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Tupperware lifts the lid on its financial problems with bankruptcy filing

NEW YORK (AP) — The company behind Tupperware, the plastic kitchenware that revolutionized food storage after World War II and became inextricably linked to the parties where women seeking a measure of financial independence and fun in midcentury America sold the colorful products, has filed for bankruptcy.

Tupperware Brands, the Orlando, Florida-based consumer goods company that produces the iconic line of containers, said it was seeking Chapter 11 bankruptcy protection after struggling to revitalize its core business and failing to secure a tenable takeover offer.

Despite enjoying the same cultural ubiquity as Kleenex, Teflon and other brands whose trademarked names are eponymous with entire product categories, Tupperware has suffered from waning sales, rising competition and the limitations of the direct-to-consumer marketing model that once defined its success.

The company said Tuesday in its bankruptcy filing that consumers shifting away from direct sales, which make up the vast majority of its sales more than a quarter-century after the first Tupperware parties, has hit the storied business hard.

The company also cited growing public health and environmental concerns about plastic, internal inefficiencies that made it challenging to operate globally, and the “challenging microeconomic environment” of the last several years for its financial straits.

Tupperware said it planned to continue operating during the bankruptcy proceedings and would seek court approval for a sale “in order to protect” the brand.

Tupperware’s roots date to 1946. As the company tells it, chemist Earl Tupper found inspiration while creating molds at a plastics factory. He set out on a mission to create an airtight lid seal — similar to the one on a paint can — for a plastic container to help families save money on food waste.

The brand experienced explosive growth in the mid-20th century, particularly with the rise of direct sales through Tupperware parties. First held in 1948, the parties were promoted as a way for women to earn supplemental income by selling their friends and neighbors the lidded bowls for holding leftovers.

The system worked so well that Tupperware eventually removed its products from stores. It also led Tupper to appoint Brownie Wise, who came up with the house party idea, as a company executive, a position that was rare for a woman at the time.

In the decades that followed, the brand expanded to include canisters, beakers, cake dishes and all manner of implements, and became a staple in kitchens across America and eventually, abroad as well. A newspaper reporter who went undercover to work as a footman in Buckingham Palace captured pictures of the royal Tupperware on the breakfast table of Queen Elizabeth II.

The story behind the company also showed up on TV screens and on stage, with depictions in PBS’ 2004 film “Tupperware!” and the play “Sealed for Freshness.”

“For more than 70 years, Tupperware Brands has centered on a core purpose – to inspire women to cultivate the confidence they need to enrich their lives, nourish their families, and fuel communities around the world,” Tricia Stitzel, the company’s first female CEO, wrote as recently as 2018. “And we continue to make decisions, from our innovative products to our strategic growth strategy, which reflect this purpose.”

In the 2000s, Tupperware also diversified beyond its containers by acquiring beauty and personal care companies, most of them direct-selling brands like Avroy Shlain, Fuller Cosmetics, NaturCare, Nutrimetics and Nuvo.

Financial analysts, however, criticized Tupperware in recent years for sticking with the direct sales model and failing to evolve with the times, most notably the large number of women who work outside the home.

“The reality is that the decline at Tupperware is not new,” Neil Saunders, managing director of GlobalData, said in Wednesday commentary. “It is very difficult to see how the brand can get back to its glory days.”

The company’s sales improved some during the early days of the COVID-19 pandemic, when Americans were cooking and eating more at home. But overall sales have been in steady decline over the years due to rising competition from Rubbermaid, OXO and even takeout food containers that consumers recycle. Vintage Tupperware also remains in demand as a collectible.

Overall, sales for food storage supplies are up 18% compared to before the pandemic, according to figures from market research firm Circana. But despite that growth – and the ongoing popularity of food storage videos on social media – the troubles for Tupperware remained.

Saunders explained that many consumers have migrated to less expensive home storage brands they can find at Target and Walmart. Amazon, the king of online retailers, also has its own line.

Historically, Tupperware marketed its products as higher-quality durable items. But consumers who are looking for durability are interested in more sustainable materials, such as glass and stainless steel, said Jennifer Christ, manager of consumer and commercial research for the Freedonia Group, a market research company.

