Pier 1 Issues Profit Warning as CFO Quits

Pier 1 Imports Inc. warned that profit for its fiscal second quarter will be as much as a third less than analysts’ forecasts because of slumping sales, and said its chief financial officer has resigned. The home furnishings retailer also said it ended talks with a possible acquisition candidate, which it didn’t identify other than to say it was in the “home fashion and decorative accessory sector.” Pier 1 said sales at its stores open at least a year dropped 9.9% in July, more than expected, and it now expects earnings of 12 cents to 14 cents a share for the quarter ending this month. Analysts forecast 18 cents, the average estimate from First Call Corp. No reason was given for the resignation of CFO Stephen Mangum, and officials couldn’t be reached for comment. Pier 1 said it named Charles Turner, senior vice president for stores, to succeed Mangum. The Fort Worth-based company made its announcements after the close of trading. Its shares fell 38 cents to close at $8.75 on the New York Stock Exchange.