Joann Fabrics' Bankruptcy: What It Means For Illinois Consumers

One of the largest craft and fabric retailers in the country officially filed for Chapter 11 bankruptcy with 35 locations in Illinois. What does the future look like for Joann Fabrics?

When I originally heard the news that Joann Fabrics was considering filing for bankruptcy, I couldn't help but think about the location in Rockford. They just moved to a much more spacious location between Dollar Tree and Schnuck's! It'd be sad to see them go.

There could be plenty of reasons why Joann's is filing for bankruptcy, but could the post-pandemic era be a major factor? We're only making this assumption based on their "shrinking revenues" and "widening net loss".

"In its most recent quarter, Joann posted results showing it was more than $1 billion in debt" [nbcnews]

Could the post-pandemic have everything to do with the drop in consumer sales?

Canva

After 81 years of being in business, the company could become privately owned as soon as next month. In a Press Release, the CCO and co-lead of the interim office of the CEO, Chris DiTullio, stated the following:

"There is no other retailer with the same ability to serve sewists, quilters, crocheters, crafters and other creative enthusiasts as we have for the past 80 years, and we take great pride in seeing the passion and engagement of our millions of customers and our Team Members."

For now, the website, all 800+ locations in the country (including Rockford), will stay open and operating like usual. Luckily, there has been no talk about closing any stores as of yet.

Fortunately, there are plenty of new businesses in Rockford, so let's be excited about that! Culture Crunch, Kung Fu Tea, and Boot Barn are just a few on the list.