KBC Channel 1

Tag: bankruptcy

  • US diet company WeightWatchers files for bankruptcy

    US diet company WeightWatchers files for bankruptcy

    The famed US diet company originally known as WeightWatchers said it has filed for bankruptcy but will continue operations while its $1.15-billion debt is restructured.

    The company, now known as WW International, filed for Chapter 11 bankruptcy protection that it said “will eliminate $1.15 billion in debt from the company’s balance sheet, and position WeightWatchers for long-term growth and success.”

    “Operations continue with no impact to… more than three million members worldwide for its members,” it said in a statement on Tuesday.

    WeightWatchers has faced mounting debt as it struggled to keep pace with competition, including weight loss drugs such as Ozempic.

    The company said it “expects (the) reorganization plan to be confirmed in approximately 40 days and to emerge as a publicly traded company.”

    WeightWatchers, founded in 1963, renamed itself “WW” in 2018 as it shifted to a broader marketing strategy promoting wellness beyond weight-loss programs.

  • Tupperware files for bankruptcy as demand slides

    Tupperware files for bankruptcy as demand slides

    Tupperware Brands, the US maker of food storage containers, and some of its subsidiaries have filed for bankruptcy in the US in the face of ballooning losses.

    The embattled company says it will ask for court permission to start a sale process of the business and aims to continue operating during the bankruptcy proceedings.

    Last year, the 78-year-old firm warned that it may go bust unless it could quickly raise new financing.

    Tupperware has been attempting to reposition itself to younger customers as it faces sliding sales.

    “We plan to continue serving our valued customers with the high-quality products they love and trust throughout this process,” the company’s chief executive Laurie Ann Goldman said in a statement to investors.

    The company’s shares have fallen by more 50% this week after reports that it was planning to file for bankruptcy.

    Tupperware has for years been struggling to stem falling sales of its products in the face of cheaper competition.

    After a brief surge in sales during the pandemic, as more people cooked at home, the firm saw demand continue to slide.

    The rising cost of raw materials, higher wages and transportation costs have also eaten into its profit margins.

    Tupperware dominated its market for years, becoming so synonymous with food storage containers that many people use its name when referring to any plastic container.

    The company was founded in 1946 by Earl Tupper, who patented the containers’ flexible airtight seal.

    It became well-known in the 1950s and 1960s when people held “Tupperware parties” in their homes to sell the plastic containers to friends and neighbours.