Party City Announces Nationwide Closure After Filing for Bankruptcy Again

The retailer, known for party supplies and balloons, will shutter nearly 700 stores following financial struggles and rising competition.

Party City has filed for Chapter 11 bankruptcy for the second time in less than two years and will close all of its nearly 700 stores nationwide.
The company cited inflationary pressures, rising costs, slowing consumer demand, and competition from retailers like Walmart, Target, and pop-up stores as key challenges.
Party City previously filed for bankruptcy in January 2023, reducing $1 billion in debt, but ongoing financial difficulties proved insurmountable.
More than 95% of the company’s 12,000 employees will remain temporarily employed to assist with the store closures and liquidation process.
Customers are taking advantage of going-out-of-business sales, with discounts of up to 50% on party supplies, decorations, and balloons.