“There’s less brand loyalty than there used to be,” Christ said.

In the past few years, Tupperware tried a few things to expand its reach and attract new customers. It started selling its products on Amazon as well as in stores at Target and Macy’s. In 2019, the brand also launched a line made with sustainable materials and expanded it two years later.

But financial troubles continued to pile up.

Last year, the company sought additional financing as it warned investors about its ability to stay in business and its risk of being delisted from the New York Stock Exchange.

The company received an additional non-compliance notice from the NYSE for failing to file its annual results with the Securities and Exchange Commission earlier this year. Tupperware continued to warn about its ability to stay afloat in more recent months, with an August securities filing pointing to “significant liquidity challenges.”

Shares for the company have fallen 75% this year.

In Tuesday’s bankruptcy petition, Tupperware reported more than $1.2 billion in total debts and $679.5 million in total assets. It said Tupperware currently employs more than 5,450 employees across 41 countries and partners with over 465,000 consultants who sell products on a freelance basis in nearly 70 countries. Particularly in India, Tupperware was introduced as a way for women to own their own businesses.

Many Tupperware sellers market the products online, but many also make their sales during Tupperware parties at their homes or neighborhood gatherings. In the announcement of the filing, the company maintained that there were no current changes to Tupperware’s independent sales consultant agreements.

Tupperware also pointed to aims to “further advance Tupperware’s transformation into a digital-first, technology-led company,” possibly signaling a move toward increased reliance of sales on the brand’s website or perhaps more online-focused marketing, although the company did not provide exact specifics.

In a statement, Tupperware President and CEO Laurie Ann Goldman acknowledged Tupperware’s recent financial struggles and said that the bankruptcy process is meant to provide “essential flexibility” as the company pursues this transformation. The brand, she maintains, isn’t going anywhere.

“Whether you are a dedicated member of our Tupperware team, sell, cook with, or simply love our Tupperware products, you are a part of our Tupperware family,” Goldman said in a statement. “We plan to continue serving our valued customers with the high-quality products they love and trust throughout this process.”

The company’s bankruptcy filing, though, faces opposition from Tupperware’s new lenders, who want the petition dismissed or converted it to a Chapter 7 case, which would liquidate the company. Alternatively, they’re asking the court for permission to take action against the company, which could allow them to collect debt they’re owed.

Iowa’s Unemployment Rate Increases Slightly to 2.9 Percent in August

DES MOINES, IOWA – Iowa’s seasonally adjusted unemployment rate increased slightly to 2.9 percent in August, ending a four-month stint at 2.8 percent. Sparked primarily by retirements, the state’s labor force participation rate fell to 66.3 percent from 66.4 percent in July. Meanwhile, the U.S. unemployment rate decreased to 4.2 percent.

“National headwinds continue to cause Iowa employers some collective concern about uncertainty in the U.S. economy,” said Beth Townsend, Executive Director of Iowa Workforce Development. “This might explain the sluggish hiring we are seeing now. However, opportunities still exist, as Iowa’s unemployment level remains low and there are more than 54,000 job openings posted on IowaWORKS.gov. IWD career planners can help match anyone ready to work with those employers who are ready to hire.”

The number of unemployed Iowans increased to 48,400 in August from 47,600 in July.

The total number of working Iowans fell to 1,635,400 in August. This figure is 2,400 lower than July and 20,300 lower than one year ago.

Seasonally Adjusted Nonfarm Employment

Total nonfarm employment decreased slightly in August by shedding 600 jobs and lowering the total to 1,609,400 jobs. This loss follows a similar decline of 200 jobs last month and was the result of private service firms lowering staffing levels over the last 30 days. Goods-producing firms, including manufacturing and construction, advanced slightly since July, gaining 400 jobs. Government (a sector that includes federal, state, and local political subdivisions, as well as schools, universities, and public hospitals) also added 400 jobs. Hiring was divided between state, local, and federal institutions and now rests up 3,900 jobs annually. Total nonfarm employment overall has gained 20,100 jobs over the past year.

