A shroud hanger assembly or shroud assembly is provided for a gas turbine engine wherein a hanger includes a radially depending and axially extending arm. The arm or retainer engages a pocket formed in a shroud so as to retain the shroud in a desired position relative to the hanger. An aft retaining structure is provided on the hanger and provides a seat for a seal structure which biases the retainer so that the arm of the hanger maintains engagement in the shroud pocket. A baffle may be utilized at the hanger to cool at least some portion of the shroud.