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Party City Yield Pierces 20% Amid Downbeat Mood on Retail Sector

May 24, 2022, 6:21 PM

Party City Holdings first priority bonds due in 2026 fall as much as 2.13 cents on the dollar to a record low 71.38 cents, briefly pushing the yield above 20% amid spreading gloom on the outlook for the retail sector. The stock didn’t fare any better, dropping as much as 11% on the day and almost 80% so far this year.

  • Party City sold the 8.75% notesin February 2021 as retailers sought cash to tide them over during some of the worst days of the pandemic
    • Back then, the party supply retailer was takingadvantage of a hot junk ...