Professional and business services shed the most jobs since July (-1,800). This sector has now pared 3,200 jobs since June. Administrative support and waste management was responsible for most of the loss, shedding 1,300 jobs. Leisure and hospitality also lost jobs in August (-500). Accommodations and food services was responsible for all the jobs shed and has been trending down slightly since April. Alternatively, construction added 700 jobs since July, erasing a small drop of 500 jobs last month. Firms involved in new building construction were responsible for most of the loss this month. Other services also added 700 jobs and has now gained 1,300 since May. Financial activities posted the only other major gain in August (+600).

Annually, Iowa establishments have added 20,100 jobs over the past 12 months. Education and health services has gained the most jobs (+10,300). Health care and social assistance has been responsible for most of the gain (+6,000) although private education has also advanced markedly since last year (+4,300). Leisure and hospitality have added 3,900 jobs thanks primarily to hiring in accommodations and food services. On the other hand, manufacturing has shed the most jobs over the past 12 months (-2,200). Nondurable goods factories are responsible for all the loss, as layoffs have been highest in food manufacturing. Other sectors shedding jobs since last August were transportation and warehousing (-1,300) and administrative support and waste management industries (-1,300).

Oskaloosa Homecoming 2024 – Surfing Our Way to a Victory Homecoming Court Announced

OSKALOOSA, IOWA — Oskaloosa High School is excited to announce the 2024 Homecoming Court. This year’s theme, “Surfing Our Way to Victory,” promises a fun-filled week of celebration. The Homecoming Coronation will take place on Thursday, September 26, immediately following the community parade at Oskaloosa Community Stadium (498 N 2nd St), with this year’s royalty crowning starting at approximately 7:45 p.m. Throughout the week, Oskaloosa students will showcase their spirit with themed dress-up days at each campus. The community is encouraged to wear maroon, black, and white Oskaloosa apparel on Friday and during all events you attend.

Homecoming court:

Back row: (Left to right) Grady Kool, Caden Johnson, Jaden DeRonde, Oliver Smith, Cooper Rupprecht

Front row: (Left to right) Hannah Nelson, Ava Ridenour, Gracie DeRonde, Madelyne Vernooy, Rees Campbell

Schedule

Monday, September 23

5:00 p.m. JV 1 volleyball tournament at PCM High School

5:00 p.m. JV2 volleyball tournament at Eddyville-Blakesburg-Fremont

6:00 p.m. JV football games vs. Ottumwa at Schafer Stadium

8:30 p.m. Powderpuff football at Community Stadium at Lacey Complex (2060 Stadium Dr)

Tuesday, September 24

4:30 p.m. Cross Country at Mt. Pleasant High School

5:00 p.m. JV2 Volleyball at Pella Christian

6:00 p.m. JV1 Volleyball at Pella Christian

7:15 p.m. 7:15 Varsity Volleyball at Pella Christian

9:00 p.m. Powderpuff Volleyball at Oskaloosa High School (1816 North 3rd Street)

Wednesday, September 25

No activities

Thursday, September 26

6:30 p.m. Homecoming Parade (Downtown Oskaloosa)

7:45 p.m. Homecoming Coronation Program at Oskaloosa Community Stadium (498 N 2nd St)

Friday, September 27

5:00 p.m. 9th-grade football at Community Stadium at Lacey Complex (2060 Stadium Dr)

7:30 p.m. Varsity football vs. Clear Creek Amana at Community Stadium at Lacey Complex

9:00 p.m. – midnight- Homecoming Dance (for HS students only)

School Bus Accident in Jasper County Sends One Student to Hospital for Evaluation

MONTEZUMA — A school bus accident in Jasper County yesterday afternoon resulted in one student being sent to the hospital for evaluation.

At 2:13pm on Thursday, 9/19, the Grinnell Fire Department was alerted to a school bus accident on Interstate 80 near the 179 exit. A Montezuma School District bus containing eleven students and five adults, including the driver, crashed into the median. All involved were assessed for injuries on scene, and ambulances were used to transport the uninjured off the highway to safety. One student was transported by ambulance to Unity Point Grinnell for evaluation. The uninjured were released to the Montezuma School District principal and bused back to Montezuma for reunification.

