Joann Fabrics to Close Over 500 Stores Following Second Bankruptcy Filing

The retailer, which filed for Chapter 11 in January, will shutter more than half of its locations as part of restructuring efforts to address financial challenges.

Joann Fabrics plans to close approximately 500 of its 800 stores across 49 states after filing for Chapter 11 bankruptcy for the second time in less than a year.
The closures aim to reduce costs and focus on more profitable locations as the company seeks a buyer or alternative bids during a court-supervised auction process.
States with the highest number of closures include California, Florida, Michigan, New York, Pennsylvania, Indiana, and Washington, with a complete list available on the company's restructuring website.
The company cited ongoing financial struggles, inventory challenges, and a sluggish retail economy as key factors contributing to its decision to downsize.
Going-out-of-business sales at affected locations are expected to begin shortly, with additional closures possible as the bankruptcy process continues.