After reporting a third-quarter loss of $50.3 million in December, Pier 1 Imports Inc. announced that the current CEO has stepped down. Now, in a letter to the Texas Workforce Commission, the company says it will partially shutdown its Mansfield fulfillment center, resulting in the layoff of 65 employees. The layoffs will occur on March 8, according to the letter. The center is located at 2200 Heritage Parkway in Mansfield.
After announcing the third quarter results and the departure of the CEO, the Fort Worth-based home furnishings retailer announced the appointment of Cheryl A. Bachelder, a member of the company’s Board of Directors and a former CEO of Popeye’s, as interim CEO. Bachelder succeeds Alasdair B. James, who has stepped down from the company.
Pier 1 also said it was taking actions to enhance shareholder value and position the company for long-term growth and profitability.
The company also announced Jan. 14 that it received notification from the New York Stock Exchange (NYSE) on January 11, 2019 that the company is no longer in compliance with NYSE continued listing criteria that require listed companies to maintain an average closing share price of at least $1.00 over a consecutive 30 trading-day period.
In accordance with NYSE rules, Pier 1 has a period of six months from receipt of the notice to regain compliance with the NYSE’s minimum share price requirement, with the possibility of extension at the discretion of the NYSE. Under NYSE rules, the company’s common stock will continue to be listed and trade on the NYSE during this period, subject to Pier 1’s compliance with other NYSE continued listing requirements. The Company plans to notify the NYSE within 10 business days of its intent to cure the deficiency. Measures to regain compliance could include a reverse stock split of Pier 1 common stock, subject to shareholder approval.
Pier 1’s stock is currently trading for less than 90 cents.
