BROOKINGS The Joann Fabrics store in Brookings is among around 500 stores nationwide slated to close as part of the parent companys ongoing bankruptcy woes.
When contact by The Register, management at the Brookings store said they were not permitted to make public comments about the closure. They could not reveal when the store will shut down or how many local employees will be affected.
Via email, a corporate spokesperson for Joann gave The Register the following statement: As part of the ongoing Chapter 11 process and our efforts to maximize the value of the business, Joann has filed a motion seeking court authority to begin closing approximately 500 stores across the nation. This was a very difficult decision to make, given the major impact we know it will have on our team members, our customers and all of the communities we serve. A careful analysis of store performance and future strategic fit for the company determined which stores should remain operating as usual at this time. Right-sizing our store footprint is a critical part of our efforts to ensure the best path forward for Joann.
A statement on the companys website says, we expect going-out-of-business sales to begin at these stores on (Feb. 15) and could continue for several months. The remainder of our stores are not impacted by this motion, and will remain open as usual, as will joann.com.
The Brookings location is the only Joann store in South Dakota on the closing list. The company also operates stores in Rapid City and Sioux Falls. Store closings in neighboring states include 12 in Minnesota, six in Iowa, two in Montana, two in Wyoming, one in North Dakota and one in Nebraska.
The crafting retailer filed for Chapter 11 bankruptcy on March 18. The Nasdaq stock exchange delisted the company on April 9. Joann again filed for Chapter 11 bankruptcy on Jan. 15 of this year. The corporation is attempting to deal with around $500 million in debt.
The companys website says it currently has approximately 850 stores in 49 states.
Contact Jay Roe at [email protected].
Leave a Reply