ORLANDO, Fla., April 11, 2023 ― Leading global consumer products company Tupperware warned that the company could be going out of business due to unsustainable growth and cash crunch.
In a regulatory filing Tupperware said that it has engaged with financial advisors to find financing to keep the company in business.
Further it said, due to the challenging internal and external business economics, coupled with the increased levels and cost of borrowings under its Credit Facility, the Company currently forecasts that, if it is unable to obtain adequate capital resources or amendments to its Credit Agreement, it may not have adequate liquidity in the near term. As a result, the Company has concluded there is substantial doubt about its ability to continue as a going concern. This going concern status requires the Company to write-down certain non-cash deferred tax assets and goodwill and other intangible assets.
Founded in 1946, Tupperware’s signature container created the modern food storage category that revolutionized the way the world stores, serves and prepares food. Today, this iconic brand has more than 8,500 functional design and utility patents for solution-oriented kitchen and home products. With a purpose to nurture a better future, Tupperware® products are an alternative to single-use items. The company distributes its products into nearly 70 countries.
The doubts over Tupperware business came after the NYSE warned the company’s stock could be de-listed because it didn’t file an annual report for 2022. While Tupperware said it plans to file a report within the next 30 days, but also added “there can be no assurance” it “will be filed at such time.”