Tupperware Brands Corporation has filed for bankruptcy, just months after the iconic American food storage container maker shuttered its last remaining plant in the U.S. amid financial woes.
The company formally announced its voluntary decision to initiate Chapter 11 proceedings in the U.S. Bankruptcy Court for the District of Delaware on Tuesday.
The company listed $500 million-$1 billion in estimated assets and $1 billion-$10 billion in estimated liabilities, according to bankruptcy filings, which showed the number of creditors to be between 50,001-100,000.
"Whether you are a dedicated member of our Tupperware team, sell, cook with, or simply love our Tupperware products, you are a part of our Tupperware family. We plan to continue serving our valued customers with the high-quality products they love and trust throughout this process," Laurie Ann Goldman, president and CEO of Tupperware, said in a statement.
BIG LOTS FILES FOR BANKRUPTCY, WILL CLOSE SOME STORES AMID SALE TO INVESTMENT FIRM
She continued, "Over the last several years, the Company's financial position has been severely impacted by the challenging macroeconomic environment. As a result, we explored numerous strategic options and determined this is the best path forward. This process is meant to provide us with essential flexibility as we pursue strategic alternatives to support our transformation into a digital-first, technology-led company better positioned to serve our stakeholders."
Tupperware, founded in 1946 by chemist Earl Tupper, is asking the court to allow continued operations through sales consultants and retail partners, as well as online, according to a press release.
ANOTHER RESTAURANT CHAIN FILES FOR CHAPTER 11 BANKRUPTCY
The company, based in Orlando, Florida, has faced a series of struggles in recent years.
In 2020, the company initiated a turnaround plan and ever since has been trying to execute goals including improving profitability, strengthening its balance sheet and restructuring its debt.
However, in a Securities and Exchange Commission filing in April 2023, Tupperware said that "[t]he Company has concluded that there is substantial doubt about its ability to continue as a going concern for at least one year from the expected issuance date of its Form 10-K financial statements."
Then in June, Tupperware announced it would permanently close its facility in Hemingway, South Carolina, laying off 148 people.
The notice said layoffs would begin in September, with final closure of the plant set for January 2025.
Tupperware said in a statement at the time that it sold the Hemingway plant last year and plans to transition operations to Lerma, Mexico, noting that most of its products sold in the U.S. and Canada are already made at that plant.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Tupperware appointed Goldman as CEO in October 2023.
The company's popularity exploded in the 1950s as women of the post-war generation held "Tupperware parties" at their homes to sell food storage containers as they sought empowerment and independence.
FOX Business' Ailslinn Murphy and Daniella Genovese and Reuters contributed to this report.
https://www.foxbusiness.com/markets/tupperware-files-bankruptcy
No comments:
Post a Comment