NEW YORK–(BUSINESS WIRE)–$TUP #classaction–The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Central District of California on behalf of those who acquired Tupperware Brands Corporation (“Tupperware” or the “Company”) (NYSE: TUP) securities during the period from January 30, 2019 through February 24, 2020. Investors have until April 27, 2020 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
The lawsuit alleges that the Company failed to disclose that: (i) Tupperware lacked effective internal controls; (ii) as a result, Tupperware would need to investigate Fuller Mexico’s accounting and liabilities; (iii) consequently, Tupperware would be unable to timely file its annual report on Form 10-K for its fiscal year 2019; (iv) Tupperware did not properly account for its accounts payable and accrued liabilities at Fuller Mexico; (v) Tupperware provided overvalued earnings per share guidance; and (vi) Tupperware would need relief from its $650 million Credit Agreement.
On February 24, 2020, Tupperware announced that it would be unable to timely file its annual report for the fiscal year ended December 28, 2019. Tupperware also announced that it expects 2019 net earnings per share “in the range of breakeven to $0.34 versus $3.11 in the prior year[,]” and adjusted EPS of $1.35 to $1.70. The Company said results were affected by “financial reporting issues” with Fuller Mexico and that Tupperware is “conducting an investigation primarily into the accounting for accounts payable and accrued liabilities at its Fuller Mexico beauty business[.]” Additionally, “the Company is forecasting a need for relief concerning its existing leverage ratio covenant in its $650 million Credit Agreement dated March 29, 2019 , to avoid a potential acceleration of the debt, which could have a material adverse impact on the Company.”
On this news, Tupperware’s stock price fell $2.61, or 45.6%, to close at $3.11 per share on February 25, 2020.
If you acquired Tupperware securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at [email protected], or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, and whistleblower litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: www.kmllp.com.
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