Tupperware Bankruptcy: Tupperware, maker of colorful tiffin boxes, goes bankrupt! Company in trouble due to debt burden
Even now, you will see colorful Tupperware tiffin boxes, lunch boxes or water bottles in the hands of people walking to office on the streets, metro, buses or after getting down from their car. But tiffin box maker Tupperware is now on the verge of being declared bankrupt due to financial crisis. Tupperware Brands and its subsidiary have filed an application in the Bankruptcy Court of Delaware, USA to declare bankruptcy after huge losses.
poor financial condition
According to Reuters report, Tupperware not only makes colorful tiffin boxes or lunch boxes, but it also makes storage boxes for airtight food items for storage in the kitchen. But in the last few years, the financial condition of the company had become very poor. Laurie Ann Goldman, President and CEO of the company, said that due to the challenging macroeconomic conditions in the last few years, the financial condition of the company has been adversely affected.
Increase in costs and decline in sales become a problem
During the Corona epidemic, when people were staying at home, the demand for airtight plastic containers increased. Due to this, the company saw a huge increase in sales. But since the pandemic, the sharp rise in the prices of raw materials like plastic resin along with cost of labor and freight has affected the company’s operating margins, from which it has not been able to recover. Even in August 2024, Tupperware had cited cash crunch.
Tupperware became popular in the 1950s
Tupperware has a debt of around $700 million i.e. around Rs 5880 crore, for which it was talking to lenders for a long time. Now the company has applied to be declared bankrupt. Tupperware’s popularity peaked in the 1950s when women of the post-war generation, seeking empowerment and independence, began holding Tupperware parties in their homes to sell food storage containers. The American company Tupperware was founded in 1942 by Earl Tupper.
