agreement through negotiation. If the Parties could not reach an
                agreement, this Agreement remains
                effective.

            

    

    

    
      	 	
              11.3

            	
              This
                Agreement shall not be discharged or canceled without written agreement
                through negotiation.

            

    

    

    
      	 	
              11.4

            	
              If
                the Pledgee fails to provide the loan to the Pledgors in accordance
                with
                the Loan Agreement, this Agreement shall be automatically
                terminated.

            

    

     

     

    
      	
              12.

            	
              Confidentiality

            

    

    

    
      	 	
              12.1

            	
              Any
                information, documents, data and all other materials (herein “Confidential
                Information”) arising out of the negotiation, signing, and implement of
                this Agreement, shall be kept in strict confidence by the Parties.
                Without
                the written approval by the other Parties, any Party shall not disclose
                to
                any third party any Confidential Information, but the following
                circumstances shall be excluded:

            

    

    

    
      	 	
              a.

            	
              The
                materials that is known or may be known by the Public (but not include
                the
                materials disclosed by each Party
                receiving the Confidential
                Information);

            

    

    

    
      	 	
              b.

            	
              The
                materials required to be disclosed subject to the applicable laws or the
                rules or provisions of stock exchange;
                or

            

    

    

    
      	 	
              c.

            	
              The
                materials disclosed by each Party to its legal or financial consultant
                relating the transaction of this Agreement, and this legal or financial
                consultant shall comply with the confidentiality set forth in this
                Section. The disclosure of the Confidential
                Information by staff or employed institution of any Party shall be
                deemed
                as the disclosure of such Confidential Information by such Party,
                and such
                Party shall bear the liabilities for breaching the contract.
                

            

    

    

    
      	 	
              12.2

            	
              This
                Clause shall survive whatever this Agreement is invalid, amended,
                revoked,
                terminated or unable to implement by any
                reason.

            

    

     

     

    
      	
              13.

            	
              Force
                Majeure

            

    

    

    
      	 	
              13.1

            	
              An
                event of force majeure means an event that could not be foreseen,
                and
                could not be avoided and overcome, which includes among other things,
                but
                without limitation, acts of nature (such as earthquake, flood or
                fire),
                government acts, strikes or riots;

            

    

    

    
      	 	
              13.2

            	
              If
                an event of force majeure occurs, any of the Parties who is prevented
                from
                performing its obligations under this Agreement by an event of force
                majeure shall notify the other Parties without delay and within fifteen
                (15) days of the event provide detailed information about and notarized
                documents evidencing the event and take appropriate means to minimize
                or
                remove the negative effects of force majeure on the other Parties,
                and
                shall not assume the liabilities for breaching this Agreement. The
                Parties
                shall keep on performing this Agreement after the event of force
                majeure
                disappears.

            

    

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	
              14.

            	
              Applicable
                Law and Dispute Resolution

            

    

    

    
      	 	
              14.1

            	
              The
                execution, validity, construing and performance of this Agreement
                and the
                disputes resolution under this Agreement shall be governed by the
                laws and
                regulations of the PRC.

            

    

    

    
      	 	
              14.2

            	
              The
                Parties shall strive to settle any dispute arising from or in connection
                with this Agreement through friendly consultation. In case no settlement
                can be reached through consultation within thirty (30) days after
                such
                dispute is raised, each party can submit such matter to Beijing
                Arbitration Commission for arbitration in accordance with its rules.
                The
                arbitration award shall be final conclusive and binding upon the
                Parties.

            

    

    

    
      	 	
              14.3

            	
              During
                the process of dispute-resolution, the Parties shall continue to
                perform
                other terms under this Agreement, except for provision of dispute
                resolution.

            

    

     

     

    
      	
              15.

            	
              Miscellaneous
                

            

    

    

    
      	 	
              15.1

            	
              Entire
                Agreement 

            

    

    

    
      	 	 	
              The
                Parties acknowledge that this Agreement constitutes the entire agreement
                of the Parties with respect to the subject matters therein and supersedes
                and replaces all prior or contemporaneous oral or written agreements
                and
                understandings.

            

    

    

    
      	 	
              15.2

            	
              Successor
                

            

    

    

    
      	 	 	
              This
                Agreement shall bind and benefit the successor of each Party and
                the
                transferee permitted hereunder with the same rights and obligations
                as if
                the original parties hereof. 

