Joann, craft and fabric retailer, files for bankruptcy WPXI [Video]

Joann, the craft supply and fabric retailer, filed for bankruptcy on Monday as it grapples with consumer pullback following a brief pandemic boom, according to multiple reports.

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The Ohio-based company filed for Chapter 11 bankruptcy protection and secured $132 million in funding aimed at reducing debts by about $505 million. In its petition, the company listed liabilities between $1 and $10 billion.

The company’s website and its nearly 830 stores nationwide will remain open and continue to operate as normal.

“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 customers experience wherever they are shopping with us,” said Scott Sekella, Joann’s chief financial officer and co-lead of the Interim Office of the CEO.

The crafts chain saw a surge in demand early in the …