19 May 2020 20:37

Pier 1

Home decor and furniture retailer Pier 1 Imports Inc said on Tuesday it has filed to seek bankruptcy court approval to wind down its operations as the impact of the COVID-19 pandemic hampered the ability for it to find a buyer. Continue Reading Below CORONAVIRUS FALLOUT CLAIMS NEIMAN MARCUS AS RETAILER FILES FOR BANKRUPTCY PROTECTION Pier 1, which operates about 541 stores in the U.S., said in a statement that it intends to sell its inventory and remaining assets, including its intellectual property and e-commerce business, through a court-supervised process. "Unfortunately, the challenging retail environment has been significantly compounded by the profound impact of COVID-19, hindering our ability to secure such a buyer and requiring us to wind down," Chief Executive Officer Robert Riesbeck said. J.C. PENNEY TO PERMANENTLY CLOSE ABOUT 242 STORES AS PART OF BANKRUPTCY PLAN Pier 1 said it will continue to serve its customers through its online operations, Pier1.com, and will start closing stores and begin sales liquidation once stores can reopen based on COVID-19 guidelines from local government officials. The company's debtor-in-possession financiers have agreed to allow the company to overdraw about $40 million to support operations through the wind-down period, it added.

Pier 1 seeks to wind down operations as pandemic foils search for buyer

GET FOX BUSINESS ON THE GO BY CLICKING HERE The Fort Worth, Texas-based company had earlier in the year in February filed for Chapter 11 bankruptcy protection and was pursuing a sale, a month after announcing plans for up to 450 store closures and the shut down of two distribution centers. CLICK HERE TO READ MORE ON FOX BUSINESS (Reporting by Rebekah Mathew in Bengaluru; Editing by Bernard Orr)