On February 13th, we went to the customer store at the Joan store in Miami. The retailer announced this week that it would go out of business and close around 800 U.S. stores.
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Joan, a leading domestic retailer of fabric and craft supplies, has gone out of business and has closed all 800 stores in 49 US states.
The 80-year-old chain, previously known as Jo-Ann fabric, has struggled financially for several years following an increase in DIY-driven sales in the early days of the pandemic.
Joan has lost market share for online retailers and brick-and-mortar competitors such as Hobby Lobby and Michaels, retail analyst Neil Sanders told NPR earlier this month.
The company announced on Sunday that it was being sold to the GA Group, the result of its second bankruptcy filing in less than a year.
“In relation to this agreement, subject to the Bankruptcy Court’s approval of the transaction, the bidder plans to abolish the company’s operations and make out-of-business sales at all store locations,” Joanne said. It was stated in a statement.
The liquidation sales are expected to begin soon and can be completed in “a few weeks,” the company noted in a FAQ on its website.
Joann Stores will continue to accept gift cards until February 28th. However, personalized discounts and discount partnerships like Girl Scouts and Teachers have been suspended, and the company will stop accepting returns.
The Hudson, Ohio-based retailer filed for bankruptcy a year ago and is looking to restructure its inflated debt. He said the store was still open at the time.
However, Joanne filed for bankruptcy again in January, saying interim CEO Michael Prendagast at the time believed that executives would sell the company as the best course of action.
Earlier in February it announced that it would close around 60% of retail stores across the country as Joan was looking for buyers.
