Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jun. 02, 2018 | Jul. 06, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 2, 2018 | |
Document Fiscal Year Focus | 2,019 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | PIR | |
Entity Registrant Name | PIER 1 IMPORTS INC/DE | |
Entity Central Index Key | 278,130 | |
Current Fiscal Year End Date | --03-02 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 85,674,803 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Jun. 02, 2018 | May 27, 2017 | |
Income Statement [Abstract] | ||
Net sales | $ 371,864 | $ 409,525 |
Cost of sales | 251,725 | 257,928 |
Gross profit | 120,139 | 151,597 |
Selling, general and administrative expenses | 138,580 | 140,195 |
Depreciation | 12,900 | 13,723 |
Operating loss | (31,341) | (2,321) |
Nonoperating (income) and expenses: | ||
Interest, investment income and other | (317) | (570) |
Interest expense | 3,550 | 3,048 |
Nonoperating (income) and expenses | 3,233 | 2,478 |
Loss before income taxes | (34,574) | (4,799) |
Income tax benefit | (6,071) | (1,813) |
Net loss | $ (28,503) | $ (2,986) |
Loss per share: | ||
Basic | $ (0.36) | $ (0.04) |
Diluted | (0.36) | (0.04) |
Dividends declared per share | $ 0 | $ 0.07 |
Average shares outstanding during period: | ||
Basic | 80,187 | 81,080 |
Diluted | 80,187 | 81,080 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 02, 2018 | May 27, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||
Net loss | $ (28,503) | $ (2,986) |
Other comprehensive income (loss) | ||
Foreign currency translation adjustments | (229) | (835) |
Pension adjustments | 332 | (57) |
Other comprehensive income (loss) | 103 | (892) |
Comprehensive loss, net of tax | $ (28,400) | $ (3,878) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 02, 2018 | Mar. 03, 2018 | May 27, 2017 |
Current assets: | |||
Cash and cash equivalents, including temporary investments of $121,392, $115,456 and $152,978, respectively | $ 156,757 | $ 135,379 | $ 161,625 |
Accounts receivable, net | 23,513 | 22,149 | 24,723 |
Inventories | 329,747 | 347,440 | 418,424 |
Prepaid expenses and other current assets | 48,136 | 48,794 | 31,464 |
Total current assets | 558,153 | 553,762 | 636,236 |
Properties and equipment, net of accumulated depreciation of $567,522, $554,477 and $519,016, respectively | 170,662 | 178,767 | 181,390 |
Other noncurrent assets | 44,350 | 39,790 | 42,467 |
Assets, Total | 773,165 | 772,319 | 860,093 |
Current liabilities: | |||
Accounts payable | 86,531 | 71,279 | 98,517 |
Gift cards and other deferred revenue | 48,247 | 55,281 | 62,987 |
Accrued income taxes payable | 3,048 | 2,301 | 25,635 |
Current portion of long-term debt | 2,000 | 2,000 | 2,000 |
Other accrued liabilities | 124,523 | 106,268 | 129,330 |
Total current liabilities | 264,349 | 237,129 | 318,469 |
Long-term debt | 197,608 | 197,906 | 198,781 |
Other noncurrent liabilities | 54,420 | 59,714 | 62,085 |
Commitments and contingencies | |||
Shareholders' equity: | |||
Common stock, $0.001 par, 500,000,000 shares authorized, 125,232,000 issued | 125 | 125 | 125 |
Paid-in capital | 180,525 | 168,424 | 157,760 |
Retained earnings | 704,749 | 726,232 | 728,268 |
Cumulative other comprehensive loss | (7,374) | (7,477) | (8,306) |
Less -- 42,758,000, 41,974,000 and 40,208,000 common shares in treasury, at cost, respectively | (621,237) | (609,734) | (597,089) |
Total shareholders' equity | 256,788 | 277,570 | 280,758 |
Liabilities and Equity, Total | $ 773,165 | $ 772,319 | $ 860,093 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 02, 2018 | Mar. 03, 2018 | May 27, 2017 |
Statement Of Financial Position [Abstract] | |||
Cash and cash equivalents, temporary investments | $ 121,392 | $ 115,456 | $ 152,978 |
Properties and equipment, accumulated depreciation | $ 567,522 | $ 554,477 | $ 519,016 |
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 | 500,000,000 |
Common stock, shares issued | 125,232,000 | 125,232,000 | 125,232,000 |
Treasury stock, shares | 42,758,000 | 41,974,000 | 40,208,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 02, 2018 | May 27, 2017 | |
Cash flows from operating activities: | ||
Net loss | $ (28,503) | $ (2,986) |
Adjustments to reconcile to net cash provided by operating activities: | ||
Depreciation | 14,897 | 15,786 |
Stock-based compensation expense | 310 | 1,100 |
Deferred compensation, net | 751 | 750 |
Deferred income taxes | (7,705) | (1,216) |
Other | (64) | 382 |
