Facing mounting losses and talk of bankruptcy, Fort Worth-based retailer Pier 1 Imports announced Monday it plans to close 450 stores nationwide.
The 450 closures represent nearly half of its 1,000 North American stores located in all 50 states and Canada. A listing of which stores will be closed has not yet been released.
The company also said it would close some distribution centers and cut corporate headcount.
The company made the announcement at the same time it revealed growing third-quarter losses of 13.3% and an 11.4% drop in same-store sales.
Pier 1 has posted sales declines in each quarter over the last two years.
“Fiscal third-quarter sales and margins remained under pressure,” CEO Robert Riesbeck said in a statement. “Looking ahead, we believe that we will deliver improved financial results over time as we realize the benefits of our business transformation and cost-reduction initiatives.”
Riesbeck, who became chief executive in November, said the closures will allow the company "to move forward with an appropriately sized store footprint and operating structure as an omni-channel retailer, and better position Pier 1 to meet our customers where they shop."
Business News
Bloomberg reported the company is weighing bankruptcy and may lay off 300 corporate workers. The company currently employs approximately 20,000 people worldwide.
Trades in Pier 1’s stock were briefly halted Monday because of volatility, CNBC reported.
