PARTY city will shut down all of its stores effective immediately, ending almost 40 years of operation.
CNN first reported on Friday that Party City CEO Barry Litwin told corporate employees that the store would “wind down” all retail locations.
Party City CEO told employees the retailer would shut down on Friday[/caption]
“That is without question the most difficult message that I’ve ever had to deliver,” Litwin said told the video conference.
He added that Party City’s “very best efforts have not been enough to overcome” its financial challenges.
“It’s really important for you to know that we’ve done everything possible that we could to try to avoid this outcome,” Litwin said.
“Unfortunately, it’s necessary to commence a winddown process immediately.”
Party City, which is the largest party supply store in the US, exited bankruptcy in September 2023.
The move canceled nearly $1 billion in debt and kept the majority of its over 800 US stores open.
However, the retailer had closed more than 80 stores between the end of 2022 to August 2024.
The retailer first declared bankruptcy in January 2023 and was delisted from the New York Stock Exchange.
Party City had 850 outlets across the US spanning 47 states, according to the retailer’s website.
“As we take this important step to put our business on stronger financial footing for the future, we are as committed as ever to inspiring joy by making it easy for our customers to create unforgettable memories,” Party City Holding’s CEO Brad Weston said in a statement about financial restructuring in January.
“We appreciate the commitment of our team members and the continued support of our partners as we further enhance our position as the ‘go to’ one-stop-shop for celebrating life’s special moments.”
The U.S. Sun contacted various Party City stores at the time of writing.
Party City’s Paramus store in New Jersey said the location would remain open until February to late March 2025, depending on what product was available.
The U.S. Sun understands Party City employees were first informed of the store closures on Thursday this week.
Employees told The U.S. Sun they would be filling balloon orders until New Year’s Eve and could not guarantee staffing in the new year.
According to the Party City website, the retailer has been in business since 1986.
“We’ve been in the business for more than thirty years, growing from a single location to a national chain with stores in most states,” the website said.
“Our superstores are a one-stop shops for party supplies from A to Z, many of them exclusive to Party City.”
The U.S. Sun reports on all things retail, including a raft of store closures which have occurred in 2024.