            

    

    

    
      	 	
              15.3

            	
              Notice

            

    

    

    
      	 	 	
              Any
                notice required to be given or delivered to the Parties hereunder
                shall be
                in writing and delivered to the address as indicated below or such
                other
                address or as such party may designate, in writing, from time to
                time. All
                notices shall be deemed to have been given or delivered upon by personal
                delivery, fax and registered mail. It shall be deemed to be delivered
                upon: (1) registered air mail: 5 business days after deposit in the
                mail;
                (2) personal delivery or delivery by fax: 2 business days after
                transmission. If the notice is delivered by fax, it should be confirmed
                by
                original through registered air mail or personal delivery. 

               

              The
                Representative designated by Party A 

              Contact
                person: Wang Zhuangyi

              Address:
                Qingkelong, Jingqi Street, Dongfengxin Cun, Daqing 163311

              Tel:
                86-459-4607825

              Fax:0459-4607015

               

              Party
                B

              Contact
                Person: Zhang Yueping 

              Address:
                Hubin No.1-9, Hi-tech Zone, Daqing,163312

              Tel:0459-4607987

              Fax:0459-4607380

               

              Party
                C

              Contact
                person: Wang Zhuangyi

              Address:
                Qingkelong, Jingqi Street, Dongfengxin Cun, Daqing 163311

              Tel:
                86-459-4607825

              Fax:
                86-459-4607015

            

    

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    
      	 	
              15.4

            	
              This
                Agreement is executed in twenty-four (24) originals with each Party
                holding one original, and each of the originals shall be equally
                valid and
                authentic.

            

    

    

    [Signature
      page follows]

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Equity
                  Pledge Agreement

              

      

       

    

    IN
      WITNESS WHEREOF,
      each
      party has caused this Agreement to be executed and delivered as of the date
      first above written. 

    

    Party
      A All
      shareholders of Daqing Qingkelong Chain Commerce&Trade Co.,
      Ltd.

    

    
      	
              Name
                of the Shareholders

            	
              Signature

            	
              Name
                of the Shareholders

            	
              Signature

            
	
              Wang
                Zhuangyi

            	 	
              Zhang
                Lihui

            	 
	
              Wang
                Shuai

            	 	
              Ding
                Yinxia

            	 
	
              Zheng
                Limin

            	 	
              Wang
                Yan

            	 
	
              Teng
                Wenbin

            	 	
              Li
                Jing

            	 
	
              Li
                Zhongfen

            	 	
              Wang
                Shuchang

            	 
	
              Feng
                Shuxia

            	 	
              Cai
                Yingli

            	 
	
              Zhang
                Yuepin

            	 	
              Zhang
                Xueying

            	 
	
              Li
                Xiaoqiu

            	 	
              Yao
                Li

            	 
	
              Fan
                Xishuang

            	 	
              Su
                Zhongbo

            	 
	
              Wei
                Chuanyu

            	 	
              Wang
                Zhanfu

            	 
	
              Han
                Jinhong

            	 	
              Lu
                Anwen

            	 

    

     

    

    Party
      B Speedy
      Brilliant (Daqing) Commercial Consulting Company Limited
      (“Pledgee”)

    

    Legal
      Representative: Wang Zhuangyi

    Signature
      and Company Seal:

    

    Party
      C Daqing
      Qingkelong Chain Commerce&Trade Co. Ltd. (“Company”)

     

    Legal
      Representative: Wang Zhuangyi

    Signature
      and Company seal: 

     

    
      
        
        

      

      
        13Exhibit 10.1 
    

    

    

    
      AGREEMENT

    

    
      This Agreement, dated as of April 1, 2008 (the “Agreement”),
      is by and among Dillard’s Inc., a Delaware corporation (the “Company”),
      and Barington Capital Group, L.P. and certain of its affiliates (“Barington”),
      Clinton Group, Inc. and certain of its affiliates (“Clinton”)
      and RJG Capital Management, LLC and certain of its affiliates (“RJG
      Capital”; Barington, Clinton and RJG Capital each an “Investor”
      and, together, the “Investors”).
    

