Tupperware files for Chapter 11 bankruptcy after 78 years as it lifts the lid on where it went wrong

Tupperware, the iconic American brand known the world over for its plastic food containers, officially filed for bankruptcy protection in Delaware late on Tuesday.

The 78-year-old company has been battling for years to revive its fortunes amid debts of more than $700 million.

Its sales slumped in recent years as the company struggled to place more of its products in retail stores and online sales platforms. Tupperware has historically relied on independent sales representatives to move its products, but that strategy has failed to reach modern consumers, according to the company.

Nearly everyone now knows what Tupperware is, but fewer people know where to find it, Tupperware Chief Restructuring Officer Brian Fox wrote in a court filing in the U.S. Bankruptcy Court for the District of Delaware.

Tupperware last month raised doubts about its ability to remain in business after flagging bankruptcy risk several times due to liquidity constraints.

The company has $812 million in debt, much of which was purchased by distressed debt investors at a deep discount in July, according to court filings.

Those new lenders had sought to use their debt position to seize Tupperware assets including its intellectual property such as its brand, pushing to the company to seek bankruptcy protection, Tupperware said.

The company intends to continue operations and conduct a 30-day bidding process to find a buyer for the entire company.