Changes in cash from: | ||
Inventories | 17,625 | (17,448) |
Prepaid expenses and other assets | 1,064 | (1,142) |
Accounts payable and other liabilities | 34,196 | 34,129 |
Accrued income taxes payable, net of payments | 667 | (423) |
Net cash provided by operating activities | 33,238 | 28,932 |
Cash flows from investing activities: | ||
Capital expenditures | (12,159) | (13,567) |
Proceeds from disposition of properties | 36 | |
Proceeds from sale of restricted investments | 1,279 | 1,164 |
Purchase of restricted investments | (636) | (526) |
Net cash used in investing activities | (11,480) | (12,929) |
Cash flows from financing activities: | ||
Cash dividends | (5,646) | |
Purchases of treasury stock | (2,827) | |
Stock purchase plan and other, net | 288 | 135 |
Repayments of long-term debt | (500) | (500) |
Net cash used in financing activities | (212) | (8,838) |
Effect of exchange rate changes on cash | (168) | |
Change in cash and cash equivalents | 21,378 | 7,165 |
Cash and cash equivalents at beginning of period | 135,379 | 154,460 |
Cash and cash equivalents at end of period | $ 156,757 | $ 161,625 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - 3 months ended Jun. 02, 2018 - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock Outstanding | Common Stock | Paid-in Capital | Retained Earnings | Cumulative Other Comprehensive Income (Loss) | Treasury Stock |
Beginning Balance at Mar. 03, 2018 | $ 277,570 | $ 125 | $ 168,424 | $ 726,232 | $ (7,477) | $ (609,734) | |
Beginning Balance, Common Stock at Mar. 03, 2018 | 83,258 | ||||||
Net loss | (28,503) | (28,503) | |||||
Cumulative effect of accounting change | 7,020 | 7,020 | |||||
Other comprehensive income | 103 | 103 | |||||
Stock-based compensation expense | 310 | 14,285 | (13,975) | ||||
Stock-based compensation expense (in shares) | (882) | ||||||
Stock purchase plan and other | 288 | (2,184) | 2,472 | ||||
Stock purchase plan and other (in shares) | 98 | ||||||
Ending Balance at Jun. 02, 2018 | $ 256,788 | $ 125 | $ 180,525 | $ 704,749 | $ (7,374) | $ (621,237) | |
Ending Balance, Common Stock at Jun. 02, 2018 | 82,474 |
Loss Per Share
Loss Per Share | 3 Months Ended |
Jun. 02, 2018 | |
Earnings Per Share [Abstract] | |
Loss Per Share | NOTE 1 – LOSS PER SHARE Basic loss per share amounts were determined by dividing net loss by the weighted average number of common shares outstanding for the period. Outstanding stock options and shares of unvested restricted stock totaling 1,278,141 and 1,783,047 were excluded from the computation of diluted loss per share for the 13 weeks ended June 2, 2018 and May 27, 2017, respectively, as the effect would be antidilutive. Loss per share amounts were calculated as follows (in thousands except per share amounts): 13 Weeks Ended June 2, May 27, 2018 2017 Net loss $ (28,503 ) $ (2,986 ) Weighted average shares outstanding: Basic 80,187 81,080 Effect of dilutive stock options — — Effect of dilutive restricted stock — — Diluted 80,187 81,080 Loss per share: Basic $ (0.36 ) $ (0.04 ) Diluted $ (0.36 ) $ (0.04 ) |
Long-Term Debt and Available Cr
Long-Term Debt and Available Credit | 3 Months Ended |
Jun. 02, 2018 | |
Debt Disclosure [Abstract] | |
Long-Term Debt and Available Credit | NOTE 2 – LONG-TERM DEBT AND AVAILABLE CREDIT Revolving Credit Facility — The Company has a $350,000,000 secured revolving credit facility with a $150,000,000 accordion feature that matures on June 2, 2022 (“Revolving Credit Facility”). Credit extensions under the Revolving Credit Facility are limited to the lesser of $350,000,000 or the amount of the calculated borrowing base, as defined in the Revolving Credit Facility, which was $264,056,000 as of June 2, 2018. The Company had no cash borrowings and $40,881,000 in letters of credit and bankers’ acceptances outstanding under the Revolving Credit Facility, with $223,175,000 remaining available for cash borrowings, all as of June 2, 2018. At the Company’s option, borrowings will bear interest, payable quarterly or, if earlier, at the end of each interest period, at either (a) the adjusted LIBOR rate as defined in the Revolving Credit Facility plus a spread varying from 125 to 150 basis points per annum, depending on the amount then borrowed under the Revolving Credit Facility, or (b) the prime rate as defined in the Revolving Credit Facility plus a spread varying from 25 to 50 basis points per annum, depending on the amount then borrowed under