(CNN) - Pier 1 Imports may be getting ready to file for bankruptcy, as the home furnishings retailer will soon downsize significantly.
The company announced Monday it will close up to 450 locations along with certain distribution centers in an effort to reduce expenses. The company has 936 locations.
“Although decisions that impact our associates are never easy, reducing the number of our brick-and-mortar locations is a necessary business decision," Pier 1 CEO Robert Riesbeck said.
Wall Street reacted harshly to the announcement, as shares dropped nearly 17%. The stock price has gone from around $300 five years ago to $5 in 2020.
Pier 1′s latest quarter of in-store sales was 11% lower than the previous year.
The company’s first store opened in 1962.