Pyrex and Instant Pot Maker Just Declared Bankruptcy Best Life
When it comes to kitchen necessities, glass cookware and storage are non-negotiable. You likely rely on Pyrex, whether for baking or as a plastic alternative for stowing leftovers. And there's a decent chance those leftovers are from meals you cooked in the beloved Instant Pot pressure cooker. Now, however, the state of both of these brands is in question—they're manufactured by parent company Instant Brand, which just filed for Chapter 11 bankruptcy. Read on to find out what this means for the future of Pyrex and Instant Pot.
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Instant Brands broke the bankruptcy news in a June 12 press release, with CEO and president of Instant Brands Ben Gadbois noting that the company has faced difficulties for a few years.
"After successfully navigating the COVID-19 pandemic and the global supply chain crisis, we continue to face additional global macroeconomic and geopolitical challenges that have affected our business," Gadbois said in the release.
He continued, "In particular, tightening of credit terms and higher interest rates impacted our liquidity levels and made our capital structure unsustainable."
In January, the company—which is owned by private-equity firm Cornell Capital LLC—hired restructuring advisers to assist with its financial situation, but it appears that troubles still abound.
According to the Wall Street Journal, these issues are largely tied to inflation and a decrease in discretionary spending.
"Instant Brands' performance continues to suffer from depressed consumer demand due to lower discretionary spending on home products, lower retailer replenishment orders for its categories, and some retailers moving to domestic fulfillment from direct import," a report released by private banking company S&P Global last week reads, per the WSJ.
While Instant Brands has been looking for another hit product, the WSJ also attributes the company's struggles to its reliance on the Instant Pot specifically as its one major success. Put simply, there's a limited audience for the product, and it's not something that people have to replace often.
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While the WSJ reported that company net sales have fallen, Instant Brands said that the decision to file for Chapter 11 bankruptcy was actually made to "strengthen the company's financial position."
"In recent months, we have been working closely with all of our financial stakeholders to position the Company for its next phase of success," Gadbois said.
According to Bloomberg, the Chapter 11 filing allows the company to stay up and running while it figures out how to repay its creditors. Per the press release, Instant Brands secured $132.5 million in financing from its lenders, which will "support the business" throughout the bankruptcy process.
Best Life reached out to Instant Brands for more information, but has yet to hear back.
In addition to Pyrex and Instant Pot pressure cookers, Instant Brands also manufactures and sells Corelle dinnerware, Snapware plastic storage, CorningWare bakeware, Visions cookware, and Chicago Cutlery. And while the idea of "bankruptcy" is disconcerting to fans of these products, the company maintains a positive outlook—meaning these brands are likely safe, at least for now.
In the press release, Gadbois noted that Instant Brands is still "focused on serving and connecting with our consumers around the world."
So, if you were thinking about stockpiling new Pyrex dishes or replacing your Instant Pot, you might not have to.
"We are committed to finding a positive outcome," Gadbois said, also stating that the company "continues to drive positive cash operating flows."
This echoes statements the CEO made in March, albeit with a word of caution.
"We believe that the Instant Pot product is going to be around for a long, long, long time," Gadbois said to the WSJ, before conceding that "no product stays at a phenom level forever."
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