    
      WHEREAS, the Investors economically own (as defined below) shares
      of Class A Common Stock, $0.01 par value, of the Company (the “Common
      Stock”) as specified on Schedule A of this Agreement
      (the “Shares”);
    

    
      WHEREAS, prior to the date hereof an affiliate of the Investors
      delivered a letter (the “Nomination Notice Letter”) to the
      Company, dated as of March 17, 2008, indicating its intention to
      nominate (the “Nomination”) four individuals for election
      to the Board of Directors of the Company (the “Board”) by
      the Class A Stockholders (the “Class A Stockholders”);
    

    
      WHEREAS, the Company and the Investors have agreed that it is in
      their mutual interests to enter into this Agreement, which, among other
      things, terminates the pending proxy contest for the election of
      directors at the 2008 Annual Meeting (as defined below);
    

    
      WHEREAS, the Company has agreed that in connection with the
      Company’s 2008 Annual Meeting of Stockholders (the “2008
      Annual Meeting”), the Board will nominate for election as a member
      of the Board, and recommend that the Class A Stockholders vote to elect
      as a director of the Company, (i) Nick White and Frank Mori (each, an “Investor
      Nominee”; together, the “Investor Nominees”) and
      (ii) Jimmy Haslam and Brad Martin (each together with the Investor
      Nominees, the “Class A Nominees”); and
    

    
      WHEREAS, the Investors have agreed to refrain from submitting any
      stockholder proposal or director nominations at the 2008 Annual Meeting
      and to vote for the election of the Company’s nominees for directors at
      the 2008 Annual Meeting.
    

    
      NOW, THEREFORE, in consideration of the mutual covenants and
      agreements contained herein, and for other good and valuable
      consideration, the receipt and sufficiency of which is hereby
      acknowledged, the parties hereto agree as follows:
    

    
      ARTICLE I
DEFINITIONS

    

    
      Section 1.1 Defined Terms. For purposes of this Agreement:

    

    
      (a) “Affiliate” has the meaning set forth in Rule 12b-2
      promulgated by the SEC under the Securities Exchange Act of 1934, as
      amended (the “Exchange Act”).

    

    
      (b) “Associate” has the meaning set forth in Rule 12b-2
      promulgated by the SEC under the Exchange Act.

    

    
      (c) The terms “beneficial owner” and “beneficially
      own” have the same meanings as set forth in Rule 13d-3 promulgated
      by the SEC under the Exchange Act. The terms “economic owner”
      and “economically own” shall have the same meanings as
      “beneficial owner” and “beneficially own”, except that a person will
      also be deemed to economically own and to be the economic owner of (i)
      all shares of capital stock of the Company which such person has the
      right to acquire pursuant to the exercise of any rights in connection
      with any securities or any agreement, regardless of when such rights may
      be exercised and whether they are conditional, and (ii) all shares of
      capital stock of the Company in which such person has any long economic
      interest, including pursuant to a cash settled call option or other
      derivative security, contract or instrument (but excluding, for
      avoidance of doubt, put options and other short position securities)

    

    
      
        

        

      

      
        
          1
        

        
          

        

      

      
        

        

      

    

    
      Section 1.2 Interpretation. When reference is made in this
      Agreement to a Section, such reference shall be to a Section of this
      Agreement unless otherwise indicated. Whenever the words “include”,
      “includes” or “including” are used in this Agreement, they shall be
      deemed to be followed by the words “without limitation.” The words
      “hereof,” “herein,” “hereby” and “hereunder” and words of similar import
      when used in this Agreement shall refer to this Agreement as a whole and
      not to any particular provision of this Agreement. The word “or” shall
      not be exclusive. This Agreement shall be construed without regard to
      any presumption or rule requiring construction or interpretation against
      the party drafting or causing any instrument to be drafted.

    

    
      ARTICLE II
COVENANTS

    

    
      Section 2.1 Board of Directors, Annual Meeting and Related Matters.

    

    
      (a) Nomination of New Directors. The Company agrees that at the
      2008 Annual Meeting, the Board will:

    

    
      (1) nominate each of the Class A Nominees as a director of the Company
      whose term shall expire at the 2009 Annual Meeting; and

    

    
      (2) cause all proxies received by the Company to be voted in the manner
      specified by such proxies.

    

    
      (b) Election of New Directors. The Company shall use all
      reasonable best efforts to ensure that each of the Class A Nominees are
      elected by Class A Stockholders at the 2008 Annual Meeting including,
      without limitation, recommending that the Company’s stockholders vote in
      favor of the election of the Class A Nominees at the 2008 Annual
      Meeting. Neither the Board nor the Company shall take any position, make
      any statements or take any action inconsistent with such recommendation.

    

    
      (c) Qualifications. Prior to the execution of this Agreement, the
      Executive Committee of the Board has reviewed and approved the
      qualifications of each of the Class A Nominees to serve as members of
      the Board and has determined that each of the Class A Nominees (i) is
      “independent” as defined by the listing standards of the New York Stock
      Exchange and in accordance with requirements of Article III, Section 2
      of the Bylaws of the Company and (ii) is otherwise qualified to serve as
      a Class A director of the Company.

