Ethan Allen to Close 12 Stores

Danbury, Conn. Ethan Allen Interiors Inc. plans to close 12 stores and two service centers, cutting operating costs amid a slowdown in the housing market.

Ethan Allen said its focus on increasing in-home design consultations reduces its need for as many neighborhood stores as it currently operates. The company, which is calling the move a consolidation, expects the reduced store count to boost operating profit by $3 million to $4 million a year starting in the fiscal year ending June 30, 2009.