(Reuters) -Tupperware Manufacturers filed for Chapter 11 chapter safety late on Tuesday, succumbing to mounting losses amid poor demand for its once-iconic meals storage containers.
The corporate’s recognition exploded within the Fifties as ladies of the post-war technology held “Tupperware (NYSE:) events” at their houses to promote meals storage containers as they sought empowerment and independence.
Nonetheless, it has misplaced its edge to rivals making cheaper and extra environmentally pleasant containers.
Final month, Tupperware raised doubts about its means to stay in enterprise after flagging potential chapter danger a number of occasions because of liquidity constraints.
“Over the past a number of years, the corporate’s monetary place has been severely impacted by the difficult macroeconomic setting,” Chief Govt Officer Laurie Goldman mentioned in a press release.
The corporate mentioned it intends to acquire court docket approval to proceed promoting its merchandise and charting out a sale course of for the enterprise.
The corporate has been making an attempt to show its enterprise round for years after reporting a number of quarters of falling gross sales.
A post-pandemic leap in prices of labor, freight and uncooked supplies corresponding to plastic resin have additionally pressured its enterprise.
Final 12 months, the corporate’s inventory noticed wild swings amid “meme shares” rallies, the place retail buyers coordinate on social media and sometimes focus their speculative bets on corporations which are financially struggling or have excessive quick curiosity.
Tupperware listed $500 million-$1 billion in estimated belongings and $1 billion-$10 billion in estimated liabilities, in response to chapter filings within the U.S. Chapter Court docket for the District of Delaware. It listed the variety of collectors to be between 50,001 and 100,000.
In 2023, the corporate finalized an settlement with its lenders to restructure its debt obligations, and signed funding financial institution Moelis (NYSE:) & Co to assist discover strategic options.
