Craft Retailers Benefit from Joann Store Shutdowns
- Joann shoppers shift purchases to Michaels and Hobby Lobby
- Michaels and Hobby Lobby poised to gain market share from Joann’s closure
- Joann files for Chapter 11 bankruptcy, lists liabilities between $1B-$10B
- Over 500 stores set for closure
- GA Group wins auction, initiates going-out-of-business sales at all locations
Joann, a craft store chain, has filed for Chapter 11 bankruptcy and plans to close over 500 stores. This leaves customers searching for alternatives like Michaels and Hobby Lobby for sewing supplies, fabrics, holiday decorations, and home goods. GA Group won the auction for Joann’s assets, initiating going-out-of-business sales at all locations.
Factuality Level: 8
Factuality Justification: The article provides accurate information about Joann’s market share, bankruptcy filings, store closures, and the winning bid from GA Group. It is well-researched and objective in its reporting.
Noise Level: 3
Noise Justification: The article provides relevant information about Joann’s financial situation and its market share, but it lacks analysis or exploration of long-term trends or consequences. It also does not offer actionable insights or new knowledge.
Financial Relevance: Yes
Financial Markets Impacted: Yes
Financial Rating Justification: The article discusses financial topics such as bankruptcy filings, liabilities, and the sale of Joann’s assets. It also mentions the impact on craft chain stores like Michaels and Hobby Lobby potentially gaining market share due to Joann’s financial struggles. The financial markets are affected by the bankruptcy proceedings and the auction for Joann’s assets.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the text.
www.retaildive.com