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US furnishings store Pier 1 files for bankruptcy
[SAN FRANCISCO] US chain store Pier 1, best known for its imported home furnishings, filed for bankruptcy on Monday after years of weakening sales and a struggle to establish itself online.
The Texas-based company said it was seeking a buyer after efforts to transform the business model by closing 450 stores and cutting costs failed.
"Today's actions are intended to provide Pier 1 with additional time and financial flexibility as we now work to unlock additional value for our stakeholders through a sale of the company," CEO Robert Riesbeck said.
He said the firm was "pleased with the initial interest as we engage in discussions with potential buyers."
In a statement, Pier 1 said it had received a commitment of US$256 million in financing from Bank of America, Wells Fargo and others.
It said its remaining stores and website remained open for business.