Iowa State Patrol, Jasper County Sheriff’s Office, Jasper County Emergency Management, and Kellogg Fire personnel also responded and assisted on scene. Montezuma Ambulance and a bus from the Grinnell-Newburg School District responded and stood by in case they were needed.

Americans can now renew passports online and bypass cumbersome paper applications

WASHINGTON (AP) — Americans can now renew their passports online, bypassing a cumbersome mail-in paper application process that often caused delays.

The State Department announced Wednesday that its online renewal system is now fully operational, after testing in pilot programs, and available to adult passport holders whose passport has expired within the past five years or will expire in the coming year. It is not available for the renewal of children’s passports, for first-time passport applicants for renewal applicants who live outside the United States or for expedited applications.

“By offering this online alternative to the traditional paper application process, the Department is embracing digital transformation to offer the most efficient and convenient passport renewal experience possible,” Secretary of State Antony Blinken said in a statement.

The department said it estimated that about 5 million Americans would be able to use this service a year. In 2023, it processed 24 million passports, about 40% of which were renewals.

After staffing shortages caused mainly by the COVID-19 pandemic resulted in lengthy passport processing delays, the department ramped up hiring and introduced other technological improvements that have reduced wait times by about one-third over last year. It says most applications are now completed in far less than the advertised six weeks to eight weeks and the online renewal system is expected to further reduce that.

The system will allow renewal applicants to skip the current process, which requires them to print out and send paper applications, photos and a check by mail, and submit their documents, photo, and payment through a secure website, www.Travel.State.Gov/renewonline.

There will be no change to the existing passport processing fees, which are currently $130 for a regular renewal.

Assistant Secretary of State for Consular Affairs Rena Bitter, whose bureau oversees passport processing said the department hoped to expand the program in the coming years to possibly include Americans living abroad, those seeking to renew a second passport and children’s passports.

“This is not going to be the last thing that we do,” she told reporters. “We want to see how this goes and then we’ll start looking at ways to continue to make this service available to more American citizens in the coming months and years.”

Weekly Fuel Report

DES MOINES — The price of regular unleaded gasoline fell 9 cents, averaging $2.97 across Iowa according to AAA.

Crude Oil Summary

  • The price of global crude oil rose this week on the West Texas Intermediate (WTI) by $4.87 per barrel over last week, currently priced at $70.69.
  • Brent crude oil rose by $3.91 and is currently priced at $73.14.
  • One year ago, WTI crude sold for $91.48 and Brent crude was at $95.95.

Motor Fuels

  • As of Wednesday, the price of regular unleaded gasoline averaged $2.97 across Iowa according to AAA.
    • Prices fell 9 cents from last week’s price and are down 87 cents from a year ago.
    • The national average on Wednesday was $3.22, down 3 cents from last week’s price.
  • Retail diesel prices in Iowa fell 5 cents this week with a statewide average of $3.34.
    • One year ago, diesel prices averaged $4.34 in Iowa.
    • The current Iowa diesel price is 26 cents lower than the national average of $3.60.
  • Wholesale ethanol held steady and is currently priced at $2.16.
  • The current Des Moines Terminal/Rack Prices are $2.10 for U87-E10, $2.37 for Unleaded 87 (clear), $2.27 for ULSD#2, $2.53 for ULSD#1, and $1.93 per gallon for E-70 prices.

Heating Fuels

  • Natural gas prices fell 1 cent at the Henry Hub reporting site and are currently priced at $2.31/MMbtu.
  • Continuing throughout the summer months, we will only report retail heating oil and propane prices in Iowa once a month.

Tips for saving energy on the road or at home are available at energy.gov and fueleconomy.gov.

Walk to End Alzheimer’s Raises Over $30,000 in Ottumwa

OTTUMWA — On Thursday, September 12 over 240 Ottumwa area residents participated in the Walk to End Alzheimer’s at the Bridge View Center. Walkers helped raise over $30,000 to fund the care, support and research programs of the Alzheimer’s Association. Fundraising continues through the end of the year, so there is still time to donate at alz.org/walk.

