Joann Fabrics to Close All U.S. Stores Following Second Bankruptcy Filing

The 82-year-old retailer halts gift card acceptance and announces liquidation sales as it winds down operations nationwide.

Joann Fabrics filed for Chapter 11 bankruptcy for the second time in 12 months and will close all 790 U.S. store locations by May 2025.
The company stopped accepting gift cards after February 28, 2025, leading to widespread customer frustration over unredeemed balances.
Discount partnerships for teachers, military personnel, and healthcare workers have been discontinued, and returns are no longer accepted.
Liquidation sales are offering discounts of up to 40% on inventory, with furniture, fixtures, and intellectual property also up for sale.
GA Group and A&G Real Estate Partners are managing the auction of store leases and other assets, with bids due by April 16, 2025.