Our local WM manager told me that as they get to a given store for the system-wide remodelling that WM is doing, that's when they phase out the fabrics etc.
And it has been true so far around here. They started low on the Texas coast, and the remodelling is crawling up the highways town to town, and fabric is disappearing right along with the remodelling.
One of our local stores put in a rack of FQs right away, the other ones so far have not done so.
I do notice mostly lower quality fabric in these FQs, but every now and then they slip up and put a really nice piece of cloth on the little cardboards folders. I have bought everything of the FQs that caught my fancy, because you know how WM is - Here today and probably not here tomorrow.