Tupperware Brands Corp. has filed for bankruptcy protection after struggling with declining sales and increased competition for years.
Tupperware, a publicly traded company, filed for Chapter 11 bankruptcy protection. According to court documents, the company lists assets between $500 million and $1 billion, and liabilities between $1 billion and $10 billion. In a separate statement, the company announced it will seek court approval to facilitate a sale of the business and to continue operations during bankruptcy proceedings.
The kitchenware company, a dominant force in food storage for decades, had warned in 2020 that it might not be able to stay in business. As of June this year, the company planned to close its only U.S. factory and lay off nearly 150 employees.
The bankruptcy filing in Delaware comes after months of negotiations between Tupperware and its lenders on managing over $700 million in loans. Although creditors agreed to give the company some breathing room on its debt, the business continued to deteriorate.
Tupperware’s founder introduced its plastic products to the public in 1946, subsequently patenting their flexible airtight seal. The brand’s goods later flooded American homes, largely through independent sales parties hosted in suburban homes.