Party City Holdco (PRTYQ) 10-Q 14 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 12, 2015
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Trading Symbol	PRTY
Entity Registrant Name	Party City Holdco Inc.
Entity Central Index Key	1,592,058
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		119,252,774

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 42,811	$ 47,214
Accounts receivable, net	116,739	140,663
Inventories, net	625,691	582,230
Prepaid expenses and other current assets	97,358	77,232
Total current assets	882,599	847,339
Property, plant and equipment, net	248,701	248,684
Goodwill	1,565,622	1,557,250
Trade names	569,500	569,343
Other intangible assets, net	97,371	107,010
Other assets, net	45,400	51,237
Total assets	3,409,193	3,380,863
Current liabilities:
Loans and notes payable	83,223	25,336
Accounts payable	154,579	145,686
Accrued expenses	149,112	165,683
Income taxes payable	0	34,670
Current portion of long-term obligations	12,143	12,249
Total current liabilities	399,057	383,624
Long-term obligations, excluding current portion	1,775,450	2,127,583
Deferred income tax liabilities	307,246	309,338
Deferred rent and other long-term liabilities	43,956	38,030
Total liabilities	2,525,709	2,858,575
Redeemable common securities (3,088,630 shares issued and outstanding at December 31, 2014)	$ 0	$ 35,062
Commitments and contingencies
Stockholders' equity:
Common stock (119,252,774 and 91,007,894 shares issued and outstanding at June 30, 2015 and December 31, 2014, respectively)	$ 1,193	$ 910
Additional paid-in capital	902,275	469,117
(Accumulated deficit) retained earnings	(1,641)	29,934
Accumulated other comprehensive loss	(18,343)	(12,735)
Total stockholders' equity	883,484	487,226
Total liabilities, redeemable common securities and stockholders' equity	$ 3,409,193	$ 3,380,863

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - shares	Jun. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Redeemable common securities, shares issued		3,088,630
Redeemable common securities, shares outstanding		3,088,630
Common stock, shares issued	119,252,774	91,007,894
Common stock, shares outstanding	119,252,774	91,007,894

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Revenues:
Net sales	$ 491,206	$ 487,182	$ 949,401	$ 916,402
Royalties and franchise fees	4,314	4,392	8,224	8,159
Total revenues	495,520	491,574	957,625	924,561
Expenses:
Cost of sales	302,863	304,518	597,137	578,899
Wholesale selling expenses	16,235	18,438	33,360	36,626
Retail operating expenses	85,229	85,667	165,543	165,953
Franchise expenses	3,530	3,431	6,989	6,796
General and administrative expenses	36,417	34,362	74,069	70,452
Art and development costs	5,179	4,853	10,456	9,624
Total expenses	449,453	451,269	887,554	868,350
Income from operations	46,067	40,305	70,071	56,211
Interest expense, net	33,397	38,476	71,876	77,885
Other expense (income), net	48,810	(2,098)	47,389	4,551
(Loss) income before income taxes	(36,140)	3,927	(49,194)	(26,225)
Income tax (benefit) expense	(13,090)	1,471	(17,619)	(8,769)
Net (loss) income	(23,050)	2,456	(31,575)	(17,456)
Comprehensive (loss) income	$ (16,331)	$ 7,122	$ (37,183)	$ (13,423)
Net (loss) income per common share-Basic	$ (0.20)	$ 0.03	$ (0.30)	$ (0.19)
Net (loss) income per common share-Diluted	$ (0.20)	$ 0.03	$ (0.30)	$ (0.19)
Weighted-average number of common shares-Basic	115,060,066	94,019,137	104,578,295	93,936,071
Weighted-average number of common shares-Diluted	115,060,066	94,296,061	104,578,295	93,936,071
Dividends declared per share	$ 0	$ 0	$ 0	$ 0

Condensed Consolidated Stateme5

Condensed Consolidated Statement of Stockholder's Equity - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	(Accumulated Deficit) Retained Earnings [Member]	Accumulated Other Comprehensive Loss [Member]
Balance at Dec. 31, 2014	$ 487,226	$ 910	$ 469,117	$ 29,934	$ (12,735)
Balance, Shares at Dec. 31, 2014	91,007,894	91,007,894
Net loss	$ (31,575)			(31,575)
Equity based compensation	1,124		1,124
Adjustment of redeemable common shares	35,062	$ 31	35,031
Adjustment of redeemable common shares, Shares		3,088,630
Issuance of common stock	397,255	$ 252	397,003
Issuance of common stock, Shares		25,156,250
Foreign currency adjustments	(5,620)				(5,620)
Impact of foreign exchange contracts, net of taxes	12				12
Balance at Jun. 30, 2015	$ 883,484	$ 1,193	$ 902,275	$ (1,641)	$ (18,343)
Balance, Shares at Jun. 30, 2015	119,252,774	119,252,774

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows used in operating activities:
Net loss	$ (31,575)	$ (17,456)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization expense	39,801	40,851
Amortization of deferred financing costs and original issuance discounts	14,451	9,262
Provision for doubtful accounts	24	587
Deferred income tax benefit	(2,660)	(6,371)
Deferred rent	4,101	6,562
Undistributed loss in unconsolidated joint venture	35	472
(Gain) loss on sale of assets	(2,589)	2,315
Equity based compensation	1,124	791
Changes in operating assets and liabilities, net of effects of acquired businesses:
Decrease in accounts receivable	25,088	14,336
Increase in inventories	(44,090)	(97,847)
Increase in prepaid expenses and other current assets	(5,601)	(625)
(Decrease) increase accounts payable, accrued expenses and income taxes payable	(57,951)	38,177
Net cash used in operating activities	(59,842)	(8,946)
Cash flows used in investing activities:
Cash paid in connection with acquisitions, net of cash acquired	(8,258)	(2,152)
Capital expenditures	(31,889)	(33,055)
Proceeds from disposal of property and equipment	601	947
Net cash used in investing activities	(39,546)	(34,260)
Cash flows provided by financing activities:
Repayment of loans, notes payable and long-term obligations	(431,263)	(1,191,656)
Proceeds from loans, notes payable and long-term obligations	133,100	1,240,735
Cash held in escrow in connection with acquisitions	(3,832)	0
Issuance of common stock	397,255	0
Exercise of stock options	0	1,062
Debt issuance costs	0	(193)
Net cash provided by financing activities	95,260	49,948
Effect of exchange rate changes on cash and cash equivalents	(275)	145
Net (decrease) increase in cash and cash equivalents	(4,403)	6,887
Cash and cash equivalents at beginning of period	47,214	25,645
Cash and cash equivalents at end of period	42,811	32,532
Cash paid during the period
Interest	77,753	74,870
Income taxes, net of refunds	$ 33,759	$ 15,835

