Joann Fabric Store to Close After 80 Years of Operation
Joann, a well-known name in the craft and fabric retail industry, has announced it will be shutting down all 800 of its stores across 49 states. This decision comes in the wake of significant financial struggles and declining sales, marking the end of an era for a business that has served its community since 1943.
Financial Challenges and Bankruptcy Filing
The company faced escalating financial difficulties and filed for bankruptcy in March 2024. Initially listed as a publicly traded entity, Joann transitioned to a private company amid claims of debts ranging between $1 billion and $10 billion. Earlier this year, Joann attempted to revive its operations by closing 500 locations and seeking a buyer, with only about 300 stores remaining open at that time.
New Developments: Auction and Bid
In a recent development, Joann’s assets were put up for auction, where the financial services firm GA Group emerged as the successful bidder. According to a company release, GA Group’s agreement includes the cessation of Joann’s operations, leading to the closure of all stores.
Impact on Employees and Customers
Joann employs around 19,000 individuals, with a significant portion—15,600—working part-time. With the impending closures, the company has launched out-of-business sales both in-store and online, though specific closure timelines have yet to be finalized. The company stated that it would notify customers about the closing dates as soon as possible, projecting that final sales may take a few weeks to conclude.
Community Response and Sentiment
As news of Joann’s closure spreads, many crafters and designers have taken to social media to share their dismay. Users on platform X expressed sentiments such as:
“Joann is why I was able to make just a designer/manufacturer part of my life. It was the only accessible fabric store for millions of people. I’m being disrupted.” – @kathrynhenzler
“It’s a dark day for crafters.” – @copperthimble
“You can’t touch fabrics to get inspiration for your creation, and you won’t be able to meet strangers who share your interests in the store.” – @bejeweledpaige
A Legacy Comes to an End
Founded as the Cleveland Fabric Shop in 1943, Joann evolved into Jo-Ann Fabrics in the 1960s and officially rebranded as Joann in March 2018. Unfortunately, Joann’s closure is not an isolated incident; it follows the recent shuttering of other retail giants, including Kmart and Sears, highlighting the continuing challenges facing brick-and-mortar stores in an increasingly digital marketplace.
Conclusion
The impending closure of Joann stores signals substantial change for both employees and customers who have relied on this community staple for nearly eight decades. As the company prepares to wind down operations, the impact will undoubtedly resonate within the crafting community and beyond.
