Exhibit 99.1

Pier 1 Imports, Inc. Reports Fiscal 2014 Third Quarter Results

Increases Quarterly Cash Dividend 20% to $0.06 Per Share

FORT WORTH, Texas--(BUSINESS WIRE)--December 19, 2013--Pier 1 Imports, Inc. (NYSE:PIR) today reported financial results for the 13-week and 39-week periods ended November 30, 2013.

Third Quarter Fiscal 2014 Financial Highlights

• Total sales increased 9.6% versus last year’s increase of 10.9%
• Comparable store sales increased 6.9% versus last year’s increase of 7.9%; three-year cumulative comparable store sales increase of 21.8%
• Gross profit of 43.4% of sales
• Third quarter EBITDA increased 13.3% to $53.4 million
• Earnings per share increased to $0.26 (GAAP) versus $0.22 (GAAP) and $0.25 (non-GAAP) for the same period in fiscal 2013 (see reconciliation of earnings per share to non-GAAP adjusted earnings per share below under Financial Disclosure Advisory)

“We’re pleased to deliver solid third quarter financial results,” stated Alex W. Smith, President and Chief Executive Officer. “Our unique and special merchandise assortments created a well-positioned value offer that resonated with our customers. Our more overtly promotional marketing stance drove strong traffic, and our store and e-commerce teams delivered on conversion. In fact, this year marked a new, all-time sales record for both Black Friday and the full post-Thanksgiving weekend.”

“We are delighted with the progress we have made with 1 Pier 1 – our omni-channel strategy. Pier1.com continues to outperform our expectations, representing over 4% of total sales in the third quarter, and reflecting increases in both traffic and conversion. In addition, our re-launched and re-branded Express Request program has been a resounding success with our customers and we anticipate this will remain an important growth driver going forward.”

“We feel very good about our positioning and the execution of our holiday plans. Our holiday assortments have been very well received, as have our merchandising, marketing and customer engagement activities. We fully expect to capture additional market share over the holiday period.”

Mr. Smith concluded, “Our Board of Directors and management greatly appreciate the support of Pier 1 Imports’ shareholders and remain committed to returning value to them. During the third quarter we announced a new $200 million share repurchase program, reflecting our confidence in the underlying strength of the business and the significant potential ahead of us. Additionally, we have increased our quarterly cash dividend by 20% to $0.06 per share.”

Third Quarter Fiscal 2014 Results

For the third quarter ended November 30, 2013, the Company reported net income of $26.8 million, or $0.26 per share, compared to $23.7 million, or $0.22 per share a year ago. Adjusted net income (non-GAAP) for the third quarter of last year, as described below under Financial Disclosure Advisory, was $27.1 million, and adjusted earnings per share were $0.25. Total sales for the third quarter were $465.5 million, a 9.6% increase versus $424.5 million in the year-ago quarter. Comparable store sales increased 6.9% compared to last year’s comparable store sales gain of 7.9%. Comparable store sales results for the period were primarily attributable to increases in conversion rate and higher average ticket.

Gross profit for the quarter increased to $202.2 million versus $186.3 million in the third quarter of last year. As a percentage of sales, gross profit was 43.4% compared to 43.9% in the third quarter of fiscal 2013 and primarily reflects a slightly increased promotional cadence versus a year ago.

Third quarter selling, general and administrative expenses were $149.2 million, or 32.1% of sales, compared to $139.2 million, or 32.8% of sales, in the third quarter of last year. The 70 basis point improvement was primarily due to the leveraging of store salaries and marketing expense.

Third quarter EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) increased 13.3% to $53.4 million, versus $47.2 million in the same period last year. Depreciation and amortization was $9.9 million, compared to $8.2 million in the third quarter of last year.

Operating income for the third quarter increased 11% to $43.1 million, or 9.3% of sales, compared to $38.8 million, or 9.1% of sales, last year.

Year-to-Date Results

For the 39-week period ended November 30, 2013, the Company reported net income of $64.9 million, or $0.61 per share, compared to $67.7 million, or $0.62 per share, in the same period last year. The Company’s adjusted net income (non-GAAP) for the 39-weeks ended November 24, 2012, as described below under Financial Disclosure Advisory, was $65.7 million, and adjusted earnings per share were $0.60. Total sales for the 39-week period ended November 30, 2013 increased 8.9% to $1.256 billion compared to $1.153 billion in the year-ago period. Comparable store sales for the 39-week period increased 5.5% versus a comparable store sales increase of 7.3% for the 39-week period ended November 24, 2012.

Gross profit for the 39-week period ended November 30, 2013 increased to $531.1 million, or 42.3% of sales, from $488.1 million, or 42.3% of sales in the same period last year.

Fiscal 2014 year-to-date selling, general and administrative expenses were $397.3 million, or 31.6% of sales, compared to $367.6 million, or 31.9% of sales, in the same period last year.

EBITDA increased 10.1% to $134.5 million for the 39-weeks ended November 30, 2013 versus $122.1 million for the same period last year.

Depreciation and amortization for the 39-weeks ended November 30, 2013 was $28.5 million, or 2.3% of sales, versus $21.9 million, or 1.9% of sales in the year ago period. The increase is attributable to the Company’s ongoing investments in both its stores and e-commerce business, including the completed installation of the Company’s new point-of-sale system in the second quarter of fiscal 2014.

Operating income for the 39-weeks ended November 30, 2013 was $105.4 million, or 8.4% of sales, compared to $98.5 million, or 8.5% of sales for the same period in fiscal 2013.