Description of Business

Description of Business	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business	Note 1 – Description of Business Party City Holdco Inc. (the “Company” or “Party City Holdco”) is the leading party goods retailer by revenue in North America and, we believe, the largest vertically integrated supplier of decorated party goods globally by revenue. The Company is a popular one-stop shopping destination for party supplies, balloons, and costumes. In addition to being a great retail brand, the Company is a global, world-class organization that combines state-of-the-art manufacturing and sourcing operations, and sophisticated wholesale operations with a multi-channel retailing strategy that includes the Party City brick and mortar and e-commerce retail operations. The Company is the leading player in its category, vertically integrated and unique in its breadth and depth. Party City Holdco designs, manufactures, sources and distributes party goods, including paper and plastic tableware, metallic and latex balloons, Halloween and other costumes, accessories, novelties, gifts and stationery throughout the world. The Company’s retail operations include approximately 900 specialty retail party supply stores (including approximately 200 franchise stores) in the United States and Canada operating under the names Party City and Halloween City, and e-commerce websites, principally through the domain name PartyCity.com. Party City Holdco franchises both individual stores and franchise areas throughout the United States, Mexico and Puerto Rico, principally under the name Party City. Party City Holdco is a holding company with no operating assets or operations. The Company owns 100% of PC Nextco Holdings, LLC (“PC Nextco”), which owns 100% of PC Intermediate Holdings, Inc. (“PC Intermediate”). PC Intermediate owns 100% of Party City Holdings Inc. (“PCHI”), which owns the Company’s operating subsidiaries. On April 21, 2015, the Company consummated an initial public offering and sold 25,156,250 shares of common stock for net proceeds of $397,255. See Note 6 for further detail.

Basis of Presentation and Recen

Basis of Presentation and Recently Issued Accounting Pronouncements	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Basis of Presentation and Recently Issued Accounting Pronouncements	Note 2 – Basis of Presentation and Recently Issued Accounting Pronouncements The unaudited condensed consolidated financial statements of the Company include the accounts of the Company and its majority-owned and controlled entities. All significant intercompany balances and transactions have been eliminated in consolidation. The unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information. Accordingly, they do not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring items) considered necessary for a fair presentation have been included in the unaudited condensed consolidated financial statements. The majority of our retail operations define a fiscal year (“Fiscal Year”) as the 52-week period or 53-week period ended on the Saturday nearest December 31st of each year and define fiscal quarters (“Fiscal Quarter”) as the four interim 13-week periods following the end of the previous Fiscal Year, except in the case of a 53-week Fiscal Year when the fourth Fiscal Quarter is extended to 14 weeks. The condensed consolidated financial statements of the Company combine the Fiscal Quarters of our retail operations with the calendar quarters of our wholesale operations. The Company has determined the differences between the retail operation’s Fiscal Year and Fiscal Quarters and the calendar year and calendar quarters to be insignificant. Operating results for interim periods are not necessarily indicative of the results to be expected for the year ending December 31, 2015. Our business is subject to substantial seasonal variations as our retail segment has realized a significant portion of its net sales, cash flows and net income in the fourth quarter of each year, principally due to its Halloween season sales in October and, to a lesser extent, other year-end holiday sales. We expect that this general pattern will continue. Our results of operations may also be affected by industry factors that may be specific to a particular period such as movement in and the general level of raw material costs. For further information see the consolidated financial statements, and notes thereto, included in the Company’s prospectus filed pursuant to Rule 424(b) under the Securities Act of 1933, as amended , as filed with the Securities and Exchange Commission on April 15, 2015. Recently Issued Accounting Pronouncements In July 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-11, “Simplifying the Measurement of Inventory”. The update changes the measurement principle for inventory from the lower of cost or market to lower of cost and net realizable value. The pronouncement will be effective for the Company during the first quarter of 2017. The Company is in the process of evaluating the impact of the pronouncement on the Company’s consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. The pronouncement will be effective for the Company during the first quarter of 2016. It will require companies to present debt issuance costs related to a recognized debt liability as a direct deduction from the carrying amount of such debt liability. As of June 30, 2015 and December 31, 2014, the Company had $33,783 and $44,372, respectively, of debt issuance costs recorded in “other assets” on the Company’s condensed consolidated balance sheet. In June 2014, the FASB issued ASU 2014-12, “Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period”. The update clarifies that a performance target in a share-based payment that affects vesting and that could be achieved after the requisite service period should be accounted for as a performance condition. The pronouncement will be effective for the Company during the first quarter of 2016. Although the Company continues to review this pronouncement, it does not believe that it will have a material impact on the Company’s consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)”. The pronouncement contains a five-step model which replaces most existing revenue recognition guidance. The update is effective for the Company during the first quarter of 2018; however, early adoption is permitted. The pronouncement can be applied retrospectively to prior reporting periods or through a cumulative-effect adjustment as of the date of adoption. The Company is in the process of evaluating the impact of the pronouncement on the Company’s consolidated financial statements.

Inventories

Inventories	6 Months Ended
	Jun. 30, 2015
Inventory Disclosure [Abstract]
Inventories	Note 3 – Inventories Inventories consisted of the following: June 30, 2015 December 31, 2014 Finished goods $ 595,671 $ 550,975 Raw materials 21,394 22,093 Work in process 8,626 9,162 $ 625,691 $ 582,230 Inventories are valued at the lower of cost or market. The Company determines the cost of inventory at its retail stores using the weighted average method. Other inventory cost is principally determined using the first-in, first-out method. The Company estimates retail inventory shortages for the periods between physical inventory dates on a store-by-store basis. Inventory shrinkage estimates can be affected by changes in merchandise mix and changes in actual shortage trends. The shrinkage rate from the most recent physical inventory, in combination with historical experience, is the basis for estimating shrinkage.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	Note 4 – Income Taxes The income tax benefit for the six months ended June 30, 2015 was determined based upon the Company’s estimated consolidated effective income tax rate for the year ending December 31, 2015. The difference between the estimated consolidated effective income tax rate for the year ending December 31, 2015 and the U.S. federal statutory rate is primarily attributable to unrecognized foreign tax credits and state income taxes, partially offset by a foreign rate differential and available domestic manufacturing deductions.

Changes in Accumulated Other Co

Changes in Accumulated Other Comprehensive (Loss) Income	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Changes in Accumulated Other Comprehensive (Loss) Income	Note 5 – Changes in Accumulated Other Comprehensive (Loss) Income The changes in accumulated other comprehensive (loss) income consisted of the following: Three Months Ended June 30, 2015 Foreign Impact of Total, Net of Taxes Balance at March 31, 2015 $ (26,328 ) $ 1,266 $ (25,062 ) Other comprehensive income (loss) before reclassifications 7,739 (933 ) 6,806 Amounts reclassified from accumulated other comprehensive loss to the condensed consolidated statement of operations and comprehensive loss 0 (87 ) (87 ) Net current-period other comprehensive income (loss) 7,739 (1,020 ) 6,719 Balance at June 30, 2015 $ (18,589 ) $ 246 $ (18,343 ) Three Months Ended June 30, 2014 Foreign Impact of Total, Net of Taxes Balance at March 31, 2014 $ 5,111 $ (336 ) $ 4,775 Other comprehensive income (loss) before reclassifications 4,704 (104 ) 4,600 Amounts reclassified from accumulated other comprehensive income to the condensed consolidated statement of operations and comprehensive income 0 66 66 Net current-period other comprehensive income (loss) 4,704 (38 ) 4,666 Balance at June 30, 2014 $ 9,815 $ (374 ) $ 9,441 Six Months Ended June 30, 2015 Foreign Impact of Total, Net of Taxes Balance at December 31, 2014 $ (12,969 ) $ 234 $ (12,735 ) Other comprehensive (loss) income before reclassifications (5,620 ) 265 (5,355 ) Amounts reclassified from accumulated other comprehensive loss to the condensed consolidated statement of operations and comprehensive loss 0 (253 ) (253 ) Net current-period other comprehensive (loss) income (5,620 ) 12 (5,608 ) Balance at June 30, 2015 $ (18,589 ) $ 246 $ (18,343 ) Six Months Ended June 30, 2014 Foreign Impact of Total, Balance at December 31, 2013 $ 5,738 $ (330 ) $ 5,408 Other comprehensive income (loss) before reclassifications 4,077 (160 ) 3,917 Amounts reclassified from accumulated other comprehensive income to the condensed consolidated statement of operations and comprehensive loss 0 116 116 Net current-period other comprehensive income (loss) 4,077 (44 ) 4,033 Balance at June 30, 2014 $ 9,815 $ (374 ) $ 9,441