This year’s Top Team is Mary’s Mission, led by Top Walker Robin Turner, and they raised over $2,800. The other top teams and walkers are:

  • Team Karon Coffey Clan, led by Edward Coffey, raised $2,000.
  • Team Orris established 2023, led by Linda Shields, raised over $1,800.
  • Team Ottumwa Regional Walkers, led by Robin Turner, raised over $1,500.

All top teams and walkers can be found at act.alz.org/OttumwaWalk.

Nearly 7 million Americans are living with Alzheimer’s disease – a leading cause of death in the United States. Additionally, more than 11 million family members and friends provide care to people living with Alzheimer’s and other dementias. In Iowa, there are more than 62,000 people living with the disease and nearly 100,000 caregivers.

Pella HS Student Charged for Alleged Threat to School

PELLA — A Pella High School student is being charged for an alleged threat to school safety after an investigation yesterday.

On September 18th, 2024, Pella High School Staff notified the Pella Police Department regarding a potential verbal threat to the Pella High School. The Pella Police Department initiated an investigation and coordinated response with Pella High School Staff and Administration. 

The investigation revealed that a 16-year-old male made a threat to shoot the school. The student was immediately removed from class, and law enforcement was contacted. 

The juvenile has been charged with a Threat of Terrorism under Iowa Code 708A.5, harassment, and carrying a dangerous weapon by a minor as he was found to be in possession of a homemade throwing star. The male was taken into custody by police officers and transported to juvenile detention. 

The Pella Police Department and the Pella School District take threats of this nature very seriously. It is of utmost importance to coordinate and cooperate to quickly respond to these threats and ensure the safety of students and staff in the Pella community. 

Osky Swept at DCG

By Sam Parsons

Oskaloosa traveled to 4A #8 Dallas Center-Grimes for a Little Hawkeye Conference volleyball tilt last night in pursuit of a similar result to the last pair of regular season matches they had against the Mustangs, both of which saw the Indians pull out 5-set victories. Unfortunately, that wasn’t in the cards last night, as the 8th-ranked Mustangs looked to prove they belonged in the top 10 in the state in their class.

The match began as a back-and-f0rth affair that seemed to be a precursor for a long, competitive night of volleyball. Neither team led by more than 4 points at any point in the opening set and it was tied 20-20 toward the end, but the Mustangs closed strong and won the opening set 25-22.

That would prove to be the closest set of the night. The Indians battled again early in the second set, but after leading 10-9, the Mustangs found their groove again, embarking on a 12-4 run to take a 21-14 lead; a late Indians push would not nearly be enough as the Mustangs won 25-19 to take a 2-0 set advantage, putting the Indians in a hole that would be difficult to climb out of. The third set yielded a similar result: DCG held a narrow 16-14 lead midway through before going on a 6-2 run to create separation, and they won the third set by another 25-19 score to secure the sweep.

Oskaloosa (5-12) will keep looking for their first conference win of the season next Tuesday at Pella Christian. That match will be broadcast on KBOE 104.9 FM and kboeradio.com starting at 7pm.

Instagram makes teen accounts private as pressure mounts on the app to protect children

LOS ANGELES (AP) — Instagram is making teen accounts private by default as it tries to make the platform safer for children amid a growing backlash against how social media affects young people’s lives.

Beginning Tuesday in the U.S., U.K., Canada and Australia, anyone under 18 who signs up for Instagram will be placed into restrictive teen accounts and those with existing accounts will be migrated over the next 60 days. Teens in the European Union will see their accounts adjusted later this year.

Parent company Meta acknowledges that teenagers may lie about their age and says it will require them to verify their ages in more instances, like if they try to create a new account with an adult birthday. The Menlo Park, California company also said it is building technology that proactively finds teen accounts that pretend to be grownups and automatically places them into the restricted teen accounts.

