As Expected, Tupperware Brands Receives NYSE Notice Regarding Late 2023 10-K Filing

Rhea-AI Summary

Tupperware Brands (NYSE: TUP) announced delays in filing its 2023 financial statements, resulting in a non-compliance notice from the NYSE. The company is working to complete its Form 10-K within the given timeframe.

Insights

Financial Analyst

Tupperware Brands Corporation's delay in filing its 2023 financial statements is a red flag that warrants a closer look from an investment perspective. It's not uncommon for companies to experience delays, but the stated reasons, including ongoing material weaknesses in internal control over financial reporting and attrition in the accounting function, suggest deeper systemic issues that might affect the company's financial health. The NYSE's six-month grace period provides a cushion, but investors should monitor progress closely, as further delays or failure to file within this window could trigger NYSE delisting procedures which would severely impact stock liquidity and investor confidence.

Corporate Governance Expert

This situation with Tupperware Brands underscores the importance of robust internal controls and governance structures. The disclosed material weaknesses in internal controls are troubling as they may point to the potential for misstatements in financial reports or inefficiencies in financial operations. The attrition in the accounting department could signal a deteriorating workplace environment or internal turmoil. Investors should be vigilant about the company's efforts to address these issues, as they are essential for accurate financial reporting and compliance with regulations, ultimately influencing the company's reputation and valuation.

ORLANDO, Fla., April 19, 2024 /PRNewswire/ -- Tupperware Brands Corporation (NYSE: TUP) (the "Company") announced today the status of its filing of its 2023 financial statements.  Following the Company's engagement of its new auditor, KPMG LLP, in late January 2024, the Company became current in the filing of its quarterly financial statements for the first three quarters of 2023, on March 29, 2024. The Company is currently working to complete the preparation, audit and filing of its full-year 2023 financials in its Annual Report on Form 10-K for the fiscal year ended December 30, 2023 (the "Form 10-K"), which was initially due on March 29, 2024, but which the Company previously announced would be delayed.

As expected, the Company received a notice (the "NYSE Notice") from the New York Stock Exchange (the "NYSE") on April 16, 2024 indicating the Company is not in compliance with Section 802.01E of the NYSE Listed Company Manual because the Company has not timely filed its Form 10-K with the Securities and Exchange Commission (the "SEC").  The NYSE Notice has no immediate effect on the listing of the Company's common stock on the NYSE. The NYSE informed the Company that the Company will have six months from March 29, 2024 to file the Form 10-K with the SEC to regain compliance with this NYSE continued listing standard. If the Company fails to file the Form 10-K within the six-month period, then the NYSE may, in its sole discretion, grant a further extension of up to six additional months for the Company to regain compliance, depending on the specific circumstances.

As previously disclosed in its Notification of Late Filing on Form 12b-25 filed by the Company with the SEC on March 29, 2024, the Company requires additional time to file the Form 10-K due to the above discussed delay in filing its quarterly financials, its ongoing material weaknesses in internal control over financial reporting, additional accounting and auditing procedures related to the Form 10-K, and as a result of attrition in its accounting function.  The Company is working diligently to complete the necessary work to file the Form 10-K as soon as practicable and currently expects to be able to file the Form 10-K within the six-month period granted by the NYSE Notice.

Forward-Looking Statements

This press release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including the Company's ability to regain compliance with the NYSE's continued listing standards and the Company's ability to file its annual report on Form 10-K for the fiscal year ended December 30, 2023. Such forward looking statements are based on assumptions about many important factors, including the following, which could cause actual results to differ materially from those in the forward-looking statements: whether and when the Company can complete its consolidated financial statements and related disclosures for the 2023 fiscal year, whether and when its independent registered public accounting firm can complete its audit, and other risks identified in the Company's most recent filing on Form 10-K and other SEC filings, all of which are available on the Company's website. The Company does not intend to update forward-looking information unless otherwise required by law.

About Tupperware

Tupperware Brands Corporation (NYSE: TUP), the company that invented a solution to food waste, empowers female entrepreneurship through social selling and made the home party famous, is as relevant today as when it was founded in 1946. Tupperware is a leading designer, manufacturer, and distributor of authentic, high-quality and ingeniously innovative products that people love and trust. The Tupperware® brand became a part of the fabric of Americana and is now famous around the globe.

For more information, visit Tupperwarebrands.com, or follow the Company on Facebook, Instagram, LinkedIn and Twitter.

Media Contact:

Tammy Snook Quezada

media@tupperware.com 

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SOURCE Tupperware Brands Corporation

FAQ

Why did Tupperware Brands receive a notice from the NYSE?

Tupperware Brands received a notice from the NYSE because it did not timely file its Form 10-K with the SEC.

What is the deadline for Tupperware Brands to file the Form 10-K to regain compliance?

Tupperware Brands has six months from March 29, 2024, to file the Form 10-K with the SEC to regain compliance with the NYSE listing standard.

What are the reasons for Tupperware Brands' delay in filing the Form 10-K?

Tupperware Brands requires additional time due to delays in filing quarterly financials, ongoing internal control weaknesses, additional accounting procedures related to the Form 10-K, and attrition in its accounting function.