Joann Fabric, With 42 PA Locations, Files For Bankruptcy

PENNSYLVANIA — The fabric and craft retailer Joann, which has 42 stores in Pennsylvania, has filed for bankruptcy as it struggles to recover from pandemic losses and a change in customer spending habits.

All of its 850 stores will remain open during Chapter 11 bankruptcy proceedings, the 81-year-old Ohio-based retailer said in a statement Monday. Joann has stores in the following Pennsylvania locations:

• Altoona, 3415 Pleasant Valley Blvd, Ste 78
• Dickson City, 638 Commerce Blvd
• Glen Mills, 600 Town Centre Drive Suite D-108
• Johnstown, 1425 Scalp Ave, Space 110
• Norristown, 45 E Germantown Pike
• Reading, 1075 Woodland Road
• Wayne, 153 E Swedesford Rd
• Belle Vernon, 360 Tri County Ln
• Downingtown, 931 E Lancaster Ave
• Greensburg, 1600 Greengate Centre Blvd
• Lancaster, 838 Plaza Blvd
• North Wales, 1200 Welsh Rd
• Selinsgrove, 1 Susquehanna Valley Mall Dr, D6
• Whitehall, 2570 Macarthur Rd Ste 12
• Bridgeville, 1155 Washington Pike
• Du Bois, 5456 Shaffer Rd
• Hanover, 1150 Carlisle Street Suite #3
• Lebanon, 1860 Quentin Rd
• Philadelphia, 11000 Roosevelt Blvd
• Springfield, 400 S. State Rd
• Williamsport, 1746 E 3Rd St
• Butler, 160 Pullman Sq
• Edwardsville, 150 W Side Mall Ste 150
• Harrisburg, 5084 Jonestown Rd
• Lemoyne, 1200 Market St
• Pittsburgh (3 locations)
• State College, 505 Benner Pike
• York, 2136 S Queen St
• Chambersburg, 1678 Lincoln Way E # 7
• Erie, 7200 Peach St Unit 150
• Hermitage, 2481 E State St
• Meadville, 18921 Park Avenue Plz
• Pottstown, 351 West Schuylkill Road
• Tarentum, 133 Pittsburgh Mills Circle
• Cranberry Township, 20111 Rt 19
• Fairless Hills, 320 Commerce Blvd
• Indiana, 1570 Oakland Ave
• Monroeville, 3700 William Penn Highway
• Quakertown, 1465 W Broad St Ste 20
• Warrington, 397 Easton Rd

The company said it has acquired $132 million in new funding. The company plans to use this funding to reduce its debt by approximately $505 million. Over the past few years, the company's debt has climbed to $1 billion. Sales had slumped after a jump during the pandemic, when Americans were isolated in their homes and spent more money on sewing and craft supplies. Due to the subsequent inflation, many people had to cut back on their discretionary spending.

Joann customers won’t see any disruption of service, and the company “remains as focused as ever on providing customers with quality products and services that inspire their creativity,” according to the statement.

"This agreement is a significant step forward in addressing Joann’s capital structure needs, and it will provide us with the financial resources and flexibility necessary to continue to deliver best-in-class product assortments and enhance the customer experience wherever they are shopping with us," Scott Sekella, the company’s chief financial officer, said in the statement.