Party City, a popular party supply retailer, has announced the closure of 31 stores in 15 states by the end of April due to the ongoing COVID-19 pandemic and supply chain issues. The company has filed for Chapter 11 Bankruptcy protection and plans to close all of its stores by 2023.
"The decision to close these specific locations was not taken lightly," said James Harrison, CEO of Party City. "We are committed to supporting our employees through this transition and ensuring that they receive appropriate severance packages."
Meanwhile, discount retailer Tuesday Morning is also going out of business, with plans to close all remaining stores. The store operates two Western Pennsylvania locations and is currently promoting discounts on merchandise up to 30 percent off.
Earlier this year, Texas-based Tuesday Morning closed its McMurray and Shadyside locations as it filed for Chapter 11 bankruptcy protection.
"Despite our best efforts to address the challenges presented by the pandemic, we have been unable to fully recover," stated Rebecca Sinclair-Smithson, Vice President of Communications at Tuesday Morning. "We thank our loyal customers for their support over the years."
In addition to Party City and Tuesday Morning's closures, more than 2,100 retail stores across various brands are set to shutter across the US in 2023. These include major chains such as Amazon, Bath & Body Works, Walmart, Bed Bath & Beyond which will be closing around half (896) of its U.S. locations followed by Foot Locker planning on shutting down approximately 545 stores under both brand names by 2026 .
The list announcements from major retailers vary in reasons behind their actions; some companies navigate bankruptcy proceedings while others aim at cutting costs amidst economic setbacks exacerbated by the coronavirus outbreak.
As businesses continue adjusting strategies in response to changing consumer habits due primarily caused by global pandemic concerns , the future retail landscape remains uncertain.