By Steve Tawa

PHILADELPHIA (CBS) — Discount clothing retailer Daffy’s is shutting down, shuttering 19 stores including its longtime location in center city Philadelphia.

Daffy’s confirms that it will be winding down its business and liquidating its merchandise.

The company that bills itself as selling designer clothes up to 80% off every day — “high fashion at low prices” — says all associates will remain employed and receive pay and benefits for at least 60 days.

Daffy’s, which was founded in 1961 as Daffy Dan’s Bargain Town in Elizabeth, NJ, grew to 19 stores and 1,300 workers, including the Philadelphia location at 17th and Chestnut Streets.

The chain opened its first New York City location in the mid-’80s, expanding to eight stores in Manhattan including its Times Square flagship.

The cash-strapped off-price chain reportedly had problems paying its vendors and was considering selling.  But it now says there were no other viable financial and business alternatives.

Daffy’s will use a liquidator to clear out merchandise, but the family-owned business, run by the daughter of the founder, has not determined the final date for the completion of the closing process.