Pier 1 Reports 3Q Loss, Faces Delisting

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    Struggling home accessories retailer Pier 1 Imports Inc. said its fiscal losses have widened and it could face delisting if its stock price does not improve. (Photo by Scott Olson/Getty Images)

    Struggling home accessories retailer Pier 1 Imports Inc. said Thursday its fiscal third-quarter loss widened and said it could face delisting if its stock price does not improve.

    The North Texas company's loss for the quarter ended Nov. 29 widened to $36.9 million, or 41 cents per share, from $10 million, or 11 cents per share last year.

    Revenue fell 20 percent to $300.9 million from $374.2 million last year.

    Analysts surveyed by Thomson Reuters, on average, expected a smaller loss of 26 cents per share on revenue of $309.6 million.

    Chief Executive Alex Smith, who has been working to reverse falling sales since joining in 2007, said the "raw numbers" were "extremely disappointing, but not a surprise."

    However, he added that merchandise offering and in-store service is "significantly" better than last year, but the recession and downturn in consumer spending hurt results.

    Smith added that the company planned to return to profitability in 2010 but the recession has "slowed our speed and increased our timeline."

    The New York Stock Exchange warned the company Monday it was facing delisting if its share price does not have an average price of $1 over a consecutive 30-day trading period within the next six months.

    "We have been and will continue to proactively work with the NYSE to maintain our NYSE listing," Smith said.

    Shares closed at 43 cents on Wednesday.