the Revolving Credit Facility. Term Loan Facility — The Company has a senior secured term loan facility that matures on April 30, 2021 (“Term Loan Facility”). As of June 2, 2018, March 3, 2018 and May 27, 2017, the Company had $192,500,000, $193,000,000 and $194,500,000 outstanding, respectively, under the Term Loan Facility with carrying values of $190,195,000, $190,495,000 and $191,378,000, respectively, net of unamortized discounts and debt issuance costs. The fair value of the amount outstanding under the Term Loan Facility was approximately $179,628,000 as of June 2, 2018, which was measured at fair value using the quoted market price. The fair value measurement is classified as Level 2 in the fair value hierarchy based on the frequency and volume of trading for which the price was readily available. Level 2 inputs include quoted prices in active markets for similar assets or liabilities; quoted prices for identical or similar assets or liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability. |
Matters Concerning Shareholders
Matters Concerning Shareholders' Equity | 3 Months Ended |
Jun. 02, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Matters Concerning Shareholders' Equity | NOTE 3 – MATTERS CONCERNING SHAREHOLDERS’ EQUITY For the 13 weeks ended June 2, 2018 and May 27, 2017, the Company recorded compensation expense related to restricted stock of $259,000 and $1,069,000, respectively. As of June 2, 2018, there was approximately $15,893,000 of total unrecognized compensation expense related to unvested restricted stock that may be recognized over a weighted average period of approximately 1.5 years if certain performance targets are achieved. |
Income Tax
Income Tax | 3 Months Ended |
Jun. 02, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Tax | NOTE 4 – INCOME TAX The income tax benefit for the first quarter of fiscal 2019 was $6,071,000, compared to $1,813,000 during the same period in the prior fiscal year. The increase in the income tax benefit was primarily due to the Company’s higher pre-tax loss generated in the first quarter of fiscal 2019 as compared to the first quarter of fiscal 2018. The effective tax rate for the first quarter of fiscal 2019 was 17.6%, compared to 37.8% in the same period during fiscal 2018. The lower effective tax rate for the first quarter of fiscal 2019 primarily relates to the lower statutory federal tax rate enacted by the 2017 Tax Cuts and Jobs Act (“Tax Act”). The statutory federal rate was 21% for the first quarter of fiscal 2019, compared to 35% for the first quarter of fiscal 2018. The effective tax rate of 17.6% for the first quarter of fiscal 2019 was lower than the statutory federal rate of 21% primarily due to certain executive compensation that is no longer deductible under changes made to Section 162(m) by the Tax Act and tax expense recorded for share-based compensation pursuant to Accounting Standards Codification (“ASC”) 718. As a result of the Company’s net loss in the first quarter of fiscal 2019, the non-deductible compensation under Section 162(m) and the income tax expense recorded for tax shortfalls under ASC 718 lowered the effective tax rate. As of June 2, 2018, the Company had total unrecognized tax benefits of $4,810,000, the majority of which, if recognized, would affect the Company’s effective tax rate. It is reasonably possible a significant portion of the Company’s gross unrecognized tax benefits could decrease within the next twelve months primarily due to settlements with certain taxing jurisdictions. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Jun. 02, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 5 – COMMITMENTS AND CONTINGENCIES Putative class action complaints were filed in the United States District Court for the Northern District of Texas – Dallas Division against Pier 1 Imports, Inc., Alexander W. Smith and Charles H. Turner in August and October 2015 alleging violations under the Securities Exchange Act of 1934, as amended. The lawsuits, which have been consolidated into a single action captioned Town of Davie Police Pension Plan, Plaintiff, v. Pier 1 Imports, Inc., Alexander W. Smith and Charles H. Turner, Defendants, were filed on behalf of a purported putative class of investors who purchased or otherwise acquired stock of Pier 1 Imports, Inc. between April 10, 2014 and December 17, 2015. The plaintiffs seek to recover damages purportedly caused by the