    

    
      (d) Role of Nominees. Each of the Class A Nominees, upon election
      to the Board, will serve as an integral member of the Board and will be
      governed by the same protections and obligations regarding
      confidentiality, conflicts of interests, fiduciary duties, trading and
      disclosure policies and other governance guidelines, and shall have the
      same rights and benefits, including, without limitation, with respect to
      insurance, indemnification, compensation and fees, as are applicable to
      all independent directors of the Company. In addition, at least one of
      the Class A Nominees shall be nominated and recommended by management to
      serve on (i) the Audit Committee and (ii) the Stock Option and Executive
      Compensation Committee (except to the extent, if any, that none of the
      Class A Nominees is qualified to serve on such a committee under
      applicable law or New York Stock Exchange rules).

    

    
      
        

        

      

      
        
          2
        

        
          

        

      

      
        

        

      

    

    
      (e) Proxy Solicitation Materials. The Company and the Board agree
      that the Company’s proxy statement for the 2008 Annual Meeting and all
      other solicitation materials to be delivered to stockholders in
      connection with the 2008 Annual Meeting (in each case excepting any
      materials delivered prior to the date hereof) shall be prepared in
      accordance with, and in furtherance of, this Agreement. The Company will
      provide the Investors with copies of any portion of proxy materials or
      other solicitation materials that contain statements relating to the
      Investors, the Investor Nominees and this Agreement at least two
      business days in advance of filing such materials with the SEC or
      disseminating the same in order to permit the Investors a reasonable
      opportunity to review and comment on such materials, and will consider
      in good faith any comments received by the Investors and their counsel.
      The Investors will provide, as promptly as reasonably practicable, all
      information relating to the Investor Nominees (and other information, if
      any) to the extent required under applicable law to be included in the
      Company’s proxy statement and any other solicitation materials to be
      delivered to stockholders in connection with the 2008 Annual Meeting.
      The proxy statement for the 2008 Annual Meeting shall contain the same
      type of information concerning the Investor Nominees as provided for the
      Company’s other director nominees.

    

    
      (f) Replacement Directors. If at any time prior to the Company’s
      2009 Annual Meeting of Stockholders (the “2009 Annual Meeting”)
      any Investor Nominee is unable or unwilling to serve (or continue to
      serve) as a director of the Company for any reason, then the Investors
      shall be entitled to designate a replacement Investor Nominee subject to
      the consent of the Company, such consent not to be unreasonably
      withheld, delayed or conditioned (any replacement Investor Nominee
      selected in accordance with this Section 2.1(f), a “Replacement
      Nominee”), and such Replacement Nominee shall be deemed an Investor
      Nominee for all purposes of this Agreement. In proposing an individual
      as a Replacement Nominee pursuant to this Section 2.1(f), the Investors
      shall provide the Company with such information regarding such
      individual as would be required to nominate such individual as a
      director pursuant to Article III, Section 16 of the Company’s By-laws.

    

    
      (g) Expenses. Within five business days from the date of this
      Agreement, the Company shall pay the Investors $200,000 to reimburse the
      Investors for their expenses incurred prior to the date of this
      Agreement in connection with the Nomination, the contemplated proxy
      solicitation, the drafting, negotiation and execution of this Agreement
      and all of their other activities and matters related to the foregoing,
      including, without limitation, the preparation of related filings with
      the SEC and the fees and disbursements of counsel, proxy solicitors,
      public relations firms, consultants and other advisors, provided the
      Investors provide reasonable documentation with respect to such
      expenses. The Investors hereby agree that such payment shall be in full
      satisfaction of any claims or rights they may have as of the date hereof
      for reimbursement of fees, expenses or costs in connection therewith.

    

    
      (h) Capital Structure. The Company and the Board agree to examine
      in good faith and take commercially reasonable steps to achieve (in a
      manner consistent with any applicable laws or fiduciary duties) an
      optimal capital structure for the Company, which steps may include
      repurchase of shares of Common Stock (as operating profits, capital
      markets, and any other applicable considerations and constraints permit).

    

    
      Section 2.2 Voting Provisions. The Investors, together with their
      respective Affiliates, will cause all shares of Common Stock for which
      they have the right to vote as of the record date for the 2008 Annual
      Meeting to be present for quorum purposes and to be voted at such
      meeting or at any adjournments or postponements thereof (a) in favor of
      each director nominated and recommended by the Board for election at
      such meeting and (b) against any stockholder nominations for director
      which are not approved and recommended by the Board for election at such
      meeting, provided that the slate of directors nominated and recommended
      by the Board includes the Class A Nominees.