Capital Stock

Capital Stock	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Capital Stock	Note 6 – Capital Stock At June 30, 2015, the Company’s authorized capital stock consisted of 300,000,000 shares of $0.01 par value common stock. On April 2, 2015, the Company affected a 2,800 for 1 split of its common stock. All earnings per share amounts and number of shares outstanding have been retroactively adjusted. Additionally, on April 21, 2015, the Company consummated an initial public offering of its common stock and sold 25,156,250 shares. The net proceeds of the offering, $397,255 after underwriter fees and other expenses directly related to the offering, were used to, among other things, fully redeem the $350,000 PIK Notes (“Nextco Notes”) and pay a management agreement termination fee to affiliates of Thomas H. Lee Partners, L.P. (“THL”) and Advent International Corporation (“Advent”). The Company paid $363,720 in order to redeem the Nextco Notes, including a 2% prepayment penalty of $7,000 and the payment of all accrued interest as of the redemption date of $6,720. The Company recorded the $7,000 prepayment penalty in other expense, net in the Company’s condensed consolidated statement of operations and comprehensive loss for the three months ended June 30, 2015. Additionally, in conjunction with the redemption, the Company wrote off $8,596 of capitalized debt issuance costs and original issuance discounts related to the Nextco Notes. Such charge was also recorded in other expense, net in the Company’s condensed consolidated statement of operations and comprehensive loss for the three months ended June 30, 2015 and it was recorded in amortization of deferred financing costs and original issuance discounts in the Company’s condensed consolidated statement of cash flows for the six months ended June 30, 2015. In 2012, the Company entered into a management agreement with THL and Advent under which THL and Advent provided advice to the Company on, among other things, financing, operations, acquisitions and dispositions. Under the agreement, THL and Advent were paid an annual management fee for such services. In connection with the initial public offering, the management agreement was terminated and the Company paid THL and Advent an aggregate termination fee of $30,697. Such amount was recorded in other expense, net in the Company’s condensed consolidated statement of operations and comprehensive loss for the three months ended June 30, 2015. Under the terms of Party City Holdco’s prior stockholders’ agreement, dated July 27, 2012, employee stockholders who died or became disabled while employed could have required Party City Holdco to purchase all of the shares held by the employee stockholders. The aggregate amount that would have been payable by the Company to current employee stockholders should they have died or become disabled while employed, based on the estimated fair market value of fully paid and vested common securities, totaled $35,062 at December 31, 2014 and was classified as redeemable common securities on the Company’s consolidated balance sheet. During April 2015, Party City Holdco consummated an initial public offering of its common stock and, at such time, the existing stockholders’ agreement was amended and restated. In conjunction with such amendment and restatement, employee stockholders no longer have the ability to require Party City Holdco to purchase their shares in the event of death or disability and, therefore, all amounts included in redeemable common securities have been reclassified to common stock and additional paid-in capital. The changes in redeemable common securities during the six months ended June 30, 2015 were as follows: Balance at December 31, 2014 $ 35,062 Adjustment of common shares to fair value 5,893 Impact of stockholders’ agreement amendment and restatement (40,955 ) Balance at June 30, 2015 $ 0

Segment Information

Segment Information	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Segment Information	Note 7 – Segment Information Industry Segments The Company has two identifiable business segments. The Wholesale segment designs, manufactures, contracts for manufacture and distributes party goods, including paper and plastic tableware, metallic and latex balloons, Halloween and other costumes, accessories, novelties, gifts and stationery throughout the world. The Retail segment operates specialty retail party supply stores in the United States and Canada, principally under the names Party City and Halloween City, and it operates e-commerce websites, principally through the domain name Partycity.com. The Retail segment also franchises both individual stores and franchise areas throughout the United States, Mexico and Puerto Rico, principally under the name Party City. The Company’s industry segment data for the three months ended June 30, 2015 and June 30, 2014 was as follows: Wholesale Retail Consolidated Three Months Ended June 30, 2015 Revenues: Net sales $ 254,554 $ 350,459 $ 605,013 Royalties and franchise fees 0 4,314 4,314 Total revenues 254,554 354,773 609,327 Eliminations (113,807 ) 0 (113,807 ) Net revenues $ 140,747 $ 354,773 $ 495,520 Income from operations $ 11,353 $ 34,714 $ 46,067 Interest expense, net 33,397 Other expense, net 48,810 Loss before income taxes $ (36,140 ) Wholesale Retail Consolidated Three Months Ended June 30, 2014 Revenues: Net sales $ 255,803 $ 342,436 $ 598,239 Royalties and franchise fees 0 4,392 4,392 Total revenues 255,803 346,828 602,631 Eliminations (111,057 ) 0 (111,057 ) Net revenues $ 144,746 $ 346,828 $ 491,574 Income from operations $ 14,668 $ 25,637 $ 40,305 Interest expense, net 38,476 Other income, net (2,098 ) Income before income taxes $ 3,927 The Company’s industry segment data for the six months ended June 30, 2015 and June 30, 2014 was as follows: Wholesale Retail Consolidated Six Months Ended June 30, 2015 Revenues: Net sales $ 505,270 $ 663,731 $ 1,169,001 Royalties and franchise fees 0 8,224 8,224 Total revenues 505,270 671,955 1,177,225 Eliminations (219,600 ) 0 (219,600 ) Net revenues $ 285,670 $ 671,955 $ 957,625 Income from operations $ 24,022 $ 46,049 $ 70,071 Interest expense, net 71,876 Other expense, net 47,389 Loss before income taxes $ (49,194 ) Wholesale Retail Consolidated Six Months Ended June 30, 2014 Revenues: Net sales $ 488,294 $ 642,015 $ 1,130,309 Royalties and franchise fees 0 8,159 8,159 Total revenues 488,294 650,174 1,138,468 Eliminations (213,907 ) 0 (213,907 ) Net revenues $ 274,387 $ 650,174 $ 924,561 Income from operations $ 26,573 $ 29,638 $ 56,211 Interest expense, net 77,885 Other expense, net 4,551 Loss before income taxes $ (26,225 )

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 8 – Commitments and Contingencies The Company is a party to certain claims and litigation in the ordinary course of business. The Company does not believe these proceedings will result, individually or in the aggregate, in a material adverse effect on its financial condition or future results of operations. The Company is an assignor with contingent lease liability for three stores sold to franchisees and other parties. The potential contingent lease obligations continue until the applicable leases expire in 2018. The maximum amount of the contingent lease obligations may vary, but is limited to the sum of the total amount due under the leases. At June 30, 2015, the maximum amount of the contingent lease obligations was approximately $668. Payment of such amount is contingent upon certain events occurring, which management has not assessed as probable or estimable at this time.

