Duckwall-ALCO Stores, a discount and hometown variety store operator based in Kansas, went out to the market to find a new lender and switched from incumbent Bank of America to Fleet Retail Finance. "We have had an ongoing relationship with Bank of America that goes back at least five years," said Dick Mansfield, v.p. of finance, treasurer and cfo, of the company. "As the maturity approached on April 15, we saw what was available and looked to find the best strategic fit," he added, noting "it was very competitive, but it always has been. We have a strong balance sheet, the kind of deal banks like to do."
"After a selection process, we opted for Fleet as the lead agent and Wells Fargo later came on board and took half of the $70 million line," Mansfield noted. The banks provide us with the credit line, but also they can handle specific needs, he added, declining to say what the needs are. Fleet Retail Finance is a division of FleetBoston Financial and contains many former retailers in its ranks. "Bank of America no longer has any connection to Duckwall, but we would consider them in the future," Mansfield noted. The pricing and conditions are similar to the old line. The asset-based B of A revolver was $70 million with a maturity of three years, but was extended an additional twelve months last year. Mansfield would not disclose pricing on the two lines.