Libbey, a major supplier of glassware to restaurants and bars, has filed for bankruptcy after the pandemic demolished demand

• Libbey, which supplies glassware to restaurants, bars, and stores, said on Monday it had filed for Chapter 11 bankruptcy.
• In a press release announcing the bankruptcy, it cited the impact of the COVID-19 pandemic.
• As restaurants and bars were forced to close in keeping with states' pandemic restrictions, demand for supplies like glassware plummeted.

Glassware maker Libbey filed for Chapter 11 bankruptcy protection on Monday, citing a lack of demand due to the COVID-19 pandemic.

Libbey was founded in 1818 and supplies tabletop glassware like wine glasses, tumblers, and mugs to restaurants, bars, and stores.

But as restaurants were forced to close across the US and social events were prohibited amid the pandemic, demand for glassware plummeted.

"While we entered 2020 with positive momentum from our strong finish in 2019, the dramatic and prolonged impact of COVID-19 on the demand for our products and on our business is truly unprecedented in Libbey's more than 200-year history," Libbey CEO Mike Bauer said in a statement about the Chapter 11 filing. "Entering this process is a necessary step to address our liquidity, strengthen our balance sheet and better position Libbey for the future."

He continued: "We believe this process will help Libbey become an even stronger, more influential partner to our customers, vendors and end users, and ensure we continue to create the most rewarding experiences with our extensive line of high-quality glassware and other tabletop products."

Libbey said it had secured $160 million in debtor-in-possession financing from lenders. In its annual report, released in February, the company said it had about $400 million in debt. It had net sales of $782.4 million in 2019.

Libbey sells goods to customers in more than 100 countries, but its international subsidiaries were not included in the bankruptcy filing.

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