The teen accounts will be private by default. Private messages are restricted so teens can only receive them from people they follow or are already connected to. “Sensitive content,” such as videos of people fighting or those promoting cosmetic procedures, will be limited, Meta said. Teens will also get notifications if they are on Instagram for more than 60 minutes and a “sleep mode” will be enabled that turns off notifications and sends auto-replies to direct messages from 10 p.m. until 7 a.m.

While these settings will be turned on for all teens, 16 and 17-year-olds will be able to turn them off. Kids under 16 will need their parents’ permission to do so.

“The three concerns we’re hearing from parents are that their teens are seeing content that they don’t want to see or that they’re getting contacted by people they don’t want to be contacted by or that they’re spending too much time on the app,” said Naomi Gleit, head of product at Meta. “So teen accounts is really focused on addressing those three concerns.”

The announcement comes as the company faces lawsuits from dozens of U.S. states that accuse it of harming young people and contributing to the youth mental health crisis by knowingly and deliberately designing features on Instagram and Facebook that addict children to its platforms.

While Meta didn’t give specifics on how the changes might affect its business, the company said the changes may mean that teens will use Instagram less in the short term. Emarketer analyst Jasmine Enberg said the revenue impact of the changes “will likely be minimal.”

“Even as Meta continues to prioritize teen safety, it’s unlikely that it’s going to make sweeping changes that would cause a major financial hit,” she said, adding that the teen accounts are unlikely to significantly affect how engaged teens are with Instagram “not in the least because there are still plenty of ways to circumvent the rules, and could even make them more motivated to work around the age limits.”

New York Attorney General Letitia James said Meta’s announcement was “an important first step, but much more needs to be done to ensure our kids are protected from the harms of social media.” James’ office is working with other New York officials on how to implement a new state law intended to curb children’s access to what critics call addictive social media feeds.

Others were more critical. Nicole Gil, the co-founder and executive director of the nonprofit Accountable Tech, called Instagram’s announcement the “latest attempt to avoid actual independent oversight and regulation and instead continue to self-regulate, jeopardizing the health, safety, and privacy of young people.”

“Today’s PR exercise falls short of the safety by design and accountability that young people and their parents deserve and only meaningful policy action can guarantee,” she said. “Meta’s business model is built on addicting its users and mining their data for profit; no amount of parental and teen controls Meta is proposing will change that.”

Sen. Marsha Blackburn (R-Tenn.), the co-author of the Kids Online Safety Act that recently passed the Senate, questioned the timing of the announcement “on the eve of a House markup” of the bill.

“Just like clockwork, the Kids Online Safety Act moves forward and industry comes out with a new set of self-enforcing guidelines,” she said.

In the past, Meta’s efforts at addressing teen safety and mental health on its platforms have also been met with criticism that the changes don’t go far enough. For instance, while kids will get a notification when they’ve spent 60 minutes on the app, they will be able to bypass it and continue scrolling.

That’s unless the child’s parents turn on “parental supervision” mode, where parents can limit teens’ time on Instagram to a specific amount of time, such as 15 minutes.

With the latest changes, Meta is giving parents more options to oversee their kids’ accounts. Those under 16 will need a parent or guardian’s permission to change their settings to less restrictive ones. They can do this by setting up “parental supervision” on their accounts and connecting them to a parent or guardian.

Nick Clegg, Meta’s president of global affairs, said last week that parents don’t use the parental controls the company has introduced in recent years.

Meta’s Gleit said she thinks the teen accounts will incentivize parents to start using them.

“Parents will be able to see, via the family center, who is messaging their teen and hopefully have a conversation with their teen,” she said. “If there is bullying or harassment happening, parents will have visibility into who their teen’s following, who’s following their teen, who their teen has messaged in the past seven days and hopefully have some of these conversations and help them navigate these really difficult situations online.”

U.S. Surgeon General Vivek Murthy said last year that tech companies put too much responsibility on parents when it comes to keeping children safe on social media.

“We’re asking parents to manage a technology that’s rapidly evolving that fundamentally changes how their kids think about themselves, how they build friendships, how they experience the world — and technology, by the way, that prior generations never had to manage,” Murthy said in May 2023.

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