FORT WORTH, Texas–Pier 1 Imports has begun negotiating with landlords to secure rental reductions across the chain. If rental reduction negotiations on those locations are unsuccessful, they may lead to early termination agreements for up to 125 underperforming stores.
DJM Realty has been hired to assist in the negotiations, which should be completed by late May, Pier 1 said in a statement.
Pier 1 also announced plans to close its company-owned 514,000-square-foot distribution center in St. Charles, Ill., and to reduce approximately 10 percent of its equivalent positions in its distribution center, home office and field administration areas.
The retailer expects to incur about $5 million in costs related to these moves.