Derivative Financial Instrument

Derivative Financial Instruments	6 Months Ended
	Jun. 30, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Note 9 – Derivative Financial Instruments The Company is directly and indirectly affected by changes in certain market conditions. These changes in market conditions may adversely impact the Company’s financial performance and are referred to as market risks. The Company, when deemed appropriate, uses derivatives as a risk management tool to mitigate the potential impact of certain market risks. The primary market risks managed through the use of derivative financial instruments are interest rate risk and foreign currency exchange rate risk. Interest Rate Risk Management As part of the Company’s risk management strategy, the Company periodically uses interest rate swap agreements to hedge the variability of cash flows on floating rate debt obligations. Accordingly, interest rate swap agreements are reflected in the consolidated balance sheets at fair value and the related gains and losses on these contracts are deferred in stockholders’ equity and recognized in interest expense over the same period in which the related interest payments being hedged are recognized in income. The fair value of an interest rate swap agreement is the estimated amount that the counterparty would receive or pay to terminate the swap agreement at the reporting date, taking into account current interest rates and the current creditworthiness of the swap counterparty. The Company did not utilize interest rate swap agreements during the six months ended June 30, 2015 and June 30, 2014. Foreign Exchange Risk Management A portion of the Company’s cash flows is derived from transactions denominated in foreign currencies. In order to reduce the uncertainty of foreign exchange rate movements on transactions denominated in foreign currencies, including the British Pound Sterling, the Canadian Dollar, the Euro, the Malaysian Ringgit and the Australian Dollar, the Company enters into foreign exchange contracts with major international financial institutions. These forward contracts, which typically mature within one year, are designed to hedge anticipated foreign currency transactions, primarily inventory purchases and sales. For contracts that qualify for hedge accounting, the terms of the foreign exchange contracts are such that cash flows from the contracts should be highly effective in offsetting the expected cash flows from the underlying forecasted transactions. The foreign currency exchange contracts are reflected in the condensed consolidated balance sheets at fair value. The fair value of the foreign currency exchange contracts is the estimated amount that the counterparties would receive or pay to terminate the foreign currency exchange contracts at the reporting date, taking into account current foreign exchange spot rates. At June 30, 2015 and December 31, 2014, the Company had foreign currency exchange contracts that qualified for hedge accounting. No components of these agreements were excluded in the measurement of hedge effectiveness. As these hedges were 100% effective, there was no impact on earnings due to hedge ineffectiveness. The Company anticipates that substantially all unrealized gains and losses in accumulated other comprehensive loss related to these foreign currency exchange contracts will be reclassified into earnings by June 2017. The following table displays the fair values of the Company’s derivatives at June 30, 2015 and December 31, 2014: Derivative Assets Derivative Liabilities Balance Fair Balance Line Fair Balance Fair Balance Fair Derivative Instrument June 30, 2015 December 31, 2014 June 30, 2015 December 31, 2014 Foreign Exchange Contracts (a) PP $ 1,131 (a) PP $ 0 (b) AE $ 675 (b) AE $ 476 (a) PP = Prepaid expenses and other current assets (b) AE = Accrued expenses The following table displays the notional amounts of the Company’s derivatives at June 30, 2015 and December 31, 2014: Derivative Instrument June 30, 2015 December 31, 2014 Foreign Exchange Contracts $ 32,746 $ 8,900

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 10 – Fair Value Measurements The provisions of FASB ASC Topic 820, “Fair Value Measurement”, define fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. ASC Topic 820 established a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows: • Level 1 — Quoted prices in active markets for identical assets or liabilities. • Level 2 — Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs. The following table shows assets and liabilities as of June 30, 2015 that are measured at fair value on a recurring basis: Level 1 Level 2 Level 3 Total as of June 30, 2015 Derivative assets $ 0 $ 1,131 $ 0 $ 1,131 Derivative liabilities 0 675 0 675 The following table shows assets and liabilities as of December 31, 2014 that are measured at fair value on a recurring basis: Level 1 Level 2 Level 3 Total as of December 31, 2014 Derivative assets $ 0 $ 0 $ 0 $ 0 Derivative liabilities 0 476 0 476 In addition to assets and liabilities that are recorded at fair value on a recurring basis, the Company is required to record other assets and liabilities at fair value on a nonrecurring basis, generally as a result of impairment charges. The carrying amounts for cash and cash equivalents, accounts receivable, prepaid expenses and other current assets, accounts payable, accrued expenses and other current liabilities approximated fair value at June 30, 2015 because of the short-term maturities of the instruments and/or their variable rates of interest. The carrying amount and fair value of the Company’s borrowings under its $1,125,000 Term Loan Credit Agreement (“Term Loan Credit Agreement”) and its $700,000 of 8.875% senior notes (“Senior Notes”) are as follows: June 30, 2015 Carrying Fair Value Term Loan Credit Agreement $ 1,084,865 $ 1,092,930 Senior Notes 700,000 750,470 The fair values of the Term Loan Credit Agreement and the Senior Notes represent Level 2 fair value measurements as the debt instruments trade in inactive markets. The carrying amounts for other long-term debt approximated fair value at June 30, 2015 based on the discounted future cash flows of each instrument at rates currently offered for similar debt instruments of comparable maturity.

Earnings Per Share

Earnings Per Share	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Earnings Per Share	Note 11 – Earnings Per Share Basic earnings per share are computed by dividing net income available for common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share are calculated based on the weighted average number of outstanding common shares plus the dilutive effect of stock options as if they were exercised. A reconciliation between basic and diluted income (loss) per share is as follows: Three Months Three Months Six Months Six Months Net (loss) income $ (23,050 ) $ 2,456 $ (31,575 ) $ (17,456 ) Weighted average shares - Basic 115,060,066 94,019,137 104,578,295 93,936,071 Effect of dilutive securities: Stock options 0 276,924 0 0 Weighted average shares - Diluted 115,060,066 94,296,061 104,578,295 93,936,071 Net (loss) income per common share - Basic $ (0.20 ) $ 0.03 $ (0.30 ) $ (0.19 ) Net (loss) income per common share - Diluted $ (0.20 ) $ 0.03 $ (0.30 ) $ (0.19 ) All earnings per share amounts and number of shares outstanding have been retroactively adjusted to give effect to a 2,800-for-1 split of the Company’s common stock, which was effected on April 2, 2015. During the three months ended June 30, 2015, 4,567,364 stock options were excluded from the calculation of net loss per common share – Diluted as they were anti-dilutive. Additionally, during the six months ended June 30, 2015 and 2014, 4,567,364 stock options and 2,626,400 stock options, respectively, were excluded from the calculation of net loss per common share – Diluted as they were anti-dilutive.

