Tupperware Brands, the iconic food storage company, has filed for Chapter 11 bankruptcy protection. According to the company's statement on Tuesday and the WFTV report, the Osceola County-based firm plans to continue operations while seeking a court’s green light to facilitate a potential sale process.
Long-standing financial woes have plagued the company, with its sales parties announcing the bankruptcy filing, pointing toward a persistent downturn in sales. Despite a brief uptick during the early days of the COVID-19 pandemic, Tupperware has been in steady sales decline since 2018, confronted with a surge in competition and consumers' quest for cheaper alternatives, according to details reported by ClickOrlando. Compounded by an inability to rejuvenate its business model, the company has amassed more than $1.2 billion in total debts against $679.5 million in assets.
In addition to the financial strains, Tupperware has faced potential delisting from the New York Stock Exchange after failing to file its annual results and receiving non-compliance notices. "The reality is that the decline at Tupperware is not new," said Neil Saunders, managing director of GlobalData, in a ClickOrlando report.
Founded in 1946, Tupperware maintained a significant cultural footprint, launching Tupperware parties in 1948 that allowed women to conduct business from home. According to documents filed Tuesday, Tupperware maintains a presence in 41 countries, employs more than 5,450, and partners with a global sales force of over 465,000 consultants.
