After nearly 40 years in business, Party City is ceasing operations.
CNN reported the announcement came on Friday when Party City CEO Barry Litwin told corporate employees in a video conference call that the company is “winding down” operations immediately.
Mr. Litwin also informed corporate employees Friday that they would be terminated effective immediately, and CNN reported that the employees would receive no severance pay and their benefits would likewise be terminated.
“That is without question the most difficult message that I’ve ever had to deliver,” Mr. Litwin said at the meeting.
The New Jersey-based party supply company has been struggling financially for the past few years, declaring bankruptcy in 2023 after accruing $1.7 billion in debt. Between 2022 and 2024 it closed 80 of its more than 850 outlets across the U.S.
“We will stay open through liquidation,” said a store manager at the Marion location, which opened in 2013, but she could not say how long the process would take, declining to comment further.
Party City’s corporate headquarters declined to comment when the CBJ reached out, but confirmed that all stores would be shuttered.
