Tupperware declares bankruptcy, farewell to the historic food container brand

Food container giant Tupperware could disappear. In difficulty for years, the American multinational manufacturer of the famous plastic food containers that are now part of the daily life of many, has announced that it has started bankruptcy proceedings. “For several years, the financial condition of the company has been severely impacted by a difficult macroeconomic environment,” said Laurie Ann Goldman, CEO of the company that has filed for protection under Chapter 11, the American bankruptcy law. “We therefore explored several strategic options and considered” that entering bankruptcy protection was “the best outcome”, because it would have to “provide us with the essential flexibility” for the digital and technological transformation of our company, explains the CEO in the bankruptcy proceedings documents.

The Orlando, Florida-based group said it plans to continue operating during the proceedings and will continue to pay employees and suppliers, Goldman also said. In documents filed in Delaware Bankruptcy Court, Tupperware estimates its assets (assets) at between $500 million and $1 billion and its liabilities (equity and debt) at between $1 billion and $10 billion. It also lists between 50,000 and 100,000 creditors.

Yesterday, the stock was suspended on Wall Street. In mid-August, the group explained that it was still “facing significant liquidity issues” and had “doubts about its ability to continue its operations.” Long synonymous with food preservation, the Tupperware brand, an international icon to the point that the name is used to refer to any plastic container, has been burdened for years with debts of several hundred million dollars and had to restructure its financial commitments for the first time in 2020.

The group has not released its financial statements since 2022, when revenue fell to $1.3 billion, or 42% less than five years earlier. The company traces its roots to 1946, when chemist Earl Tupper “had a spark of inspiration while making molds in a plastics factory just after the Great Depression,” Tupperware’s website says. “If he could design an airtight seal for plastic containers, like a paint can, he could help war-weary families save money on costly food waste.”

Over time, Tupper’s hermetically sealed plastic containers also became associated with “Tupperware Parties,” where friends gathered at home with food and drinks while a company representative demonstrated the items. As of 2017, the company still counted more than three million of these “ambassadors” worldwide.