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 felted slipper craze that began last year doesn’t seem like it’s fading away. The Sailor Slippers, often striped knit and felted slippers made with super bulky yarn, because the project of the moment late last year (check out more knit slipper options in this post all about sailor slippers) and they’re still consistently popular with knitters.

Which makes sense because they are fun and fast to knit, and seeing them go from this giant thing to something that actually fits a foot feels a little magical.

I have always loved felting (in fact my first book was about felting knitting) and it’s always fun for me to see people rediscover this technique.

If you’ve knit enough plain slippers to fit all the feet you know, maybe it’s time to stitch up some tabi style slippers instead.

Maymade Knits has designed these cute tabi ballerina slippers, made with bulky yarn and felted. They’re worked flat at first and then in rounds, and are available in 10 EU sizes (the Internet tells me add 31 to your American shoe size to get your EU size). The designer says the slippers are meant to have a close fit and you should choose a size a little smaller than your foot for the ideal fit.

The pattern includes a video tutorial along with the written pattern.

You can grab this pattern on Ravelry. The same designer has her own version of the striped felted slipper as well, called Sarah’s Striped Slippers. These are worked in super bulky yarn and have a contrasting foot and a striped body. These are knit flat and seamed and there are 7 size options available. Check that pattern out here if you’re looking for a more traditional slipper shape. They also look roomier so you can wear them with socks if you like.

[Photo: Maymade Knits]

Next Pattern:

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