Repeat Corporate Bankruptcies in US Hit Fastest Pace Since 2020

Party City emerged from bankruptcy in October 2023, freed from $1 billion of debt and with “an excellent foundation in place to drive long-term growth,” as then-CEO Brad Weston put it. Just fourteen months later, it went broke again.

Joann Inc.’s round trip from bankruptcy and back could be even faster: It’s currently considering filing for protection from creditors again, according to people familiar with the matter, less than nine months after wrapping up a rapid-fire debt restructuring.

The two retailers are part of a small but growing segment of corporate America: the ranks of bankruptcy recidivists, those ...