    

    
      
        

        

      

      
        
          3
        

        
          

        

      

      
        

        

      

    

    
      Section 2.3 Undertakings by the Investors. By executing this
      Agreement, the Investors hereby (i) irrevocably withdraw the Nomination
      Notice Letter and any nominations to the Board made prior to the date
      hereof, (ii) irrevocably withdraw the demand to inspect certain of the
      Company’s books and records, pursuant to a demand letter, dated as of
      March 20, 2008, sent by affiliates of the Investors to the Company and
      (iii) agree to terminate the pending proxy contest with respect to the
      election of directors at the 2008 Annual Meeting. Within two business
      days of the date of this Agreement, the Investors shall file, or cause
      to be filed on its behalf, with the SEC an amendment to its Schedule 13D
      with respect to the Company disclosing the material contents of this
      Agreement.

    

    
      Section 2.4 Publicity. Promptly after the execution of this
      Agreement, the Company will issue a press release in the form attached
      hereto as Schedule B.

    

    
      ARTICLE III
OTHER PROVISIONS

    

    
      Section 3.1 Representations and Warranties.

    

    
      (a) Representations and Warranties of the Company. The Company
      hereby represents and warrants that this Agreement and the performance
      by the Company of its obligations hereunder (i) has been duly
      authorized, executed and delivered by it, and is a valid and binding
      obligation of the Company, enforceable against the Company in accordance
      with its terms, (ii) does not require the approval of the stockholders
      of the Company and (iii) does not and will not violate any law, any
      order of any court or other agency of government, the Certificate of
      Incorporation of the Company, as amended, or the By-Laws of the Company,
      as amended, or any provision of any indenture, agreement or other
      instrument to which the Company or any of its properties or assets is
      bound, or conflict with, result in a breach of or constitute (with due
      notice or lapse of time or both) a default under any such indenture,
      agreement or other instrument, or result in the creation or imposition
      of, or give rise to, any lien, charge, restriction, claim, encumbrance
      or adverse penalty of any nature whatsoever pursuant to any such
      indenture, agreement or other instrument.

    

    
      (b) Representations and Warranties of the Investors. Each of the
      Investors represents and warrants that this Agreement and the
      performance by each such Investor of its obligations hereunder has been
      duly authorized, executed and delivered by such Investor, and is a valid
      and binding obligation of such Investor, enforceable against such
      Investor in accordance with its terms. Each Investor hereby further
      represents and warrants that, as of the date hereof, it and its
      Affiliates and Associates are, collectively, the economic owners of such
      number of shares of Common Stock as are respectively set forth on Schedule
      A of this Agreement.

    

    
      Section 3.2 Confidentiality. The Company has no obligation to
      furnish Confidential Information to the Investors or their respective
      representatives by virtue of this Agreement except for Confidential
      Information provided to the Investor Nominees in their capacity as
      directors (and as nominees for director) of the Company. Each of the
      Investors hereby acknowledges that it is aware that the United States
      securities laws prohibit any person who has material, non-public
      information with respect to the Company from transacting in the
      securities of the Company or from communicating such information to any
      other person under circumstances in which it is reasonably foreseeable
      that such person is likely to transact in such securities.

    

    
      
        

        

      

      
        
          4
        

        
          

        

      

      
        

        

      

    

    
      Section 3.3 Remedies.

    

    
      (a) Each party hereto hereby acknowledges and agrees, on behalf of
      itself and its Affiliates, that irreparable harm would occur in the
      event any of the provisions of this Agreement were not performed in
      accordance with their specific terms or were otherwise breached. It is
      accordingly agreed that the parties will be entitled to specific relief
      hereunder, including an injunction or injunctions to prevent and enjoin
      breaches of the provisions of this Agreement and to enforce specifically
      the terms and provisions hereof in any state or federal court in the
      State of New York, in addition to any other remedy to which they may be
      entitled at law or in equity. Any requirements for the securing or
      posting of any bond with such remedy are hereby waived.

