JoAnn Fabrics is set to close its Owensboro location as part of a broader restructuring effort under Chapter 11 bankruptcy, according to court documents filed in the United States Bankruptcy Court for the District of Delaware.
The company, officially listed as JOANN Inc., filed for bankruptcy on Jan. 15 and identified several underperforming locations for closure. While the total number of stores affected has not been disclosed, Owensboro is included in the initial round of closures, according to the documents.
JoAnn Fabrics, a national retailer of sewing, crafting, and home décor supplies, has struggled with financial difficulties in recent years. The company is working through a strategic sale process and has secured a proposed agreement with liquidation firm Gordon Brothers Retail Partners, LLC. This move aims to maximize the value of assets while reducing operational costs.
Court filings indicate the store closures will begin as soon as possible, with liquidation sales allowing customers to purchase remaining inventory. JoAnn will also phase out its gift card program and refund policies, with final deadlines expected to be announced in the coming weeks.
The company, which operates nearly 800 stores nationwide, has not yet specified how many employees will be impacted by the Owensboro closure.
Further details about the timeline of the closure are expected to be released as the bankruptcy proceedings continue.
This is a developing story. The Owensboro Times will provide updates as more information becomes available.
