No party for Party City: Retail chain files for bankruptcy

Executives at Party City aren’t having much fun right now, as the nation’s largest party goods and Halloween specialty retail chain filed for bankruptcy protection Tuesday.

The company said in a regulatory filing that it reached an agreement with debt-holders to cut its $1.7 billion debt load.

The move comes after years of losses and weak sales as online retailers and big-box chains have been cutting into Party City’s market share.

The emergence of Spirit Halloween, a pop-up store model, also took a lot of business from Party City during the Halloween season.

Party City says it will be able to keep its stores up and running.

Categories: National News