Defendants' alleged violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The complaint seeks certification as a class action, unspecified compensatory damages plus interest and attorneys' fees. On August 10, 2017, the court granted the Company’s motion to dismiss the complaint, while providing the plaintiffs an opportunity to replead their complaint. An amended complaint was filed with the court on September 25, 2017. On June 25, 2018, the court granted the Company’s motion to dismiss the amended complaint, with prejudice. It is not known whether the plaintiffs will appeal this ruling. Although the ultimate outcome of litigation cannot be predicted with certainty, the Company believes that this lawsuit is without merit and intends to defend against it vigorously. The Company announced in January 2016 a voluntary recall of its Swingasan Chair and Stand in cooperation with the Consumer Product Safety Commission (“CPSC”). In September 2016, the Company received a staff investigatory letter from the CPSC indicating that the CPSC would investigate whether the Company complied with certain reporting requirements of the Consumer Product Safety Act with respect to the recall. The Company responded to the inquiry and cooperated with the CPSC. On September 20, 2017, the Company received a letter from the CPSC proposing to resolve certain alleged violations of the Consumer Product Safety Act relating to the Swingasan recall on terms which would require, among other things, the payment of a civil money penalty. On October 27, 2017, the Company submitted its response to the CPSC letter. The Company disagrees with a number of the allegations and legal conclusions asserted by the CPSC and believes the requested civil money penalty is excessive in view of the circumstances. The CPSC has responded to the Company’s letter and generally declined to accept the Company’s position. The Company expects to enter settlement discussions with the CPSC during fiscal 2019. Given the nature of this matter and the uncertainty as to how and when it will be resolved, the Company believes that a reasonable estimate of the potential range of loss in connection with this matter is $2,000,000 to $6,200,000. While we anticipate that the final settlement will fall within the estimated range of outcomes, the final terms of the resolution of this matter cannot be predicted with certainty and no assurances can be given as to the specific amount that the Company may be required to pay. The Company is a defendant in lawsuits pending in federal courts in California containing various class action allegations under California state wage-and-hour laws. These lawsuits seek unspecified monetary damages, injunctive relief and attorneys’ fees. The Company sought to settle these cases on terms favorable to the Company in view of the claims made, the continuing cost of litigation and an assessment of the risk of an adverse trial court or appellate decision. The Company has settled or agreed to settle the pending cases, subject to completion of associated procedural requirements. The Company does not believe any reasonably foreseeable resolution of these matters will have a material adverse effect on the Company’s financial condition, results of operations or liquidity. The Company recognized expense of $6,600,000 in the second quarter of fiscal 2018 attributable to the legal and regulatory proceedings described in the two preceding paragraphs as a component of selling, general and administrative expenses. There are various other claims, lawsuits, inquiries, investigations and pending actions against the Company incident to the operation of its business. The Company considers these other matters to be ordinary and routine in nature. The Company maintains insurance against the consolidated class action described in the first paragraph in this Note and liability insurance against most of the other matters noted in this paragraph. It is the opinion of management, after consultation with counsel, that the ultimate resolution of such matters will not have a material adverse effect, either individually or in the aggregate, on the Company’s financial condition, results of operations or liquidity. |
New Accounting Standards
New Accounting Standards | 3 Months Ended |
Jun. 02, 2018 | |
Accounting Changes And Error Corrections [Abstract] | |
