The US manufacturer of Pyrex and Instant Pot has filed for bankruptcy protection, with as much as £790m in liabilities, reports the BBC.
Instant Brands has blamed interest rates and weak demand for its issues, but plans to continue to operate while it makes changes to the business.
Sales at Instant Brands were strong during the pandemic, but president and chief executive, Ben Gadbois said: “Tightening of credit terms and higher interest rates impacted our liquidity levels and made our capital structure unsustainable.”
In court filings, the company says it generated operating cash flows of $17.9 million in the first three months of the year, compared to over $500 million worth of debt on its books.
The Company also reiterated that entities located outside of the United States and Canada are not included in the Chapter 11 filings. Instant Brands continues to operate as usual in Asia, the UK, Europe, Middle East, Australia and New Zealand regions, as well as provide consumers with the iconic housewares and kitchen appliances through all the usual sales channels. The Company’s mission to provide innovative products that deliver amazing culinary experiences for all consumers remains unchanged.
