A chain of stores where the party is always going on is closing down: Party City will close all of its stores and has initiated layoffs, effective immediately. According to CNN, CEO Barry Litwin told corporate employees that Party City has to “commence a winddown process immediately,” and that Friday would be their last day of work for the company.

However, the actual store locations, including those around North Texas, will be open until February 28.

Founded in 1986 and headquartered in Woodcliff Lake, New Jersey, Party City is largest party goods retailer in the U.S. — the go-to destination for every type of celebration, with more than 700 company-owned and franchise store locations across North America selling home decor, candles, balloons, wrapping paper, tableware, bulk candy, baking supplies, and more.

A typical Party City store ranges in size from 10,000 to 12,000 square feet and carries approximately 30,000 items. Halloween accounts for as much as one-quarter of yearly sales, but they celebrate all seasonal holidays, from New Year's Eve to the Fourth of July to Father's Day to Super Bowl Sunday, and offer a wide array of merchandise for birthday parties, bar mitzvahs, wedding and bridal showers, and baby showers.

Party and costume merchandise has become more competitive in recent years, with companies like the budget-focused Spirit Halloween expanding beyond its Halloween pop-ups into “Spirit Christmas” stores, as well as competition from Amazon and other online retailers.

In 2023, the chain filed for bankruptcy, then emerged with a plan that included transitioning into a privately held company and canceling nearly $1 billion in debt. At that time, there were approximately 800 U.S. stores.

There are 64 stores in Texas, with 9 in the Fort Worth area, as follows:

• Arlington
• Burleson
• Denton
• Euless
• Fort Worth
• Hurst
• Lake Worth
• Mansfield
• Watauga

Dallas-Fort Worth stores have already started sales between 5 and 50 percent off.