Joann Fabrics Files for Ch. 11 Bankruptcy Protection: This NC Location is set to close

Jo-Ann Fabrics, filed for Chapter 11 bankruptcy protection on January 15, 2025. This marks the company's second bankruptcy filing within a year, with the previous one occurring in March 2024. Despite the bankruptcy proceedings, Jo-Ann Fabrics has announced that its stores and online operations will continue to serve customers as usual. The company is seeking a sale to maximize its business value, with Gordon Brothers Retail Partners, LLC named as the "stalking horse" bidder. However, if no higher bidder emerges, there is concern that Gordon Brothers may liquidate and close the business.

Like many other retailers, Joann's has been facing challenges like changing consumer spending, increased costs, and competition. They also seem to have had issues with inventory management. hey are looking to sell the company. There's a possibility they could be liquidated if a buyer who wants to keep the stores running doesn't come forward. As it matters to North Carolina closings, one of the six stores slated to close is in Hickory at 2102 U.S. 70 SE. Currently, Joann Fabrics operates 830 stores in 49 states. Sixteen of these stores are in N.C., including locations in Asheville, Hendersonville and Morganton.