The Joann Fabrics store in Fresno is set to close as the retailer files bankruptcy for the second time in a year. Photo by Ben Hensley

Joann Fabrics in Fresno is slated to be one of 61 California stores that are being shuttered, according to court documents and published reports nationwide.

Documents revealed that on Jan. 15, JOANN Inc. (DBA: Joann Fabrics) moved to file for Chapter 11 bankruptcy, aiming to restructure the company by closing 500 stores nationwide, including a location in Fresno.

The Business Journal reported last month that the company is set to close its Visalia distribution center, which handles its West Coast operations. That location employed 209 people as of January.

A 60-day notice to the state Employment Development Department published Jan. 29 means the store will likely close sometime in March.

The employees at the Fresno store were notified about the impending closure on Wednesday.

“As part of the ongoing Chapter 11 process, on February 12, 2025, JOANN filed a motion seeking court authority to begin closing approximately 500 stores across the nation,” a statement on the company website reads. “Right-sizing the store footprint is a critical part of the efforts to ensure the best path forward for JOANN,” according to court documents posted Feb. 12.

According to the company website, the company will continue to actively solicit bids and have received sale inquiries. The company underwent restructuring last year, but continued to experience challenges in the retail environment, forcing the company to make the decision to close more than half of its retail location.

Joann Fabrics has more than 800 stores in 49 states.

“This was a very difficult decision to make, given the major impact we know it will have on our Team Members, our customers and all of the communities we serve,” said Amanda Hayes, Director of Corporate Communications and Engagement with JOANN. “A careful analysis of store performance and future strategic fit for the Company determined which stores should remain operating as usual at this time.”

Hayes added that if the court approves the motion in Friday’s hearing, stores will begin closing sales on Saturday that will likely go on for several weeks.

California, which is home to roughly 10 percent of its stores, will see 61 of its 77 locations close. Retail locations in Clovis and Visalia will remain two of the remaining 16 California stores should the bankruptcy filing proceed Friday.