NATIONAL NEWS – Joann’s fabric store announces it is going out of business and will close its 500 locations worldwide

Laila Kirkpatrick, Staff Writer

Joann, the fabric and craft material retailer, is planning to close about 500 stores across the country. This accounts for over 60% of all locations nationwide. This is a result of years of slumping sales and declining market share. This has forced the country into its second Chapter 11 bankruptcy in less than one year. The Company is well known for selling fabric by the yard alongside a wide variety of yarn. In a statement issued by the company, it was explained that Joan is seeking court authority to shut stores in nearly every state. The statement went on to say, “This was a very difficult decision to make, given the major impact we know it will have on our Team Members, our customers, and all of the communities we serve.” The efforts to right-size the “store footprint is a critical part of our efforts to ensure the best path forward for JOANN.” In March of last year, the company filed for bankruptcy protection and reported being in around $1 billion worth of long-term debt. At that time Joann stated that all 800 stores would remain open. However, Last month the company announced yet another bankruptcy filing stating that the move was in preparation to eventually sell the company.