Long-Term Obligations

Long-Term Obligations	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Long-Term Obligations	Note 12 – Long-Term Obligations Long-term obligations consisted of the following: June 30, 2015 December 31, 2014 Term Loan Credit Agreement $ 1,084,865 $ 1,089,242 Capital lease obligations 2,728 3,274 Nextco Notes 0 347,316 Senior Notes 700,000 700,000 Total long-term obligations 1,787,593 2,139,832 Less: current portion (12,143 ) (12,249 ) Long-term obligations, excluding current portion $ 1,775,450 $ 2,127,583 The Nextco Notes were redeemed during the three months ended June 30, 2015. See Note 6 for further discussion.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2015
Subsequent Events [Abstract]
Subsequent Events	Note 13 – Subsequent Events Subsequent to June 30, 2015, the Company announced that PCHI intends to redeem its $700,000 of 8.875% Senior Notes and refinance its existing Term Loan Credit Agreement and $400,000 ABL Revolving Credit Facility (“ABL Facility”) with new indebtedness consisting of: (i) a $1,340,000 senior secured term loan facility, (ii) a $540,000 asset-based revolving credit facility (with a seasonal increase to $640,000 during a certain period of each calendar year) and (iii) $350,000 of 6.125% senior notes due 2023. PCHI has caused to be delivered to the holders of the Senior Notes conditional notices of redemption calling half of the Senior Notes on August 27, 2015 and half on September 4, 2015 (the “Redemption Dates”). The redemption price will be 106.656 % of the principal amount of the Senior Notes, plus accrued and unpaid interest on the Senior Notes to, but excluding, the Redemption Dates. PCHI’s obligation to make the first redemption payment on August 27, 2015 is conditioned upon the refinancing of the Term Loan Credit Agreement and ABL Facility resulting in gross proceeds to PCHI in an amount sufficient to repay the existing indebtedness under the agreements, make the first redemption payment for the Senior Notes, and pay related fees and expenses on or before August 27, 2015 (the “Refinancing Condition”). PCHI’s obligation to make the second redemption payment on September 4, 2015 is conditioned upon the Refinancing Condition being satisfied and the consummation of the offering of the notes resulting in gross proceeds to PCHI of at least $350,000 on or before September 4, 2015. PCHI may waive the conditions in its sole discretion.

Basis of Presentation and Rec20

Basis of Presentation and Recently Issued Accounting Pronouncements (Policies)	6 Months Ended
	Jun. 30, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In July 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-11, “Simplifying the Measurement of Inventory”. The update changes the measurement principle for inventory from the lower of cost or market to lower of cost and net realizable value. The pronouncement will be effective for the Company during the first quarter of 2017. The Company is in the process of evaluating the impact of the pronouncement on the Company’s consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. The pronouncement will be effective for the Company during the first quarter of 2016. It will require companies to present debt issuance costs related to a recognized debt liability as a direct deduction from the carrying amount of such debt liability. As of June 30, 2015 and December 31, 2014, the Company had $33,783 and $44,372, respectively, of debt issuance costs recorded in “other assets” on the Company’s condensed consolidated balance sheet. In June 2014, the FASB issued ASU 2014-12, “Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period”. The update clarifies that a performance target in a share-based payment that affects vesting and that could be achieved after the requisite service period should be accounted for as a performance condition. The pronouncement will be effective for the Company during the first quarter of 2016. Although the Company continues to review this pronouncement, it does not believe that it will have a material impact on the Company’s consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)”. The pronouncement contains a five-step model which replaces most existing revenue recognition guidance. The update is effective for the Company during the first quarter of 2018; however, early adoption is permitted. The pronouncement can be applied retrospectively to prior reporting periods or through a cumulative-effect adjustment as of the date of adoption. The Company is in the process of evaluating the impact of the pronouncement on the Company’s consolidated financial statements.
Inventories	Inventories are valued at the lower of cost or market. The Company determines the cost of inventory at its retail stores using the weighted average method. Other inventory cost is principally determined using the first-in, first-out method.
Industry Segments	Industry Segments The Company has two identifiable business segments. The Wholesale segment designs, manufactures, contracts for manufacture and distributes party goods, including paper and plastic tableware, metallic and latex balloons, Halloween and other costumes, accessories, novelties, gifts and stationery throughout the world. The Retail segment operates specialty retail party supply stores in the United States and Canada, principally under the names Party City and Halloween City, and it operates e-commerce websites, principally through the domain name Partycity.com. The Retail segment also franchises both individual stores and franchise areas throughout the United States, Mexico and Puerto Rico, principally under the name Party City.
Derivatives	The Company is directly and indirectly affected by changes in certain market conditions. These changes in market conditions may adversely impact the Company’s financial performance and are referred to as market risks. The Company, when deemed appropriate, uses derivatives as a risk management tool to mitigate the potential impact of certain market risks. The primary market risks managed through the use of derivative financial instruments are interest rate risk and foreign currency exchange rate risk. Interest Rate Risk Management As part of the Company’s risk management strategy, the Company periodically uses interest rate swap agreements to hedge the variability of cash flows on floating rate debt obligations. Accordingly, interest rate swap agreements are reflected in the consolidated balance sheets at fair value and the related gains and losses on these contracts are deferred in stockholders’ equity and recognized in interest expense over the same period in which the related interest payments being hedged are recognized in income. The fair value of an interest rate swap agreement is the estimated amount that the counterparty would receive or pay to terminate the swap agreement at the reporting date, taking into account current interest rates and the current creditworthiness of the swap counterparty. The Company did not utilize interest rate swap agreements during the six months ended June 30, 2015 and June 30, 2014. Foreign Exchange Risk Management A portion of the Company’s cash flows is derived from transactions denominated in foreign currencies. In order to reduce the uncertainty of foreign exchange rate movements on transactions denominated in foreign currencies, including the British Pound Sterling, the Canadian Dollar, the Euro, the Malaysian Ringgit and the Australian Dollar, the Company enters into foreign exchange contracts with major international financial institutions. These forward contracts, which typically mature within one year, are designed to hedge anticipated foreign currency transactions, primarily inventory purchases and sales. For contracts that qualify for hedge accounting, the terms of the foreign exchange contracts are such that cash flows from the contracts should be highly effective in offsetting the expected cash flows from the underlying forecasted transactions. The foreign currency exchange contracts are reflected in the condensed consolidated balance sheets at fair value. The fair value of the foreign currency exchange contracts is the estimated amount that the counterparties would receive or pay to terminate the foreign currency exchange contracts at the reporting date, taking into account current foreign exchange spot rates. At June 30, 2015 and December 31, 2014, the Company had foreign currency exchange contracts that qualified for hedge accounting. No components of these agreements were excluded in the measurement of hedge effectiveness. As these hedges were 100% effective, there was no impact on earnings due to hedge ineffectiveness. The Company anticipates that substantially all unrealized gains and losses in accumulated other comprehensive loss related to these foreign currency exchange contracts will be reclassified into earnings by June 2017.
Fair Value Measurement	The provisions of FASB ASC Topic 820, “Fair Value Measurement”, define fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. ASC Topic 820 established a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows: • Level 1 — Quoted prices in active markets for identical assets or liabilities. • Level 2 — Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.

