Make wishtv.com your home page

Pier 1 files for bankruptcy protection amid online challenge

MIAMI, FLORIDA - JANUARY 07: The exterior of a Pier 1 Imports store is seen as the company announced plans to close up to 450 locations on January 07, 2020 in Miami, Florida. The announcement made yesterday cited the need for the company to better align its business with the current operating environment. (Photo by Joe Raedle/Getty Images)

(AP) – Home goods retailer Pier 1 Imports Inc. said Monday that it has filed for bankruptcy protection.

The Fort Worth, Texas-based company, which was founded in 1962, has been struggling with increased competition from online retailers such as Wayfair. Pier 1 said it will pursue a sale, with a March 23 deadline to submit bids.

In the meantime, Pier 1 said lenders have committed approximately $256 million in debtor-in-possession financing so it can continue its operations during the Chapter 11 proceedings.

Pier 1’s sales fell 13% to $358 million in its most recent quarter, which ended Nov. 30. It reported a net loss of $59 million for the quarter as it struggled to draw customers to its stores.

Last month, Pier 1 announced it would close 450 stores, including all of its stores in Canada. The company is also closing two distribution centers.