Pier 1 2008 Annual Report Download - page 7

Imported merchandise and a portion of domestic purchases are delivered to the Company’s distribution
centers, unpacked and made available for shipment to the various stores in each distribution center’s region.
The Company, through one of its wholly owned subsidiaries, owns a number of federally registered
trademarks and service marks under which Pier 1 Imports stores do business. Additionally, certain subsidiaries
of the Company have registered and have applications pending for the registration of certain other Pier 1
Imports trademarks and service marks in the United States and in numerous foreign countries. The Company
believes that its marks have significant value and are important in its marketing efforts. The Company
maintains a policy of pursuing registration of its marks and opposing any infringement of its marks.
The Company operates in the highly competitive specialty retail business and competes primarily with
specialty sections of large department stores, furniture and decorative home furnishings retailers, small
specialty stores, and mass merchandising discounters.
The Company allows customers to return merchandise within a reasonable time after the date of purchase
without limitation as to reason. Most returns occur within 30 days of the date of purchase. The Company
monitors the level of and stated reasons for returns and maintains a reserve for future returns based on
historical experience and other known factors.
On March 1, 2008, the Company employed approximately 16,400 associates in the United States and
Canada, of which approximately 6,100 were full-time employees and 10,300 were part-time employees.
(d) Financial Information about Geographic Areas.
Information required by this Item is found in Note 1 of the Notes to the Consolidated Financial
Statements.
(e) Available Information.
The Company makes available free of charge through its Internet web site address (www.pier1.com) its
annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and amendments
to those reports filed with the Securities and Exchange Commission (the “SEC”) pursuant to Section 13(a) of
the Securities Exchange Act of 1934 as soon as reasonably practicable after it electronically files such material
with, or furnishes such material to, the SEC.
Certain statements contained in Item 1, Item 7 and elsewhere in this report may constitute “forward-
looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. The Company
may also make forward-looking statements in other reports filed with the SEC and in material delivered to the
Company’s shareholders. Forward-looking statements provide current expectations of future events based on
certain assumptions. These statements encompass information that does not directly relate to any historical or
current fact and often may be identified with words such as “anticipates,” “believes,” “expects,” “estimates,”
“intends,” “plans,” “projects” and other similar expressions. Management’s expectations and assumptions
regarding planned store openings and closings, financing of Company obligations from operations, success of
its marketing, merchandising and store operations strategies, and other future results are subject to risks,
uncertainties and other factors that could cause actual results to differ materially from the anticipated results
or other expectations expressed in the forward-looking statements. Risks and uncertainties that may affect
Company operations and performance include, among others, the effects of terrorist attacks or other acts of
war, conflicts or war involving the United States or its allies or trading partners, labor strikes, weather
conditions or natural disasters, volatility of fuel and utility costs, the general strength of the economy and
levels of consumer spending, consumer confidence, the availability of suitable sites for locating stores and
distribution centers, availability of a qualified labor force and management, the availability and proper
functioning of technology and communications systems supporting the Company’s key business processes, the
ability of the Company to import merchandise from foreign countries without significantly restrictive tariffs,
duties or quotas, and the ability of the Company to source, ship and deliver items from foreign countries to its
U.S. distribution centers at reasonable prices and rates and in a timely fashion. The foregoing risks and
uncertainties are in addition to others discussed elsewhere in this report. The Company assumes no obligation
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