Craft Retailer Joann Files for Chapter 11 Bankruptcy

In an expected move, craft store chain Joann has filed for bankruptcy to help the company deal with debt problems.

According a news release issued by the company, Joann has “received commitments for approximately $132 million in new financing and related financial accommodations and expects to reduce funded debt on its balance sheet by approximately $505 million.”

“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,” chief financial officer Scott Sekella said in the release.

According to a story in The Washington Post (link is free to read), Joann will become a private company after the bankruptcy proceedings, which could be complete as early as next month. The company says it currently has no plans to close stores or make any changes to its website. The release says the company, which was founded in 1943, has 829 stores in 49 states and “95 percent of which are cash flow positive.” And I literally got an email from them while I was writing this post.

(As an aside, the headline on that Post story suggests Joann’s problem is they have lost sales as people “pull back on essentials,” but if they’d ever met a crafter they would know craft supplies are always essential, we just might be buying them from different places, or buying less that we used to.)

Joann has set up a website, Joann Forward, with more details on their restructuring, including FAQs for customers, suppliers, landlords and team members. According to those pages, “this agreement is a significant step forward in addressing JOANN’s capital structure needs. It will provide us with the financial resources and flexibility necessary to deliver best-in-class product assortments and enhance the customer experience wherever they are shopping with us.”

You can also find case filings and information for claimants here.

As someone who does most of her in-person craft shopping at Joann, I’m certainly wishing them well and will update as needed with more information on the Joann bankruptcy filing.

Next Pattern:

The other day I saw a post from Pinterest about trends for summer and it said one of them was “cultivating whimsy.”

Well, I don’t know where Pinterest has been all this time, but we’ve been cultivating whimsy here at Craft Gossip for a long time. I love sharing projects that are a little different, things that make you smile when you see them, and will make you smile when you knit them and wear them or use them.

Such it is with the Tutti Frutti tee knitting pattern from Bea Creative Knits.

This cute little baby tee is worked top down in the round with contiguous shoulder construction to shape the sleeve caps. There are short rows for the neckline and folded hems with picot edging at the hemline, neckline and edges of the sleeves.

All of this would be great on its own, but then there’s the addition of a super cute fruit icon, which is added with duplicate stitch. There are a lot of options, including strawberry, banana, orange, cherries, watermelon, lemon, blueberries, kiwi, peach, dragon fruit, apple and pear, so it’s likely you can add on your favorite fruit.

It is offered in eight sizes, to fit a bust measurement ranging from 28-30 inches (71-76 cm) to 56-58 inches (142-147 cm). The design is meant to be worn with around 6.3 inches/16 cm of negative ease, but you can choose the fit you prefer. There’s also optional bust and waist shaping included in the pattern if you want to make it even curvier.

This is considered an advanced beginner or intermediate project because of all the skills involved, but it’s sure to be a lot of fun even if some of these techniques are new to you.

Grab a copy of the pattern for yourself form Bea Creative Knits on Etsy.

[Photo: Bea Creative Knits]

Next Pattern:

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