On the heels of its bankruptcy announcement, many people are wondering if Party City will be closing down its stores here in New York.

One of the largest party stores in the country filed for bankruptcy citing a major decline in sales.

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According to Fox News, Party City has filed for  Chapter 11 bankruptcy protection to cut debt following falling sales.


Nationwide sales for party City fell almost 2% in the 3rd quarter of 2022. So will this force the company to close stores?
In its filing, the company has asked to operate like "business-as-usual operations" meaning that stores should remain open for now. Employee wages and benefits will also remain the same for the time being.

The ruling would also help Party City continue to honor customer programs such as store credits, special offers, and promotions. The store's policies for returns, exchanges, and refunds won't change either.

According to a press release from the company, they are looking at making some changes to improve their bottom line.

Changes to Party City's business strategy, include:

  • Further conversion of Party City stores to next-generation prototypes
  • Evolving Halloween City pop-up stores
  • Improving the company's online shopping experience

So the good news is that customers should be able to shop at Party City like they have had in the past without any issues.

You can read more about Party City's Chapter 11 filing HERE.

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