Joann Inc., a long-time supplier of art supplies and fabrics to craft enthusiasts across the U.S., has announced plans to close all its remaining U.S. stores. This decision comes just a month after the company filed for Chapter 11 bankruptcy protection. According to a statement obtained by Reuters, Joann will sell all its assets to a buyer group. While executives initially hoped for a buyer to continue operations, the highest bid will lead to going-out-of-business sales at all locations. As of January, Joann operated over 800 U.S. stores, but hundreds have already closed. The company reported $615.7 million in debt, including $133 million owed to suppliers, alongside $538.3 million in inventory and a monthly rent cost of $26 million. Challenges with suppliers, including product eliminations and inconsistent deliveries, further complicated operations. A Joann spokesperson stated that store closures aim to maximize business value and ensure the best path forward. Customers can use gift cards until Feb. 28, with store closures phased over the coming weeks. — news from Fox Business
