ST. CLOUD -- Hancock Fabrics is preparing to close their doors.

The Mississippi-based company voluntarily filed for Chapter 11 bankruptcy back in February to reorganize the business.

The company has also begun an asset liquidation phase for all 255 stores including the St. Cloud location at 3800 Third Street North.

In a statement, Hancock Fabrics President Steve Morgan says "we believe the restructuring is a positive step for the future of the company."

During the restructuring process, the company plans to continue to operate its business as usual until an official closure.

A company spokesman says Hancock Fabrics is in the process of trying to find a buyer to buy the stores.

At this time there is no official closing date on the St. Cloud location.