Horizon Furniture Inc., of Spokane Valley, says it plans to close its doors next month after a year of efforts to cut costs as the furniture industry here has struggled.

The 12-year-old furniture retailer has seen business suffer with the difficult economic times, says Paul Johnson, who owns the store with his brother, Doug.

"Business is bad," Johnson says.

The company currently employs six people, he says.

Last spring, Horizon Furniture reduced the amount of space it leases at the Spokane Business & Industrial Park, at 3808 N. Sullivan Road, to 48,000 square feet, down from 60,000 square feet. At that time, Johnson said the company made the adjustment to deal with a general economic slowdown and increasing competition. In October, Doug Johnson said the store had trimmed its staff and cut back on advertising to reduce costs.

Horizon Furniture sells home furnishings made by 30 manufacturers, including Ashley Furniture Industries Inc. and Lane Home Furnishings. It is liquidating as much of its inventory as it can, and plans to close around the end of March.