July 7, 2008 - Amscan Holdings Inc. (AHI), has announced the sale of both Party City and both Party America stores in the Salt Lake City market to Zurchers Merchandise Co.
Zurchers currently operates seven retail party stores under the names of Zurchers in the markets of Salt Lake City, as well as Boise and Twin Falls, Idaho. The Party City and Party America stores being acquired by Zurchers will be renamed under the Zurchers trade name and result in their independent ownership of eleven retail party stores in the states of Utah and Idaho.
In a related, but separate transaction AHI also announced they have entered into a seven-year supply agreement with Zurchers Merchandise Company. In exchange, the supply agreement obligates Zurchers to purchase increased levels of merchandise from Amscan through the length of its term.
"This supply agreement with Zurchers, which extends to 2015, affords us the opportunity to strengthen our support with a long standing, independently-owned trade customer," James Harrison, president of AHI, said.