Inventories (Tables)

Inventories (Tables)	6 Months Ended
	Jun. 30, 2015
Inventory Disclosure [Abstract]
Inventories	Inventories consisted of the following: June 30, 2015 December 31, 2014 Finished goods $ 595,671 $ 550,975 Raw materials 21,394 22,093 Work in process 8,626 9,162 $ 625,691 $ 582,230

Changes in Accumulated Other 22

Changes in Accumulated Other Comprehensive (Loss) Income (Tables)	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Changes in Accumulated Other Comprehensive (Loss) Income	The changes in accumulated other comprehensive (loss) income consisted of the following: Three Months Ended June 30, 2015 Foreign Impact of Total, Net of Taxes Balance at March 31, 2015 $ (26,328 ) $ 1,266 $ (25,062 ) Other comprehensive income (loss) before reclassifications 7,739 (933 ) 6,806 Amounts reclassified from accumulated other comprehensive loss to the condensed consolidated statement of operations and comprehensive loss 0 (87 ) (87 ) Net current-period other comprehensive income (loss) 7,739 (1,020 ) 6,719 Balance at June 30, 2015 $ (18,589 ) $ 246 $ (18,343 ) Three Months Ended June 30, 2014 Foreign Impact of Total, Net of Taxes Balance at March 31, 2014 $ 5,111 $ (336 ) $ 4,775 Other comprehensive income (loss) before reclassifications 4,704 (104 ) 4,600 Amounts reclassified from accumulated other comprehensive income to the condensed consolidated statement of operations and comprehensive income 0 66 66 Net current-period other comprehensive income (loss) 4,704 (38 ) 4,666 Balance at June 30, 2014 $ 9,815 $ (374 ) $ 9,441 Six Months Ended June 30, 2015 Foreign Impact of Total, Net of Taxes Balance at December 31, 2014 $ (12,969 ) $ 234 $ (12,735 ) Other comprehensive (loss) income before reclassifications (5,620 ) 265 (5,355 ) Amounts reclassified from accumulated other comprehensive loss to the condensed consolidated statement of operations and comprehensive loss 0 (253 ) (253 ) Net current-period other comprehensive (loss) income (5,620 ) 12 (5,608 ) Balance at June 30, 2015 $ (18,589 ) $ 246 $ (18,343 ) Six Months Ended June 30, 2014 Foreign Impact of Total, Balance at December 31, 2013 $ 5,738 $ (330 ) $ 5,408 Other comprehensive income (loss) before reclassifications 4,077 (160 ) 3,917 Amounts reclassified from accumulated other comprehensive income to the condensed consolidated statement of operations and comprehensive loss 0 116 116 Net current-period other comprehensive income (loss) 4,077 (44 ) 4,033 Balance at June 30, 2014 $ 9,815 $ (374 ) $ 9,441

Capital Stock (Tables)

Capital Stock (Tables)	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Summary of Changes in Redeemable Common Securities	The changes in redeemable common securities during the six months ended June 30, 2015 were as follows: Balance at December 31, 2014 $ 35,062 Adjustment of common shares to fair value 5,893 Impact of stockholders’ agreement amendment and restatement (40,955 ) Balance at June 30, 2015 $ 0

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Schedule of Company's Industry Segment Data	The Company’s industry segment data for the three months ended June 30, 2015 and June 30, 2014 was as follows: Wholesale Retail Consolidated Three Months Ended June 30, 2015 Revenues: Net sales $ 254,554 $ 350,459 $ 605,013 Royalties and franchise fees 0 4,314 4,314 Total revenues 254,554 354,773 609,327 Eliminations (113,807 ) 0 (113,807 ) Net revenues $ 140,747 $ 354,773 $ 495,520 Income from operations $ 11,353 $ 34,714 $ 46,067 Interest expense, net 33,397 Other expense, net 48,810 Loss before income taxes $ (36,140 ) Wholesale Retail Consolidated Three Months Ended June 30, 2014 Revenues: Net sales $ 255,803 $ 342,436 $ 598,239 Royalties and franchise fees 0 4,392 4,392 Total revenues 255,803 346,828 602,631 Eliminations (111,057 ) 0 (111,057 ) Net revenues $ 144,746 $ 346,828 $ 491,574 Income from operations $ 14,668 $ 25,637 $ 40,305 Interest expense, net 38,476 Other income, net (2,098 ) Income before income taxes $ 3,927 The Company’s industry segment data for the six months ended June 30, 2015 and June 30, 2014 was as follows: Wholesale Retail Consolidated Six Months Ended June 30, 2015 Revenues: Net sales $ 505,270 $ 663,731 $ 1,169,001 Royalties and franchise fees 0 8,224 8,224 Total revenues 505,270 671,955 1,177,225 Eliminations (219,600 ) 0 (219,600 ) Net revenues $ 285,670 $ 671,955 $ 957,625 Income from operations $ 24,022 $ 46,049 $ 70,071 Interest expense, net 71,876 Other expense, net 47,389 Loss before income taxes $ (49,194 ) Wholesale Retail Consolidated Six Months Ended June 30, 2014 Revenues: Net sales $ 488,294 $ 642,015 $ 1,130,309 Royalties and franchise fees 0 8,159 8,159 Total revenues 488,294 650,174 1,138,468 Eliminations (213,907 ) 0 (213,907 ) Net revenues $ 274,387 $ 650,174 $ 924,561 Income from operations $ 26,573 $ 29,638 $ 56,211 Interest expense, net 77,885 Other expense, net 4,551 Loss before income taxes $ (26,225 )

Derivative Financial Instrume25

Derivative Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Fair Values of Derivatives	The following table displays the fair values of the Company’s derivatives at June 30, 2015 and December 31, 2014: Derivative Assets Derivative Liabilities Balance Fair Balance Line Fair Balance Fair Balance Fair Derivative Instrument June 30, 2015 December 31, 2014 June 30, 2015 December 31, 2014 Foreign Exchange Contracts (a) PP $ 1,131 (a) PP $ 0 (b) AE $ 675 (b) AE $ 476 (a) PP = Prepaid expenses and other current assets (b) AE = Accrued expenses
Schedule of Notional Amounts of Derivatives	The following table displays the notional amounts of the Company’s derivatives at June 30, 2015 and December 31, 2014: Derivative Instrument June 30, 2015 December 31, 2014 Foreign Exchange Contracts $ 32,746 $ 8,900

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table shows assets and liabilities as of June 30, 2015 that are measured at fair value on a recurring basis: Level 1 Level 2 Level 3 Total as of June 30, 2015 Derivative assets $ 0 $ 1,131 $ 0 $ 1,131 Derivative liabilities 0 675 0 675 The following table shows assets and liabilities as of December 31, 2014 that are measured at fair value on a recurring basis: Level 1 Level 2 Level 3 Total as of December 31, 2014 Derivative assets $ 0 $ 0 $ 0 $ 0 Derivative liabilities 0 476 0 476
Summary of Carrying Amount and Fair Value	The carrying amount and fair value of the Company’s borrowings under its $1,125,000 Term Loan Credit Agreement (“Term Loan Credit Agreement”) and its $700,000 of 8.875% senior notes (“Senior Notes”) are as follows: June 30, 2015 Carrying Fair Value Term Loan Credit Agreement $ 1,084,865 $ 1,092,930 Senior Notes 700,000 750,470

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Reconciliation of Earnings Per Share	A reconciliation between basic and diluted income (loss) per share is as follows: Three Months Three Months Six Months Six Months Net (loss) income $ (23,050 ) $ 2,456 $ (31,575 ) $ (17,456 ) Weighted average shares - Basic 115,060,066 94,019,137 104,578,295 93,936,071 Effect of dilutive securities: Stock options 0 276,924 0 0 Weighted average shares - Diluted 115,060,066 94,296,061 104,578,295 93,936,071 Net (loss) income per common share - Basic $ (0.20 ) $ 0.03 $ (0.30 ) $ (0.19 ) Net (loss) income per common share - Diluted $ (0.20 ) $ 0.03 $ (0.30 ) $ (0.19 )

