Technology tamfitronics
Synopsis
Technology tamfitronics Tupperware Brands has filed for Chapter 11 bankruptcy protection in the US, but its operations in India remain unaffected. The company continues to expand its product range and reports a significant increase in sales during the festive season. Tupperware aims to transform into a digital-first, technology-led company.
AgenciesOnce celebrated for its vibrant food storage containers, Tupperware Brands is now grappling with soaring losses following its Chapter 11 bankruptcy filing on September 17. However, this may not spell the end for Tupperware’s presence in India. The U.S.-based company, famous for its iconic plastic ‘dabbas’ and colorful kitchenware, faces significant challenges, but its legacy might still find a way to thrive in the Indian market.
Also Read: Tupperware files for bankruptcy: Why the tiffin box and bottle maker lost its colour after Covid
“It’s business as usual here and India may not be affected by the global restructuring,” sources close to the development told TOI. This is attributed to local manufacturing, which provides some protection from global disruptions.
Tupperware has been expanding in India over the past 28 years, recently adding steel and glass products to its range. A distributor mentioned that there has been a significant increase in business during the festive season, suggesting no panic among the Tupperware community.
Responding to inquiries, Laurie Ann Goldman, President and CEO of Tupperware, said in an email, “Over the last several years, Tupperware’s financial position was severely impacted by the challenging macroeconomic environment. As a result, we explored numerous strategic options and determined this is the best path forward. This process is meant to provide us with essential flexibility as we pursue strategic alternatives to support our transformation into a digital-first, technology-led company, better positioned to serve our stakeholders. Tupperware intends to continue providing customers with award-winning, innovative products through our Tupperware consultants, retail partners and online.”
To address concerns, some distributors held meetings to clarify the situation for direct sellers and employees.
Tupperware faced financial struggles after a surge in sales during the pandemic waned. High costs of raw materials, labor, and freight further impacted its margins. In August, the company raised substantial doubt about its ability to continue operations, citing a liquidity crunch.
According to bankruptcy filings in the U.S. Bankruptcy Court for the District of Delaware, Tupperware listed $500 million to $1 billion in estimated assets and $1 billion to $10 billion in estimated liabilities.
(With ToI inputs)
