Party City is going out of business

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The chain is the largest party supply store in the United States and recently exited bankruptcy in September 2023.

Friday, December 20, 2024 6:51PMParty City is closing down all of its stores, ending nearly 40 years in business, CNN has learned.

"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." That plan included the canceling of nearly $1 billion in debt, the dissolution of its stock and a majority of its 800 US stores staying open.

Party City said in a previous statement that it had renegotiated many of its leases and exited "less productive locations," which resulted in many of chain's workers remaining employed. The company had approximately 6,400 full-time and 10,100 part-time workers as of 2021. Net sales for Party City decreased to $407 million for the three months ending in September 2023, compared to $502 million in the same period in 2022, according to the company's latest financial disclosures.

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