JOANN, business known for arts and crafts, files for Chapter 11 bankruptcy
JOANN stores and JOANN.com will continue to serve customers and employees will continue to receive pay and benefits, according to the release.
JOANN, one of the nation's leaders in sewing and fabrics, announced Wednesday as it has filed for bankruptcy again.
The company will remain open as they initated voluntary Chapter 11 proceedings in the U.S. Bankruptcy Court to maximize business value.
JOANN stores and JOANN.com will continue to serve customers and employees will continue to receive pay and benefits, according to the release.
Interim Chief Executive Officer of JOANN Michael Prendergast said in part, “The last several years have presented significant and lasting challenges in the retail environment, which, coupled with our current financial position and constrained inventory levels, forced us to take this step. After carefully reviewing all available strategic paths, we have determined that initiating a court-supervised sale process is the best course of action to maximize the value of the business. We hope that this process enables us to find a path that would allow JOANN to continue operating as a going concern.”