New Accounting Standards | NOTE 6 – NEW ACCOUNTING STANDARDS Accounting Standards — ASU 2014-09 — Revenue from Contracts with Customers (Topic 606) Revenue Recognition — The Company adopted Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”, in the first quarter of fiscal 2019, using the modified retrospective approach. As a result, the Company recorded a cumulative adjustment to increase retained earnings and decrease gift cards and other deferred revenue by $9,444,000 ($7,020,000, net of tax) related to the acceleration in the timing of recognizing gift card breakage revenue. The Company will now recognize gift card breakage revenue over the expected redemption period rather than when the likelihood of redemption is remote. Revenue is recognized upon customer receipt or delivery for retail sales. A reserve has been established for estimated merchandise returns based upon historical experience and other known factors. The new standard required a change in the presentation of the reserve on the consolidated balance sheet, which was previously recorded net of the value of returned merchandise, but will now be presented on a gross basis. During the first quarter of fiscal 2019, the Company recorded an adjustment of $2,216,000 to present the reserve on a gross basis, with an offset recorded to other current assets. The gross reserve for estimated merchandise returns at June 2, 2018 was $5,457,000. The Company’s revenues are reported net of discounts and returns, net of sales tax, and include wholesale sales and royalties. Amounts charged to customers for shipping and handling are included in net sales. Disaggregated Revenues — Net sales consisted almost entirely of sales to retail customers, net of discounts and returns, but also included delivery revenues, wholesale sales and royalties, and gift card breakage. Net sales during the 13 weeks ended June 2, 2018 and May 27, 2017 were as follows (in thousands): 13 Weeks Ended June 2, May 27, 2018 2017 Retail sales $ 368,993 $ 406,663 Other (1) 2,871 2,862 Net sales $ 371,864 $ 409,525 (1) The Company supplies merchandise and licenses the Pier 1 Imports name to Grupo Sanborns, which sells Pier 1 Imports merchandise primarily in a "store within a store" format in Mexico and El Salvador and online in Mexico. Other sales consisted primarily of these wholesale sales and royalties received from Grupo Sanborns, as well as gift card breakage. ASU 2016-15 — Statement of Cash Flows (Topic 230) In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows (Topic 230).” ASU 2016-16 — Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.” ASU 2016-18 — Statement of Cash Flows (Topic 230) — Restricted Cash In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230) — Restricted Cash.” ASU 2017-07 — Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost In March 2017, the FASB issued ASU 2017-07, “Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost.” ASU 2017-09 — Compensation — Stock Compensation (Topic 718): Scope of Modification Accounting In May 2017, the FASB issued ASU 2017-09, “ Scope of Modification Accounting. adoption Accounting Standards — ASU 2016-02 — Leases (Topic 842) In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842),” ASU 2018-02 — Income Statement Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02, “ Income Statement Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. |
New Accounting Standards (Polic
New Accounting Standards (Policies) | 3 Months Ended |
Jun. 02, 2018 | |
Accounting Changes And Error Corrections [Abstract] | |
New Accounting Standards | Accounting Standards — ASU 2014-09 — Revenue from Contracts with Customers (Topic 606) Revenue Recognition — The Company adopted Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”, in the first quarter of fiscal 2019, using the modified retrospective approach. As a result, the Company recorded a cumulative adjustment to increase retained earnings and decrease gift cards and other deferred revenue by $9,444,000 ($7,020,000, net of tax) related to the acceleration in the timing of recognizing gift card breakage revenue. The Company will now recognize gift card breakage revenue over the expected redemption period rather than when the likelihood of redemption is remote. Revenue is recognized upon customer receipt or delivery for retail sales. A reserve has been established for estimated merchandise returns based upon historical experience and other known factors. The new standard required a change in the presentation of the reserve on the consolidated balance