The US Bankruptcy Court approved the fourth amended joint plan of reorganization of Party City Holdco Inc. on September 6, 2023. The debtor has filed its fourth amended plan in the Court on August 31, 2023. As per the amended plan, Administrative Claims, DIP Claims not less than $149 million, Restructuring Expenses, Professional Fee Claims, Priority Tax Claims, Other Secured Claims and Other Priority Claims payment in full in Cash.

ABL Revolver Claims shall be Allowed in an aggregate amount of not less than $407.28 million shall receive its Pro Rata share of the Takeback ABL Loans and Prepetition ABL FILO Claims shall be Allowed in an aggregate amount of not less than $17.11 million shall receive its Pro Rata share of the Takeback FILO Loans. Secured Notes Claims in an aggregate amount of not less than $911.70 million, will recover 14.5% shall receive its Pro Rata share of (i) the New Common Stock issued on the Effective Date on account of the Allowed Secured Notes Claims, representing 100% of the New Common Stock outstanding on the Effective Date. General Unsecured Claims shall receive its Pro Rata share of the GUC Cash Allocation.

Intercompany Claims and Intercompany Interests shall have its Intercompany Claim Reinstated, or cancelled, released, and extinguished without any distribution. Interests in PCHI I shall have its Interest in PCHI cancelled, released, and extinguished without any distribution. The plan shall be funded through cash in hand, Cash on hand, including Cash from operations and the proceeds from the DIP Facility, the Equity Rights Offering, and the ABL Exit Facility; Takeback Debt; New Second Lien Notes and the New Common Stock.