Party City is shutting down all its stores, marking the end of its nearly 40-year run, according to information obtained by CNN.

In a Friday meeting with corporate employees, CEO Barry Litwin announced that the company is beginning an immediate shutdown process. Employees were informed that this would be their final day of work and that they would not receive severance packages. Additionally, their benefits will be terminated as the company ceases operations.

“That is without question the most difficult message that I’ve ever had to deliver,” CEO Litwin said at a video conference call meeting.

Litwin stated that despite Party City’s best efforts, the company couldn’t overcome its financial difficulties, ultimately leading to its collapse. He explained that rising inflation increased operational costs while simultaneously reducing consumer spending. On Friday, some store employees were notified in writing that stores would officially close on February 28, and their employment will end.

“It’s really important for you to know that we’ve done everything possible that we could to try to avoid this outcome,” Litwin said. “Unfortunately, it’s necessary to commence a winddown process immediately.”