Tupperware Is in Danger of Going Bust

The 77-year-old food-container maker cites 'substantial doubt' that it can continue
By Steve Huff,  Newser Staff
Posted Apr 11, 2023 4:13 PM CDT
Updated Apr 15, 2023 11:26 AM CDT
Tupperware Is in Danger of Going Bust
Tupperware products in Bellflower, Calif.   (AP Photo/Garrett Cheen, File)

Chemist Earl Tupper developed Tupperware in 1946. Described as "flexible plastic" storage containers in early newspaper articles, Tupper's invention became a pop culture phenomenon in part thanks to its affordability and marketing schemes like 1950s-era "Tupperware Parties." Now the BBC reports that the company is in danger of going under after 77 years—and Tupperware's shares are tanking in response. In a statement late last week, the company said there is "substantial doubt" that it will be able to continue, reports Reuters.

As a result, the company's stock prices dropped a whopping 48% when trading began Monday. NBC News notes that they fell below $2, down from about $100 a decade ago. Once an American backyard cookout staple, Reuters notes that Tupperware's business picked up during the 2020 COVID-19 lockdowns—more people were cooking at home. Once consumers were dining out again, Tupperware found its direct sales model facing challenges, in part due to the pandemic-related explosion in shopping online. Last month, CEO Miguel Fernandez referenced a hopeful "post-pandemic phase," but it is challenged by Tupperware's financial issues—which reportedly include an earnings misstatement that could lead to trouble with creditors.

Tupperware has 3 million independent salespeople in nearly 70 countries, but as the BBC notes, the company just began selling products via Target in the US to grab the attention of a younger customer base and diversified its inventory, adding cooking accessories like the MicroPro Grill, which works with microwaves. Tupperware, however, is facing a market glutted with competition and more storage options than ever. In the new statement, Miguel Fernandez said that "Tupperware has embarked on a journey to turn around our operations." (More Tupperware stories.)

Get the news faster.
Tap to install our app.
Install the Newser News app
in two easy steps:
1. Tap in your navigation bar.
2. Tap to Add to Home Screen.