It is an iconic brand that is present in Portuguese cuisine and is in danger of going bankrupt. The warning came from Tupperware itself. With nearly 80 years of history, the North American food storage container manufacturer has warned of the risk of bankruptcy if it doesn’t have quick access to new lines of credit.
On Monday, Tupperware shares fell nearly 50%, after recovering slightly today (5.6%).
The 77-year-old company admitted in a statement that there are “substantial doubts about its ability to continue” as it “does not expect to have sufficient liquidity in the near term”.
Founded in 1946, the North American manufacturer is trying to reposition itself in the market to reach a younger audience – in addition to selling on its website, the company has recently put its products on sale at the retail chain Target -, but it has could not prevent a drop in turnover, according to the BBC.
It has had to renegotiate its loans three times since August last year after changing the terms of its loan contracts, the company said in the released note.
According to the British broadcaster, the company, founded by American chemist Earl Tupper, is working with financial advisers to raise more funding and is exploring the possibility of selling properties and cutting jobs.
The brand rose to prominence in the 1950s and 1960s with the well-known “Tupperware parties” that salespeople and company representatives held at their homes to sell the famous food storage containers and earn commissions for the products they sold. A brand that is still present in various kitchens around the world to this day. Portugal is no exception.
Tupperware also disclosed that its 2021 and 2022 financial results were “inaccurate” due to how the company accounts for taxes and revenues. More. The American manufacturer even said it risked being delisted on the New York Stock Exchange because it failed to present its annual report for its fiscal year, which ended December 31.
Source: DN