    

    
      (b) Each party hereto agrees, on behalf of itself and its Affiliates,
      that any actions, suits or proceedings arising out of or relating to
      this Agreement or the transactions contemplated hereby will be brought
      solely and exclusively in any state or federal court in the State of New
      York (and the parties agree not to commence any action, suit or
      proceeding relating thereto except in such courts), and further agrees
      that service of any process, summons, notice or document by U.S.
      registered mail to the respective addresses set forth in Section 3.5
      will be effective service of process for any such action, suit or
      proceeding brought against any party in any such court. Each party, on
      behalf of itself and its Affiliates, irrevocably and unconditionally
      waives any objection to the laying of venue of any action, suit or
      proceeding arising out of this Agreement or the transactions
      contemplated hereby, in the state or federal courts in the State of New
      York, and hereby further irrevocably and unconditionally waives and
      agrees not to plead or claim in any such court that any such action,
      suit or proceeding brought in any such court has been brought in an
      improper or inconvenient forum.

    

    
      Section 3.4 Entire Agreement. This Agreement contains the entire
      understanding of the parties with respect to the subject matter hereof
      and may be amended only by an agreement in writing executed by the
      parties hereto.

    

    
      Section 3.5 Notices.

    

    
      All notices, consents, requests, instructions, approvals and other
      communications provided for herein and all legal process in regard
      hereto shall be in writing and shall be deemed validly given, made or
      served, if (a) given by telecopy, when such telecopy is transmitted to
      the telecopy number set forth below and the appropriate confirmation is
      received or (b) if given by any other means, when actually received
      during normal business hours at the address specified in this subsection:

    

    	
           
        	
          if to the Company:
        	
          Dillard’s Inc.

          
            Post Office Box 486
          

          
            Little Rock, AK 72203
          

          
            Facsimile: (501) 376-5031
          

          
            Attention: General Counsel
          

        
	

        	

        	
           
        
	

        	
          with a copy to:
        	
          Simpson Thacher & Bartlett LLP

          
            425 Lexington Avenue
          

          
            New York, New York 10017
          

          
            Facsimile: (212) 455-2502
          

          
            Attention: Gary Horowitz
          

          
            Mario Ponce
          

        

    
      
        

        

      

      
        
          5
        

        
          

        

      

      
        

        

      

    

    	
           
        	
          if to the Investors:
        	
          Barington Capital Group, L.P.

          
            888 Seventh Avenue, 17th Floor
          

          
            New York, New York 10019
          

          
            Facsimile: (212) 586-7684
          

          
            Attention: James A. Mitarotonda
          

        
	

        	

        	
           
        
	

        	

        	
          Clinton Group, Inc.

          
            9 West 57th Street, 26th Floor
          

          
            New York, New York 10019
          

          
            Facsimile: (212) 825-0084
          

          
            Attention: Vincent Darpino, Esq.
          

        
	

        	

        	
           
        
	

        	
          with a copy to:
        	
          
            Kramer Levin Naftalis & Frankel LLP
          

          
            1177 Avenue of the Americas
          

          
            New York, New York 10036
          

          
            Facsimile: (212) 715-8000
          

          
            Attention: Peter G. Smith, Esq.
          

        
	

        	

        	
           
        
	

        	

        	
          
            Schulte Roth & Zabel LLP
          

          
            919 Third Avenue
          

          
            New York, New York 10022
          

          
            Facsimile: (212) 715-5955
          

          
            Attention: Marc Weingarten, Esq.
          

        

    
      Section 3.6 Governing Law. This Agreement shall be governed by
      and construed and enforced in accordance with the laws of the State of
      New York, without giving effect to the choice of law principles of such
      state.
    

    
      Section 3.7 Further Assurances. Each party agrees to take or
      cause to be taken such further actions, and to execute, deliver and file
      or cause to be executed, delivered and filed such further documents and
      instruments, and to obtain such consents, as may be reasonably required
      or requested by the other party in order to effectuate fully the
      purposes, terms and conditions of this Agreement.
    

    
      Section 3.8 Third-Party Beneficiaries. This Agreement shall inure
      to the benefit of and be binding upon the parties hereto and their
      respective successors and assigns, and nothing in this Agreement is
      intended to confer on any person other than the parties hereto or their
      respective successors and assigns, any rights, remedies, obligations or
      liabilities under or by reason of this Agreement.
    

    
      Section 3.9 Counterparts. This Agreement may be executed in one
      or more counterparts, each of which shall be deemed an original, but all
      of which together shall constitute one and the same instrument.
    

    
      [Remainder of Page Left Blank Intentionally]

    

    
      
        

        

      

      
        
          6
        

        
          

        

      

      
        

        

      

    

    

    

    
      IN WITNESS WHEREOF, each of the parties hereto has executed this
      Agreement, or caused the same to be executed by its duly authorized
      representative as of the date first above written.

    

    
                                                                 DILLARD’S
      INC. 
    

    
                                                                 By:   /s/
      Paul J. Schroeder, Jr.
    

