Tupperware, the iconic food storage company, filed for Chapter 11 bankruptcy late Tuesday, Sept. 17. It’s a downturn for the company that was founded in 1946 by chemist Earl Tupper.
Soon after its creation, women took on the role of Tupperware advocates, inviting others over to their homes to display the benefits of the patented air-tight containers. The popularity of these “Tupperware Parties” in the 1950s led to their creator, Brownie Wise, becoming vice president of marketing.
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But changes in consumer behavior as well as increased competition have put a lid on the company’s good fortune.
“Over the last several years, the company’s financial position has been severely impacted by the challenging macroeconomic environment,” Laurie Ann Goldman, president and CEO of Tupperware, said in a statement. “As a result, we explored numerous strategic options and determined this is the best path forward.”
Tupperware said it will seek court approval to continue operating during the bankruptcy proceedings, including paying employees, vendors and suppliers. It is also seeking court approval to begin a sale process for the business in order to “protect its iconic brand and further advance Tupperware’s transformation into a digital-first, technology-led company.”
According to bankruptcy filings, Tupperware listed $500 million to $1 billion in estimated assets. The company said it holds $1 billion to $10 billion in estimated liabilities.
Last year, Tupperware announced it was shutting down its only U.S. manufacturing facility and laying off nearly 150 workers, per media reports.
Despite the bankruptcy filing, the fate of the 78-year-old company is not yet sealed.
“We plan to continue serving our valued customers with the high-quality products they love and trust throughout this process,” Goldman said.