sheet, which was previously recorded net of the value of returned merchandise, but will now be presented on a gross basis. During the first quarter of fiscal 2019, the Company recorded an adjustment of $2,216,000 to present the reserve on a gross basis, with an offset recorded to other current assets. The gross reserve for estimated merchandise returns at June 2, 2018 was $5,457,000. The Company’s revenues are reported net of discounts and returns, net of sales tax, and include wholesale sales and royalties. Amounts charged to customers for shipping and handling are included in net sales. Disaggregated Revenues — Net sales consisted almost entirely of sales to retail customers, net of discounts and returns, but also included delivery revenues, wholesale sales and royalties, and gift card breakage. Net sales during the 13 weeks ended June 2, 2018 and May 27, 2017 were as follows (in thousands): 13 Weeks Ended June 2, May 27, 2018 2017 Retail sales $ 368,993 $ 406,663 Other (1) 2,871 2,862 Net sales $ 371,864 $ 409,525 (1) The Company supplies merchandise and licenses the Pier 1 Imports name to Grupo Sanborns, which sells Pier 1 Imports merchandise primarily in a "store within a store" format in Mexico and El Salvador and online in Mexico. Other sales consisted primarily of these wholesale sales and royalties received from Grupo Sanborns, as well as gift card breakage. ASU 2016-15 — Statement of Cash Flows (Topic 230) In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows (Topic 230).” ASU 2016-16 — Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.” ASU 2016-18 — Statement of Cash Flows (Topic 230) — Restricted Cash In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230) — Restricted Cash.” ASU 2017-07 — Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost In March 2017, the FASB issued ASU 2017-07, “Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost.” ASU 2017-09 — Compensation — Stock Compensation (Topic 718): Scope of Modification Accounting In May 2017, the FASB issued ASU 2017-09, “ Scope of Modification Accounting. adoption Accounting Standards — ASU 2016-02 — Leases (Topic 842) In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842),” ASU 2018-02 — Income Statement Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02, “ Income Statement Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. |
Loss Per Share (Tables)
Loss Per Share (Tables) | 3 Months Ended |
Jun. 02, 2018 | |
Earnings Per Share [Abstract] | |
Calculation of Loss Per Share Amounts | Loss per share amounts were calculated as follows (in thousands except per share amounts): 13 Weeks Ended June 2, May 27, 2018 2017 Net loss $ (28,503 ) $ (2,986 ) Weighted average shares outstanding: Basic 80,187 81,080 Effect of dilutive stock options — — Effect of dilutive restricted stock — — Diluted 80,187 81,080 Loss per share: Basic $ (0.36 ) $ (0.04 ) Diluted $ (0.36 ) $ (0.04 ) |
New Accounting Standards (Table
New Accounting Standards (Tables) | 3 Months Ended |
Jun. 02, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Net Sales | Net sales during the 13 weeks ended June 2, 2018 and May 27, 2017 were as follows (in thousands): 13 Weeks Ended June 2, May 27, 2018 2017 Retail sales $ 368,993 $ 406,663 Other (1) 2,871 2,862 Net sales $ 371,864 $ 409,525 (1) The Company supplies merchandise and licenses the Pier 1 Imports name to Grupo Sanborns, which sells Pier 1 Imports merchandise primarily in a "store within a store" format in Mexico and El Salvador and online in Mexico. Other sales consisted primarily of these wholesale sales and royalties received from Grupo Sanborns, as well as gift card breakage. |
Loss Per Share - Additional Inf
Loss Per Share - Additional Information (Detail) - shares | 3 Months Ended | |
Jun. 02, 2018 | May 27, 2017 | |
Earnings Per Share [Abstract] | ||
Outstanding stock options and shares excluded from computation of diluted loss per share | 1,278,141 | 1,783,047 |
Calculation of Loss Per Share A
Calculation of Loss Per Share Amounts (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Jun. 02, 2018 | May 27, 2017 | |
Earnings Per Share Disclosure [Line Items] | ||
Net loss | $ (28,503) | $ (2,986) |
Basic | 80,187 | 81,080 |
Diluted | 80,187 | 81,080 |
Basic | $ (0.36) | $ (0.04) |
Diluted | $ (0.36) | $ (0.04) |
Long-Term Debt and Available 19
Long-Term Debt and Available Credit - Additional Information (Detail) - USD ($) | 3 Months Ended | ||
Jun. 02, 2018 | Mar. 03, 2018 | May 27, 2017 | |
