Bloom Room
| Company type | Private (post-2024), formerly public |
|---|---|
| Industry | Retail (fabrics and arts and crafts materials) |
| Founded | 1943 in Cleveland, Ohio, U.S. |
| Founder | Hilda and Berthold Reich, Sigmund and Mathilda Rohrbach, Justin and Alma Zimmerman |
| Defunct | May 30, 2025 |
| Fate | Liquidation; intellectual property acquired by Michaels |
| Headquarters | Hudson, Ohio , United States |
Area served | United States (49 states) |
Key people | Darrell Webb (former CEO), Jill Soltau (former CEO), Wade Miquelon (former CEO) |
| Products | Fabrics, arts and crafts materials |
| Parent | Leonard Green & Partners (until 2024), then private equity GA Group (assets) |
Jo-Ann Stores, LLC (marketed as JOANN) was a U.S.-based specialty retailer concentrating on fabrics and arts and crafts materials. With its headquarters located in Hudson, Ohio, the company operated more than 800 outlets throughout 49 states until early 2025. After unsuccessful attempts to find a purchaser, the firm initiated the liquidation of all its locations in February 2025. By late April, 255 stores had ceased operations, and the remaining 535 stores were closed permanently by May 30, 2025, ahead of the initial schedule.
On June 5, the arts and crafts retailer Michaels acquired Joann’s intellectual property and private brand names but did not take over any of its physical retail sites. Michaels intends to incorporate Joann's private label products into its existing stores and online marketplace, capitalizing on a notable rise in fabric-related searches on its platform.
Founding
In 1943, German immigrant families—Hilda and Berthold Reich, Sigmund and Mathilda Rohrbach, along with Justin and Alma Zimmerman—established the Cleveland Fabric Shop in Cleveland, Ohio. As the business expanded, it was renamed Jo-Ann Fabrics in 1963, a name derived by combining the daughters' names from these families: Joan and Jacqueline Ann.
The company went public in 1969 on the American Stock Exchange under the name Fabri-Centers of America, Inc. One of its significant acquisitions came in 1994 when Fabri-Centers purchased Cloth World, a southern chain with 342 stores, at a time when it operated 655 locations.
In 1997, Fabri-Centers resolved federal allegations by paying $3.3 million related to overstated earnings reported in 1992 prior to securities sales. Alan D. Rosskamm, CEO and grandson of the founders, also settled corresponding administrative charges.
The acquisition of House of Fabrics—which had previously operated under names such as Fabricland, Fabric King, and So-Fro Fabrics—occurred in 1998. That same September, the company rebranded itself as Jo-Ann Stores Inc., standardizing all retail outlets under the Jo-Ann Fabrics name.
Darrell Webb assumed the roles of chairman and CEO in March 2006. On March 23, 2010, Jo-Ann Stores agreed to a $1.6 billion acquisition by private equity firm Leonard Green & Partners, resulting in its delisting from public markets by March 2011. Webb stepped down that month; Travis Smith took over as CEO after joining in 2006 but resigned in March 2014. Jim Kerr, then CFO, served as interim CEO following Smith's departure.
In March 2015, Jo-Ann appointed Jill Soltau as president, CEO, and board member. During her tenure, the company publicly opposed President Trump's tariffs due to concerns that domestic manufacturers could not meet necessary quality or production volumes. Soltau participated alongside other retail executives in discussions addressing tariff impacts on consumer costs and business operations.
The brand shortened its name to Joann in March 2018 to reflect a strategic shift toward encompassing broader craft categories beyond fabrics.
Soltau left her position in March 2018; Wade Miquelon was appointed president, CEO, and board member by March 2019.
In that year, Joann collaborated with GoldieBlox to introduce the GoldieBlox Box subscription service designed to foster STEM skills development for children aged eight and older.
COVID-19 pandemic
Prior to the onset of the COVID-19 pandemic, Joann recorded a fiscal year loss of $546.6 million for 2019. However, by the end of 2020, it reported earnings between $210.9 million and $212.9 million while attracting an additional nine million customers—a growth attributed to mask mandates and an increase in home crafting projects. In March 2021, Jo-Ann announced plans to establish an e-commerce distribution center in West Jefferson, Ohio aimed at boosting online sales capabilities.
On March 16, 2021, Jo-Ann Stores returned to public trading on the Nasdaq stock exchange under the symbol JOAN. Leonard Green & Partners maintained majority ownership with rights to appoint up to five members to the company's board of directors.
Dispute over COVID-19 lockdown measures
Throughout the pandemic, Jo-Ann encountered backlash for maintaining store operations amid health risks and for not providing paid sick leave to employees affected by the virus. The company justified its designation as an "essential" business by distributing complimentary mask kits to healthcare facilities; however, numerous hospitals declined the handmade masks. After Jo-Ann sought exemption from stay-at-home mandates, Michigan’s governor mandated store closures, pointing out that mask-making supplies could be sold online without requiring physical store visits. The donated mask kits mostly contained leftover materials often sold at discounted prices, prompting some media outlets to describe the initiative as distributing "clearance bin scraps."
Financial distress and liquidation
In September 2023, Jo-Ann announced reductions within its administrative workforce. By October, both Fitch Ratings and CreditRiskMonitor signaled that the company was approaching a possible Chapter 11 bankruptcy filing. That same month, Joann received a notice from Nasdaq warning of delisting due to its stock price falling below $1 per share, cautioning that failure to improve could result in removal from the exchange.
On March 18, 2024, Jo-Ann officially filed for Chapter 11 bankruptcy protection with the goal of restructuring more than $500 million in debt and transitioning into a privately held company without disrupting employee positions or store operations. Nasdaq suspended trading on March 28, followed by formal delisting on April 9. Subsequently, a federal judge approved the reorganization plan on April 25, enabling Jo-Ann to exit bankruptcy as a private enterprise.
Joann initiated a second Chapter 11 bankruptcy filing on January 15, 2025, attributing the move to ongoing sales declines. During this process, stores were expected to continue operating while the company aimed to eliminate $500 million in debt.
On February 12, 2025, Joann revealed intentions to shutter 500 of its remaining 800 locations as part of efforts to "right-size" its retail presence. California experienced 61 closures, while Florida, Michigan, Ohio, and Pennsylvania each saw more than 30 stores close. By February 24, it was announced that the remaining 300 stores would undergo liquidation after unsuccessful attempts to secure a buyer; assets were acquired by private equity firm GA Group. The final Jo-Ann outlets ceased operations on May 30, 2025.
On June 5, 2025, arts and crafts retailer Michaels purchased Joann’s intellectual property and private-label brands but did not acquire any physical store locations. Michaels intends to incorporate Joann’s private-label merchandise into its own retail stores and e-commerce channels in response to rising fabric-related search activity on its website.