With Help From Friends, Folk Art Museum Will Stay Open

The quilts will live to see another day.

Having seriously weighed dissolving and transferring its collections to another institution because of financial problems, the American Folk Art Museum on Wednesday evening decided to continue operating at its current location at Lincoln Square in Manhattan with the help of financial infusions from trustees and the Ford Foundation.

“We are confident that we’re embarking on a prudent course with the facilities that we have and the staff that we have,” Edward Blanchard, who was elected the museum’s new president on Wednesday, said in an interview. “I think we’re going to do some very exciting things.”

Mr. Blanchard declined to specify the dollar amount of the donations that appear to have saved the day....