    
                                                                       Name:      Paul
      J. Schroeder, Jr.
    

    
                                                                       Title:
          Vice President and General Counsel

    

    
                                                                 THE
      INVESTORS: 

    

    
                                                                 BARINGTON
      COMPANIES EQUITY PARTNERS, L.P.
    

    
                                                                 By: Barington
      Companies Investors, LLC, its general partner
    

    
                                                                 By:   /s/
      James A. Mitarotonda
    

    
                                                                       Name:      James
      A. Mitarotonda
    

    
                                                                       Title:
          Managing Member

    

    
                                                                 BARINGTON
      COMPANIES INVESTORS, LLC
    

    
                                                                 By:   /s/
      James A. Mitarotonda
    

    
                                                                       Name:      James
      A. Mitarotonda
    

    
                                                                       Title:
          Managing Member

    

    
                                                                 BARINGTON
      INVESTMENTS, L.P.
    

    
                                                                 By: Barington
      Companies Advisors, LLC, its general partner
    

    
                                                                 By:   /s/
      James A. Mitarotonda
    

    
                                                                       Name:      James
      A. Mitarotonda
    

    
                                                                       Title:
          Managing Member

    

    
                                                                 BARINGTON
      COMPANIES ADVISORS, LLC
    

    
                                                                 By:   /s/
      James A. Mitarotonda
    

    
                                                                       Name:      James
      A. Mitarotonda
    

    
                                                                       Title:
          Managing Member
    

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    
                                                                 BARINGTON
      COMPANIES OFFSHORE FUND, LTD.
    

    
                                                                 By:   /s/
      James A. Mitarotonda
    

    
                                                                       Name:      James
      A. Mitarotonda
    

    
                                                                       Title:
          Authorized Signatory

    

    
                                                                 BARINGTON
      OFFSHORE ADVISORS II, LLC
    

    
                                                                 By:   /s/
      James A. Mitarotonda
    

    
                                                                       Name:      James
      A. Mitarotonda
    

    
                                                                       Title:
          Managing Member

    

    
                                                                 BARINGTON
      CAPITAL GROUP, L.P.
    

    
                                                                 By: LNA
      Capital Corp., its general partner
    

    
                                                                 By:   /s/
      James A. Mitarotonda
    

    
                                                                       Name:      James
      A. Mitarotonda
    

    
                                                                       Title:
          President and CEO

    

    
                                                                 LNA
      CAPITAL CORP.
    

    
                                                                 By:   /s/
      James A. Mitarotonda
    

    
                                                                       Name:      James
      A. Mitarotonda
    

    
                                                                       Title:
          President and CEO

    

    
                                                                 RJG
      CAPITAL PARTNERS, L.P.
    

    
                                                                 By: RJG
      Capital Management, LLC, its general partner
    

    
                                                                 By:   /s/
      Ronald Gross.
    

    
                                                                       Name:      Ronald
      Gross
    

    
                                                                       Title:
          Managing Member

    

    
                                                                 RJG
      CAPITAL MANAGEMENT, LLC
    

    
                                                                 By:   /s/
      Ronald Gross.
    

    
                                                                       Name:      Ronald
      Gross
    

    
                                                                       Title:
          Managing Member
    

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    
                                                                 CLINTON
      MULTISTRATEGY MASTER FUND, LTD.
    

    
                                                                 By: Clinton
      Group, Inc., its investment manager
    

    
                                                                 By:   /s/
      Francis Ruchalski
    

    
                                                                       Name:      Francis
      Ruchalski
    

    
                                                                       Title:
          Chief Financial Officer

    

    
                                                                 CLINTON
      SPECIAL OPPORTUNITIES MASTER FUND, LTD.
    

    
                                                                 By: Clinton
      Group, Inc., its investment manager
    

    
                                                                 By:   /s/
      Francis Ruchalski
    

    
                                                                       Name:      Francis
      Ruchalski
    

    
                                                                       Title:
          Chief Financial Officer

    

    
                                                                 CLINTON
      MAGNOLIA MASTER FUND, LTD.
    

    
                                                                 By: Clinton
      Group, Inc., its investment manager
    

    
                                                                 By:   /s/
      Francis Ruchalski
    

    
                                                                       Name:      Francis
      Ruchalski
    

    
                                                                       Title:
          Chief Financial Officer

    

    
                                                                 CLINTON
      LEXINGTON MASTER FUND, L.P.
    

