Fabrics retailer Joann to go out of business and close all of its stores

Joann, the beloved fabrics and crafts retailer that has served quilters, knitters, and craft enthusiasts for over 80 years, is going out of business and closing all its stores.

The announcement follows the company's second Chapter 11 bankruptcy filing in a year. Joann, based in Hudson, Ohio, first filed for bankruptcy in January, citing weak consumer demand and inventory shortages. At the time, it assured customers it would keep its stores open.

However, earlier this month, Joann announced plans to close 500 locations—more than half of its stores nationwide. On Sunday, the company revealed that financial services firm GA Group, along with Joann’s term lenders, had won a recent auction to acquire nearly all of Joann’s assets. As part of the process, Joann will begin winding down its operations and launching going-out-of-business sales at all store locations.

The retailer stated on its website that stores, Joann.com, and its mobile app would remain operational while liquidation sales take place. Specific closure dates and any changes to online operations will be shared as soon as possible, with final sales expected to take several weeks.

Joann first sought bankruptcy protection in March 2024 and later re-emerged as a private company. But continued operational struggles led to another bankruptcy filing in January.

In a statement on its website, Joann said leadership, the board, and advisers had "made every possible effort to pursue a more favorable outcome that would keep the company in business." The company pledged to work with the winning bidder to ensure a smooth wind-down while minimizing the impact on stakeholders.