Long-Term Obligations (Tables)

Long-Term Obligations (Tables)	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Summary of Long-Term Obligations	Long-term obligations consisted of the following: June 30, 2015 December 31, 2014 Term Loan Credit Agreement $ 1,084,865 $ 1,089,242 Capital lease obligations 2,728 3,274 Nextco Notes 0 347,316 Senior Notes 700,000 700,000 Total long-term obligations 1,787,593 2,139,832 Less: current portion (12,143 ) (12,249 ) Long-term obligations, excluding current portion $ 1,775,450 $ 2,127,583

Description of Business - Addit

Description of Business - Additional Information (Detail) $ in Thousands	Apr. 21, 2015USD ($)shares	Jun. 30, 2015Store
Basis Of Presentation [Line Items]
Net proceeds of the offering | $	$ 397,255
IPO [Member]
Basis Of Presentation [Line Items]
Common stock shares sold | shares	25,156,250
Pc Nextco [Member]
Basis Of Presentation [Line Items]
Ownership percentage		100.00%
United States And Canada [Member]
Basis Of Presentation [Line Items]
Number of specialty retail party supply stores		900
Number of franchise stores included in retail operation		200
Subsidiaries [Member] | Reportable Legal Entity Pc Intermediate Holdings Inc [Member]
Basis Of Presentation [Line Items]
Ownership percentage		100.00%
Indirect Subsidiaries [Member] | Party City Holdings Inc [Member]
Basis Of Presentation [Line Items]
Ownership percentage		100.00%

Basis of Presentation and Rec30

Basis of Presentation and Recently Issued Accounting Pronouncements - Additional Information (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Other Assets [Member]
Basis Of Presentation And Significant Accounting Policies [Line Items]
Debt issuance cost	$ 33,783	$ 44,372
Minimum [Member]
Basis Of Presentation And Significant Accounting Policies [Line Items]
Retail operations period of fiscal year
Retail operations period of fiscal quarter
Maximum [Member]
Basis Of Presentation And Significant Accounting Policies [Line Items]
Retail operations period of fiscal year
Retail operations period of fiscal quarter

Inventories - Inventories (Deta

Inventories - Inventories (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Inventory Disclosure [Abstract]
Finished goods	$ 595,671	$ 550,975
Raw materials	21,394	22,093
Work in process	8,626	9,162
Inventories, net	$ 625,691	$ 582,230

Changes in Accumulated Other 32

Changes in Accumulated Other Comprehensive (Loss) Income - Changes in Accumulated and Other Comprehensive (Loss) Income (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	$ (25,062)	$ 4,775	$ (12,735)	$ 5,408
Other comprehensive (loss) income before reclassifications	6,806	4,600	(5,355)	3,917
Amounts reclassified from accumulated other comprehensive income to the condensed consolidated statement of operations and comprehensive income	(87)	66	(253)	116
Net current-period other comprehensive (loss) income	6,719	4,666	(5,608)	4,033
Ending balance	(18,343)	9,441	(18,343)	9,441
Foreign Currency Adjustments [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(26,328)	5,111	(12,969)	5,738
Other comprehensive (loss) income before reclassifications	7,739	4,704	(5,620)	4,077
Amounts reclassified from accumulated other comprehensive income to the condensed consolidated statement of operations and comprehensive income	0	0	0	0
Net current-period other comprehensive (loss) income	7,739	4,704	(5,620)	4,077
Ending balance	(18,589)	9,815	(18,589)	9,815
Impact of Foreign Exchange Contracts, Net of Taxes [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	1,266	(336)	234	(330)
Other comprehensive (loss) income before reclassifications	(933)	(104)	265	(160)
Amounts reclassified from accumulated other comprehensive income to the condensed consolidated statement of operations and comprehensive income	(87)	66	(253)	116
Net current-period other comprehensive (loss) income	(1,020)	(38)	12	(44)
Ending balance	$ 246	$ (374)	$ 246	$ (374)

Capital Stock - Additional Info

Capital Stock - Additional Information (Detail) $ / shares in Units, $ in Thousands	May. 04, 2015USD ($)	Apr. 21, 2015USD ($)shares	Apr. 02, 2015	Jun. 30, 2015USD ($)$ / sharesshares	Jun. 30, 2015USD ($)$ / sharesshares	Dec. 31, 2014USD ($)
Temporary Equity [Line Items]
Authorized capital stock | shares				300,000,000	300,000,000
Common stock, par value | $ / shares				$ 0.01	$ 0.01
Common stock split conversion description			The Company affected a 2,800 for 1 split of its common stock. All earnings per share amounts and number of shares outstanding have been retroactively adjusted.		All earnings per share amounts and number of shares outstanding have been retroactively adjusted to give effect to a 2,800-for-1 split of the Company's common stock, which was effected on April 2, 2015.
Common stock split conversion ratio			2,800		2,800
Net proceeds of the offering		$ 397,255
Amount paid to redeem the debt Notes	$ 363,720
Prepayment penalty percentage	2.00%
Debt prepayment penalty amount	$ 7,000
Payment of accrued interest	$ 6,720
Capitalized debt issuance cost written off				$ 8,596
Fair market value of fully paid and vested common securities				0	$ 0	$ 35,062
Other Expense (Income), Net [Member] | Thomas H. Lee Partners, L.P. and Advent International Corporation [Member]
Temporary Equity [Line Items]
Management termination fee paid				30,697
Nextco Notes [Member]
Temporary Equity [Line Items]
Issued notes		$ 350,000
Nextco Notes [Member] | Other Expense (Income), Net [Member]
Temporary Equity [Line Items]
Debt prepayment penalty amount				$ 7,000
IPO [Member]
Temporary Equity [Line Items]
Common stock shares sold | shares		25,156,250

Capital Stock - Summary of Chan

Capital Stock - Summary of Changes in Redeemable Common Securities (Detail) $ in Thousands	6 Months Ended
	Jun. 30, 2015USD ($)
Equity [Abstract]
Beginning balance	$ 35,062
Adjustment of common shares to fair value	5,893
Impact of stockholders' agreement amendment and restatement	(40,955)
Ending balance	$ 0

Segment Information - Additiona

Segment Information - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2015Segment
Segment Reporting [Abstract]
Number of business segments	2

