Tupperware Preparing For Bankruptcy?
The filing for bankruptcy comes after lengthy discussions on how Tupperware should handle its more than $700 million in debt between the company and its lenders
As per an industry report, Tupperware Brands might declare bankruptcy. Earl Tupper started the business in 1946, and as women sought independence and strength, they threw ‘Tupperware parties’ at home to sell food storage containers, which led to the company's meteoric rise in popularity in the 1950s.
Tupperware's sales increased during the COVID-19 epidemic as more families cooked and utilised the boxes for leftovers.
But after the epidemic, its sales fell off. The home products company reportedly hired legal and financial advisors after breaking the terms of its debt, and now plans to file for bankruptcy, according to the Bloomberg news agency.
The filing for bankruptcy comes after lengthy discussions on how Tupperware should handle its more than $700 million in debt between the company and its lenders.
Although the financiers granted the US-based company some breathing room, its situation worsened.
Tupperware issued a warning in March, citing a lack of confidence in the company's ability to grow and a liquidity problem. The company intended to close its US factory in June of this year and lay off 150 workers.
Laurie Ann Goldman was named the new CEO last year, taking over for Miguel Fernandez and other board members.
For eight decades, the corporation has operated mostly through direct sales from numerous vendors.