    
                                                                 By: Clinton
      Group, Inc., its investment manager
    

    
                                                                 By:   /s/
      Francis Ruchalski
    

    
                                                                       Name:      Francis
      Ruchalski
    

    
                                                                       Title:
          Chief Financial Officer

    

    
                                                                 CLINTON
      GROUP, INC.
    

    
                                                                 By:   /s/
      Francis Ruchalski
    

    
                                                                       Name:      Francis
      Ruchalski
    

    
                                                                       Title:
          Chief Financial Officer
    

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    
      SCHEDULE A
    

    

    

    

    

    	
          
            Entity
          

        	
          
            Number of Shares
          

          
            Economically Owned
          

        
	
          Barington
        	
          2,034,869
        
	

        	
           
        
	
          Clinton
        	
          1,762,150
        
	

        	
           
        
	
          RJG Capital
        	
          11,500
        
	

        	
           
        
	
          Total
        	
          3,808,519
        

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    
      SCHEDULE B
    

    
      Agreed form of Press Release

    

    
      DILLARD’S REACHES SETTLEMENT AGREEMENT WITH BARINGTON AND CLINTON

    

    
      Little Rock, Ark. – April 1, 2008 – Dillard’s, Inc. (NYSE: DDS)
      announced today that it has reached an agreement with Barington Capital
      Group, L.P. and Clinton Group, Inc., in conjunction with Southeastern
      Asset Management, that will avoid a proxy contest at the Company’s 2008
      Annual Meeting of Stockholders scheduled for May 17, 2008.

    

    
      The Company has agreed to nominate the following candidates for the
      slate of Class A directors at the annual meeting: James A. Haslam, III,
      Chief Executive Officer of Pilot Travel Centers LLC; R. Brad Martin,
      former chairman and CEO of Saks Inc.; Frank R. Mori, Co-Chief Executive
      Officer and President of Takihyo Inc. and former President and CEO of
      Anne Klein, Inc. and former CEO and founding Partner of Donna Karan
      International; and Nick White, President and Chief Executive Officer of
      White & Associates and former Executive Vice President and General
      Manager of the Supercenter division of Wal-Mart Stores, Inc.

    

    
      Barington and Clinton have agreed to cease their efforts to elect a
      slate of four nominees to the Dillard’s Board of Directors at the 2008
      annual meeting and to vote for the election of the company’s nominees.

    

    
      Chairman and CEO William (Bill) Dillard II, said, “We are pleased to
      have reached an agreement with Barington and Clinton. Both the Board and
      management welcome the perspectives and insights of our proposed new
      directors. The Class B board members are committed to working with the
      new Class A board members to ensure that the best operating plan and
      management team possible are in place.”

    

    
      Dillards is committed to reviewing whether the company’s real estate
      assets and capital are being optimally deployed to prudently build the
      most value per share for long-term owners. Specifically, the company
      plans to close underperforming stores in order to rationalize real
      estate as soon as possible, will cut unnecessary costs, and subject all
      future commitments for new stores to strict return on capital
      requirements that will be set by the board and management.

    

    
      About Dillard’s
Dillard’s, Inc. is one of the nation’s largest
      fashion apparel and home furnishing retailers. The Company’s stores
      operate with one name, Dillard’s, and span 29 states. Dillard’s stores
      offer a broad selection of merchandise, including products sourced and
      marketed under Dillard’s exclusive brand names.

    

    
      Forward-Looking Information
The information above contains certain
      forward-looking statements. The following are or may constitute forward
      looking statements within the meaning of the Private Securities
      Litigation Reform Act of 1995: (a) words such as “may,” “will,” “could,”
      “believe,” “expect,” “future,” “potential,” “anticipate,” “intend,”
      “plan,” “estimate,” “continue,” or the negative or other variations
      thereof, and (b) statements regarding matters that are not historical
      facts. The Company cautions that forward-looking statements contained in
      this report are based on estimates, projections, beliefs and assumptions
      of management and information available to management at the time of
      such statements and are not guarantees of future performance. The
      Company disclaims any obligation to update or revise any forward-looking
      statements based on the occurrence of future events, the receipt of new
      information, or otherwise. Forward-looking statements of the Company
      involve risks and uncertainties and are subject to change based on
      various important factors. Actual future performance, outcomes and
      results may differ materially from those expressed in forward-looking
      statements made by the Company and its management as a result of a
      number of risks, uncertainties and assumptions. Representative examples
      of those factors include (without limitation) general retail industry
      conditions and macro-economic conditions in markets in which the Company
      operates; changes in operating expenses, including employee wages,
      commission structures and related benefits.

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