Segment Information - Schedule

Segment Information - Schedule of Company's Industry Segment Data (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Revenues:
Net sales	$ 491,206	$ 487,182	$ 949,401	$ 916,402
Royalties and franchise fees	4,314	4,392	8,224	8,159
Total revenues	495,520	491,574	957,625	924,561
Income from operations	46,067	40,305	70,071	56,211
Interest expense, net	33,397	38,476	71,876	77,885
Other expense (income), net	48,810	(2,098)	47,389	4,551
Loss (income) before income taxes	(36,140)	3,927	(49,194)	(26,225)
Operating Segments [Member]
Revenues:
Net sales	605,013	598,239	1,169,001	1,130,309
Royalties and franchise fees	4,314	4,392	8,224	8,159
Total revenues	609,327	602,631	1,177,225	1,138,468
Eliminations [Member]
Revenues:
Total revenues	(113,807)	(111,057)	(219,600)	(213,907)
Wholesale [Member]
Revenues:
Total revenues	140,747	144,746	285,670	274,387
Income from operations	11,353	14,668	24,022	26,573
Wholesale [Member] | Operating Segments [Member]
Revenues:
Net sales	254,554	255,803	505,270	488,294
Royalties and franchise fees	0	0	0	0
Total revenues	254,554	255,803	505,270	488,294
Wholesale [Member] | Eliminations [Member]
Revenues:
Total revenues	(113,807)	(111,057)	(219,600)	(213,907)
Retail [Member]
Revenues:
Total revenues	354,773	346,828	671,955	650,174
Income from operations	34,714	25,637	46,049	29,638
Retail [Member] | Operating Segments [Member]
Revenues:
Net sales	350,459	342,436	663,731	642,015
Royalties and franchise fees	4,314	4,392	8,224	8,159
Total revenues	354,773	346,828	671,955	650,174
Retail [Member] | Eliminations [Member]
Revenues:
Total revenues	$ 0	$ 0	$ 0	$ 0

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) - Jun. 30, 2015 $ in Thousands	USD ($)Store
Commitments and Contingencies Disclosure [Abstract]
Number of stores sold to franchisees and other parties for which the company is an assignor | Store	3
Potential contingent lease obligations expiration year	2,018
Maximum amount of the contingent lease obligations	$ 668

Derivative Financial Instrume38

Derivative Financial Instruments - Additional Information (Detail) - 6 months ended Jun. 30, 2015	Total
Derivative [Line Items]
Foreign currency exchange contracts reclassified date	2017-06
Foreign Exchange Risk Management [Member]
Derivative [Line Items]
Foreign exchange forward contracts maturity	1 year
Hedging effectiveness	100.00%

Derivative Financial Instrume39

Derivative Financial Instruments - Schedule of Fair Values of Derivatives (Detail) - Foreign Exchange Contracts [Member] - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Prepaid Expenses and Other Current Assets [Member]
Derivatives, Fair Value [Line Items]
Derivative assets	$ 1,131	$ 0
Accrued Expenses [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities	$ 675	$ 476

Derivative Financial Instrume40

Derivative Financial Instruments - Schedule of Notional Amounts of Derivatives (Detail) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Foreign Exchange Contracts [Member]
Derivatives, Fair Value [Line Items]
Notional amounts	$ 32,746,000	$ 8,900,000

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	$ 1,131	$ 0
Derivative liabilities	675	476
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	0	0
Derivative liabilities	0	0
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	1,131	0
Derivative liabilities	675	476
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	0	0
Derivative liabilities	$ 0	$ 0

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Detail) - Jun. 30, 2015 - USD ($)	Total
Term Loan Credit Agreement [Member]
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 1,125,000,000
Debt Instrument Carrying Amount	1,084,865,000
Senior Notes [Member]
Debt Instrument [Line Items]
Debt Instrument Carrying Amount	$ 700,000,000
Notes issued rate	8.875%

Fair Value Measurements - Sum43

Fair Value Measurements - Summary of Carrying Amount and Fair Value (Detail) $ in Thousands	Jun. 30, 2015USD ($)
Term Loan Credit Agreement [Member]
Debt Instrument [Line Items]
Debt Instrument Carrying Amount	$ 1,084,865
Debt Instrument Fair Value	1,092,930
Senior Notes [Member]
Debt Instrument [Line Items]
Debt Instrument Carrying Amount	700,000
Debt Instrument Fair Value	$ 750,470

Earnings Per Share - Reconcilia

Earnings Per Share - Reconciliation of Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Earnings Per Share [Abstract]
Net (loss) income	$ (23,050)	$ 2,456	$ (31,575)	$ (17,456)
Weighted average shares - Basic	115,060,066	94,019,137	104,578,295	93,936,071
Effect of dilutive securities:
Stock options	0	276,924	0	0
Weighted average shares - Diluted	115,060,066	94,296,061	104,578,295	93,936,071
Net (loss) income per common share - Basic	$ (0.20)	$ 0.03	$ (0.30)	$ (0.19)
Net (loss) income per common share - Diluted	$ (0.20)	$ 0.03	$ (0.30)	$ (0.19)

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Detail)	Apr. 02, 2015	Jun. 30, 2015shares	Jun. 30, 2015shares	Jun. 30, 2014shares
Earnings Per Share Basic And Diluted [Line Items]
Common stock split conversion description	The Company affected a 2,800 for 1 split of its common stock. All earnings per share amounts and number of shares outstanding have been retroactively adjusted.		All earnings per share amounts and number of shares outstanding have been retroactively adjusted to give effect to a 2,800-for-1 split of the Company's common stock, which was effected on April 2, 2015.
Common stock split conversion ratio	2,800		2,800
Equity Option [Member]
Earnings Per Share Basic And Diluted [Line Items]
Antidilutive securities excluded from calculation of earnings per share		4,567,364	4,567,364	2,626,400

Long-Term Obligations - Summary

Long-Term Obligations - Summary of Long-Term Obligations (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Total long-term obligations	$ 1,787,593	$ 2,139,832
Less: current portion	(12,143)	(12,249)
Long-term obligations, excluding current portion	1,775,450	2,127,583
Term Loan Credit Agreement [Member]
Debt Instrument [Line Items]
Total long-term obligations	1,084,865	1,089,242
Capital Lease Obligations [Member]
Debt Instrument [Line Items]
Total long-term obligations	2,728	3,274
Nextco Notes [Member]
Debt Instrument [Line Items]
Total long-term obligations	0	347,316
Senior Notes [Member]
Debt Instrument [Line Items]
Total long-term obligations	$ 700,000	$ 700,000

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - USD ($)	Aug. 14, 2015	Jun. 30, 2015
Subsequent Event [Member] | Asset Based Revolving Credit Facility [Member]
Subsequent Event [Line Items]
Credit facility borrowing capacity	$ 400,000,000
Credit facility current borrowing capacity	540,000,000
Credit facility borrowing maximum capacity	640,000,000
Subsequent Event [Member] | Senior Secured Term Loan Facility [Member]
Subsequent Event [Line Items]
Senior secured term loan facility	1,340,000,000
Subsequent Event [Member] | 8.875% Senior Notes [Member]
Subsequent Event [Line Items]
Debt Instrument Carrying Amount	$ 700,000,000
Notes issued rate	8.875%
Subsequent Event [Member] | 6.125% Senior Notes [Member]
Subsequent Event [Line Items]
Notes issued rate	6.125%
Issued notes	$ 350,000,000
Debt instrument maturity year	2,023
Senior Notes [Member]
Subsequent Event [Line Items]
Debt Instrument Carrying Amount		$ 700,000,000
Notes issued rate		8.875%
Senior Notes [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Debt Instrument redemption description	PCHI has caused to be delivered to the holders of the Senior Notes conditional notices of redemption calling half of the Senior Notes on August 27, 2015 and half on September 4, 2015 (the “Redemption Dates”).
Proceeds from notes	$ 350,000,000
Percentage of principal amount redeemed	106.656%