Party City, the party supply retail chain with over 850 stores across the country, has announced it is going out of business, with store closings scheduled for Feb. 28, 2025.
CNN obtained access to a video conference call with Party City CEO Barry Litwin informing corporate employees that the company was “winding down” operations immediately and that today was their last day of employment. The company is not providing its staff with severance pay and their benefits will cease as the company goes out of business.
“That is without question the most difficult message that I’ve ever had to deliver,” Litwin said at the meeting, adding, “It’s really important for you to know that we’ve done everything possible that we could to try to avoid this outcome. Unfortunately, it’s necessary to commence a winddown process immediately.”
Party City declared bankruptcy in January 2023 and was able to cancel nearly $1 billion in debt by going bankrupt. However, it still carried more than $800 million in debt.
The 38-year-old Party City is the second major national retailer this week to announce the end of its operations, following the news that Big Lots would begin running going out of business sales.
Photo: Harrison Keely / Wikimedia Commons
;
