JOANN Fabrics Closes 500 Stores Nationwide, Including 19 Massachusetts Locations
As part of a court-supervised sale process, JOANN Fabrics is closing 500 of its 800 stores across the US. The company filed papers asking for court approval to begin closing stores under Chapter 11.
“Right-sizing our store footprint is a critical part of our efforts to ensure the best path forward for JOANN,” said the company in a statement.
In Massachusetts, stores will shut down in Hyannis, Middleton, Hanover, Natick, Westford, Burlington, North Billerica, Methuen, Saugus, East Walpole, Pittsfield, North Dartmouth, Raynham, North Attleboro, Seekonk, Ludlow, Hadley, Shrewsbury, and Leominster.
Stores begin closing Saturday, with going-out-of-business sales expected to run for several months. While customers can still use gift cards in stores, they won’t work for online shopping.
The chain got $132 million in new funding this March. They also cleaned up their finances by cutting $505 million in debt. Though they kept all 815 stores open after these financial moves in April, they now need to scale back their operations.
The closures hit ten states particularly hard: California, Florida, Illinois, Massachusetts, Maryland, Michigan, Minnesota, New York, Pennsylvania, and Texas.
Rising shipping costs and slower customer spending pushed the company to file for bankruptcy in March 2024. The retailer follows others like Party City and Macy’s in this year’s string of store shutdowns.
The company’s website will keep running for home delivery and pickup at remaining stores. They picked which stores to close based on how well they performed and their overall business plans.
“JOANN is committed to providing our customers – the sewists, quilters, crocheters, crafters and other creative enthusiasts we have served for more than 80 years – with great service and assortments and to supporting our thousands of Team Members across the nation throughout this process,” said the company.
