Hudson-based Joann Inc. has filed for Chapter 11 bankruptcy for the second time in less than a year.
The company said the voluntary deposit was intended to facilitate a sales process to maximize its value.
According to the company, all employees will continue to receive their salaries and benefits.
“Since becoming a private company in April, the board and management team have continued to implement high-level and bottom-line initiatives to manage costs and drive value,” said Michael Prendergast, Interim CEO of JOANN. “However, recent years have presented significant and lasting challenges in the retail environment, which, coupled with our current financial situation and limited inventory levels, have required us to take this action. After carefully considering all available strategic avenues, we have determined that initiating a court-supervised sales process is the best solution to maximize the value of the business. We hope that this process will allow us to find a path that will allow JOANN to continue operating as a going concern.
Last March, Joann filed for Chapter 11 bankruptcy.
Joann Inc. files for Chapter 11 bankruptcy
RELATED: Joann Inc. files for bankruptcy
Joann Inc. is one of the nation’s largest arts and crafts chains, with approximately 800 stores and more than 18,000 employees.
