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Joann Fabrics to Close 800 Stores Nationwide

News Summary

Joann Fabrics has announced the closure of around 800 stores after filing for Chapter 11 bankruptcy twice within a year. Approximately 500 locations will shut down, impacting crafters and communities across the nation, especially in Tennessee where ten stores will be affected. Going-out-of-business sales have begun, offering discounts on inventory until the end of May 2025. While the news is disheartening for loyal customers, there is hope for continued creativity in the crafting community.

Joann Fabrics to Close 800 Stores Nationwide: What It Means for Shoppers and Craft Lovers

In a significant turn of events that is bound to impact many crafty folks across the nation, Joann Fabrics and Crafts has announced it will be closing down all its locations following a recent bankruptcy auction. This decision comes on the heels of the company filing for Chapter 11 bankruptcy twice within a single year, with the second filing happening on January 15, 2025.

The Details: What We Know So Far

Across the country, around 800 stores will be shutting down, with around 500 locations confirmed to close their doors. Here in Tennessee, the impact hits home as we will see ten Joann locations affected, including stores in Clarksville, Jackson, Johnson City, Kingsport, Knoxville, Germantown, Franklin, Mount Juliet, Sevierville, and Tullahoma. It’s a tough blow for local communities and crafters who regularly rely on these beloved stores for all their crafting needs.

Auctions, Assets, and the Future

As part of the bankruptcy process, Joann’s assets have been auctioned off to a new ownership group led by a retail liquidator and some of Joann’s term lenders. The results from this auction are expected to be formally approved in an upcoming hearing at the U.S. Bankruptcy Court in Delaware. The leadership at Joann expressed that they made a valiant effort to keep operations running but ultimately had to make this difficult choice.

Most of the stores closing will still remain open until the end of May 2025, allowing some breathing room for customers to stock up on supplies one last time. Going-out-of-business sales have kicked off, starting on February 15, 2025, and are expected to continue well into the upcoming months. Shoppers can look forward to discounts that vary from 10% to 20%, with select Christmas items being marked down by as much as 75%. If you had your eye on that festive fabric, now’s your chance!

What to Expect During the Closing Sales

As the stores prepare to close, it’s important to note that only the inventory on-site at each location will be available for these closing sales. Patrons can rejoice in the discounts, but they should also keep in mind that all Joann stores will be accepting gift cards until February 28, 2025. However, returns will not be accepted during this time, so customers are advised to choose wisely when making their final purchases.

A Mature Decision

This wave of closures reflects what Joann describes as part of a routine evaluation and optimization of store locations. The leadership has recognized the profoundly challenging impact these closures will have—not just on team members but also on loyal customers and surrounding communities. For many crafters, Joann has been a hub of creativity, a place to connect with fellow artists, and a go-to for all crafting essentials.

A Fond Farewell?

850 stores across 49 states, this transition marks a significant moment in the crafting community. While changes like this can be disheartening, there’s hope that the friends and fans of Joann Fabrics will continue to find ways to express their creativity—whether at other craft shops or online. So, let’s raise our scissors and celebrate the amazing memories created within those four walls one last time!