Party City on Friday announced it will close all of its stores and has initiated corporate layoffs effective immediately, according to a CNN report. CEO Barry Litwin told corporate employees in a meeting viewed by CNN that Party City has to "commence a winddown process immediately," and that Friday would be their last day of work for the company. The holiday costume chain announced in October that it would open 10 new "Spirit Christmas" stores, with some of the stores being converted from existing Spirit Halloween locations. Representatives for Party City did not immediately respond to CNBC's request for comment on CNN's report or potential story closures. Read the full CNN report here.

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Persons: Barry Litwin, Litwin, Halloween's Organizations: CNN, Party, Global Industrial Company, City Locations: New Jersey