Term Loan Facility | |||
Debt Instrument [Line Items] | |||
Borrowings under term loan facility | $ 192,500,000 | $ 193,000,000 | $ 194,500,000 |
Carrying value of long term debt | 190,195,000 | $ 190,495,000 | $ 191,378,000 |
Term Loan Facility | Fair Value, Inputs, Level 2 | |||
Debt Instrument [Line Items] | |||
Fair value of term loan facility | 179,628,000 | ||
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Credit facility , maximum borrowing capacity | 350,000,000 | ||
Credit facility accordion feature | $ 150,000,000 | ||
Extended maturity date of revolving credit facility | Jun. 2, 2022 | ||
Credit facility borrowing base | $ 264,056,000 | ||
Borrowings outstanding | 0 | ||
Remaining borrowing | $ 223,175,000 | ||
Revolving Credit Facility | LIBOR | Minimum | |||
Debt Instrument [Line Items] | |||
Basis points | 1.25% | ||
Revolving Credit Facility | LIBOR | Maximum | |||
Debt Instrument [Line Items] | |||
Basis points | 1.50% | ||
Revolving Credit Facility | Prime Rate | Minimum | |||
Debt Instrument [Line Items] | |||
Basis points | 0.25% | ||
Revolving Credit Facility | Prime Rate | Maximum | |||
Debt Instrument [Line Items] | |||
Basis points | 0.50% | ||
Letters of Credit And Bankers' Acceptances | |||
Debt Instrument [Line Items] | |||
Borrowings outstanding | $ 40,881,000 |
Matters Concerning Shareholde20
Matters Concerning Shareholders' Equity - Additional Information (Detail) - Restricted Stock Awards - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 02, 2018 | May 27, 2017 | |
Share Based Compensation Arrangements And Share Repurchase Plan [Line Items] | ||
Recorded stock-based compensation expense | $ 259 | $ 1,069 |
Total unrecognized compensation expense related to unvested stock option awards | $ 15,893 | |
Weighted average period for recognizing unrecognized compensation expense, in years | 1 year 6 months |
Income Tax - Additional Informa
Income Tax - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 02, 2018 | May 27, 2017 | |
Income Tax Disclosure [Abstract] | ||
Income tax benefit | $ 6,071 | $ 1,813 |
Effective tax rate | 17.60% | 37.80% |
Statutory federal income tax rate | 21.00% | 35.00% |
Unrecognized tax benefits | $ 4,810 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Aug. 26, 2017 | Jun. 02, 2018 | |
Selling, General and Administrative Expenses | ||
Commitments and Contingencies Disclosure [Line Items] | ||
Legal and regulatory expenses | $ 6,600,000 | |
Swingasan Chair and Stand | Voluntary Product Recall | Minimum | ||
Commitments and Contingencies Disclosure [Line Items] | ||
Estimate of potential loss | $ 2,000,000 | |
Swingasan Chair and Stand | Voluntary Product Recall | Maximum | ||
Commitments and Contingencies Disclosure [Line Items] | ||
Estimate of potential loss | $ 6,200,000 |
New Accounting Standards - Addi
New Accounting Standards - Additional Information (Detail) $ in Thousands | 3 Months Ended |
Jun. 02, 2018USD ($) | |
Change In Accounting Estimate [Line Items] | |
Cumulative effect on retained earnings and decrease gift cards and other deferred revenue net of tax | $ 7,020 |
ASU 2014-09 | |
Change In Accounting Estimate [Line Items] | |
Cumulative effect on retained earnings and decrease gift cards and other deferred revenue before tax | 9,444 |
Cumulative effect on retained earnings and decrease gift cards and other deferred revenue net of tax | 7,020 |
Gross reserve for estimated merchandise returns | 5,457 |
Adjustment to present the reserve on gross basis | $ 2,216 |
New Accounting Standards - Summ
New Accounting Standards - Summary of Net Sales (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Jun. 02, 2018 | May 27, 2017 | ||
Disaggregation Of Revenue [Line Items] | |||
Net sales | $ 371,864 | $ 409,525 | |
ASU 2014-09 | |||
Disaggregation Of Revenue [Line Items] | |||
Net sales | 371,864 | 409,525 | |
Retail Sales | ASU 2014-09 | |||
Disaggregation Of Revenue [Line Items] | |||
Net sales | 368,993 | 406,663 | |
Other | ASU 2014-09 | |||
Disaggregation Of Revenue [Line Items] | |||
Net sales | [1] | $ 2,871 | $ 2,862 |
[1] | The Company supplies merchandise and licenses the Pier 1 Imports name to Grupo Sanborns, which sells Pier 1 Imports merchandise primarily in a "store within a store" format in Mexico and El Salvador and online in Mexico. Other sales consisted primarily of these wholesale sales and royalties received from Grupo Sanborns, as well as gift card breakage. |