Tupperware warns it could go out of business amid liquidity problems

Tupperware Brands has warned that the 77-year-old company may not survive for another year and expects insufficient liquidity to finance its operations, the seller of airtight plastic food storage containers said Friday in a filing with the DRY.

Tupperware first raised substantial doubts about its ability to continue as a going concern nearly a year ago.

Since then, the company has named consumer goods industry veteran Laurie Ann Goldman as its new CEO, hired investment bank Moelis & Co LLC to explore strategic alternatives, and reached an agreement with lenders to restructure its debts.

Tupperware products
Tupperware expects insufficient liquidity to fund its operations. Getty Images

The company, which previously delayed its 10K filing for 2022, also filed an NT10-K on Friday to notify that it would delay the 10-K filing for the 2023 fiscal year.

It plans to complete its official procedures and file its 10K for 2023 “as quickly as possible,” the company said, but added that “there can be no guarantee as to the timeline for completion of the filing.”

Tupperware blamed the multiple delays in filing its annual report on continued material weaknesses in internal control over financial reporting, its difficult financial situation and significant attrition leading to resource and skills gaps.

Sales have declined in recent quarters following a recovery during the COVID-19 pandemic, when consumers were largely cooking at home and spending more on the company’s products to store leftovers.

Earlier this year, Tupperware also had to retain the services of KPMG LLP as its new independent auditor after the former refused to renew its mandate.

Shares closed Thursday at $1.34 and are down 33% this year.

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Aimant les mots, Sara Smith a commencé à écrire dès son plus jeune âge. En tant qu'éditeur en chef de son journal scolaire, il met en valeur ses compétences en racontant des récits impactants. Smith a ensuite étudié le journalisme à l'université Columbia, où il est diplômé en tête de sa classe. Après avoir étudié au New York Times, Sara décroche un poste de journaliste de nouvelles. Depuis dix ans, il a couvert des événements majeurs tels que les élections présidentielles et les catastrophes naturelles. Il a été acclamé pour sa capacité à créer des récits captivants qui capturent l'expérience humaine.
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