Tupperware fired its CEO about six months after the Osceola County-based company had said it might not be able to survive.
Miguel Fernandez was terminated “without cause” by Tupperware’s board on Monday, according to a Securities and Exchange Commission document. The company revealed Tuesday that Laurie Ann Goldman, a former CEO of Spanx and Avon North America, had replaced him.
Fernandez, former global president of Avon Products, has been at the helm since April 2020. He is expected to receive more than $1.9 million in severance over a two-year period, along with other benefits, the SEC document said.
Goldman will make an annual base salary of $1 million, along with other benefits such as an annual target bonus opportunity of $1.25 million, with a guaranteed bonus of $312,500 for the rest of this year, according to the document.
“Laurie will excite investors because she’s got solid experience selling to the demographic that Tupperware needs to excite and get committed behind the brand,” said Eric Schiffer, a Beverly Hills-based investor in publicly traded retail, energy and technology companies. “She can modernize the marketing in a way that will be beneficial to investors.”
Schiffer said he does not own Tupperware stock, but called Tuesday one of the best days in the last decade for the company. He added that Tupperware needs to reach Generation X, Millennial and Generation Z women and should improve its social media presence with influencers getting involved.
In another major move, four board members have stepped down and three new members were appointed.
“Now is the right time to bring in new leadership, and Laurie Ann is exceptionally well-suited to advance our long-term strategy and accelerate growth,” said Susan Cameron, chair of Tupperware’s board of directors, in a news release. “Laurie Ann is a trusted and growth-oriented leader with extensive management experience in the consumer goods industry.”
Tupperware, known for its plastic containers and sales parties, saw a brief turnaround under Fernandez’s leadership, but it doesn’t appear to have been enough.
In October 2020 amid the coronavirus pandemic, the company reported its first year-over-year sales increase in a quarter since 2017, as lockdowns and shuttered restaurants sparked demand for food containers.
Its stock price jumped about 35% that day, hitting $28.80 the day of that earnings call. It would reach more than $37 in January 2021.
Tupperware also pushed selling its containers differently, with its independent sales force hosting online parties and Target starting to carry its containers in stores.
But more troubles became public this year.
In April, Tupperware revealed it might not have enough cash to survive in the near term if it wasn’t able to amend its credit agreements or get enough capital.
Tupperware also received warnings from the New York Stock Exchange this year that it was out of compliance with its rules for listed stocks.
Once the ‘Magic Kingdom before Disney,’ Tupperware faces dire future
In August, Tupperware revealed a debt restructuring that would reduce and reallocate about $150 million of cash interest and fees.
Tupperware’s stock price went up about 7.9% Tuesday to $2.18 at market closing.
Fernandez’s departure follows Richard Goudis, executive vice chair and director of the company, on Oct. 6 informing Tupperware he planned to resign, according to a Securities and Exchange Commission filing. Goudis joined the company in 2020 with Fernandez.
Tupperware is the latest major Orlando company to reveal a new CEO. After nearly a year and a half without a CEO, Orlando-based Red Lobster named longtime executive Horace Dawson to the top role in September.
afuller@orlandosentinel.com