Balance Sheet and Share Repurchase Program

As of November 30, 2013, the Company remained in strong financial condition with $128.2 million of cash and cash equivalents. Inventory totaled $429.1 million, an increase of 2.8% versus a year ago, which was in line with management’s expectations and reflects the Company’s focus on strategically managing its inventory purchases and monitoring its inventory levels to correspond with consumer demand. Capital expenditures totaled $18.6 million for the quarter and were primarily used for new store openings, existing store improvements, and infrastructure and technology development.

During the third quarter, the Company completed its $100 million share repurchase program, which was announced on December 13, 2012. Subsequent to the completion of the December 2012 program, a new, $200 million share repurchase program was announced on October 18, 2013. During the third quarter ended November 30, 2013, the Company repurchased a total of 650,000 shares of its common stock under the October 2013 $200 million share repurchase program at a weighted average cost of $21.58 per share, for a total cost of approximately $14.0 million. Subsequent to the end of the third quarter, the Company repurchased an additional 325,000 shares of its common stock at a weighted average cost of $21.19 per share and a total cost of approximately $6.9 million. To date, the Company has repurchased 975,000 shares of common stock under the October 2013 $200 million share repurchase program at a weighted average cost of $21.45 per share and a total cost of approximately $20.9 million. Under that program, $179.1 million remains available for share repurchases.

Declaration of Quarterly Cash Dividend

The Company today announced that its Board of Directors declared a $0.06 per share quarterly cash dividend on the Company’s outstanding shares of common stock, reflecting a 20% increase from the previous quarterly cash dividend. The $0.06 per share quarterly cash dividend will be paid on February 5, 2014 to shareholders of record on January 22, 2014. As of December 19, 2013, approximately 103.0 million shares of the Company’s common stock were outstanding.

Financial Guidance

The Company’s fiscal 2014 fourth quarter and fiscal year will include 13 weeks and 52 weeks of operating results, respectively. This compares to the fourth quarter and full year of fiscal 2013, which included 14 weeks and 53 weeks, respectively. As previously disclosed, the Company estimates the 53^rd week of fiscal 2013 contributed $29 million to net sales and approximately $0.03 to earnings per share. The Company provided the following financial guidance for the fiscal 2014 fourth quarter on a comparable 13-week basis:

• Total sales growth in the high single-digit range
• Comparable store sales growth in the mid single-digit range
• Earnings per share in the range of $0.60 to $0.66, representing year-over-year growth of 9% to 20%

The Company provided the following financial guidance for fiscal year 2014 on a comparable 52-week basis:

• Total sales growth in the high single-digit range
• Comparable store sales growth in the mid single-digit range
• EBITDA growth in the range of 9% to 13%, compared to prior guidance of 12% to 16%
• Depreciation and amortization of approximately $38 million compared to $31 million in FY13
• Effective annual income tax rate of approximately 38% compared to 35.6% in FY13
• Earnings per share in the range of $1.21 to $1.27, representing year-over-year growth of 3% to 9%, compared to prior guidance of $1.23 to $1.29
• Capital expenditures of approximately $75 million

Third Quarter Results Conference Call

The Company will host a live conference call to discuss fiscal 2014 third quarter financial results at 10:00 a.m. Central Time today, December 19, 2013. Investors will be able to connect to the call through the Company’s website at www.pier1.com. The conference call can be accessed by linking through to the “Investor Relations” page to the “Events” page, or you can listen to the conference call by dialing 1-800-498-7872, or if international, 1-706-643-0435. The conference ID number is 14321575.

A replay will be available after 12:00 p.m. Central Time for a 24-hour period and the replay can be accessed by dialing 1-855-859-2056, or if international, 1-404-537-3406 using conference ID number 14321575.

Financial Disclosure Advisory

The Company reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP). This press release references non-GAAP financial measures, including EBITDA, adjusted net income and adjusted earnings per share.

The Company believes that the non-GAAP financial measures included in this press release allow management and investors to understand and compare earnings per share results in a more consistent manner for the 13-week third quarter and 39-week period ended November 30, 2013 and the 13-week third quarter and 39-week period ended November 24, 2012. Adjusted net income and adjusted earnings per share should be considered supplemental and not a substitute for the Company’s net income and earnings per share results reported in accordance with GAAP for the periods presented. A reconciliation of prior year GAAP net income and earnings per share to non-GAAP adjusted net income and adjusted earnings per share is shown below for the 13-week and 39-week periods ended November 24, 2012 (in millions except per share amounts). There were no similar items warranting reconciliation during the 13-week and 39-week periods ended November 30, 2013.

EBITDA represents earnings before interest, taxes, depreciation and amortization. Management believes EBITDA is a meaningful indicator of the Company’s performance that provides useful information to investors regarding its financial condition and results of operations. Management uses EBITDA, together with financial measures prepared in accordance with GAAP, to assess the Company’s operating performance, to enhance its understanding of core operating performance and to compare the Company’s operating performance to other retailers. This non-GAAP financial measure should not be considered in isolation or used as an alternative to GAAP financial measures and does not purport to be an alternative to net income as a measure of operating performance. A reconciliation of net income to EBITDA is shown below for the periods indicated (in millions).

Management’s expectations and assumptions regarding 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 included in this press release. Any forward-looking projections or statements should be considered in conjunction with the cautionary statements and risks contained in the Company’s Annual Report on Form 10-K. Refer to the Company’s most recent SEC filings for any updates concerning these and other risks and uncertainties that may affect the Company’s operations and performance. The Company assumes no obligation to update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied will not be realized.

Pier 1 Imports, Inc. is the original global importer of imported decorative home furnishings and gifts. Information about the Company is available on www.pier1.com.

CONTACT:
Pier 1 Imports, Inc.
Cary Turner, 817-252-8400