Del Monte went bankrupt after 138 years in business. Global canned food giant Del Monte Foods, a 139-year-old American staple, filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the District of New Jersey on July 1, 2025, less than a year after a controversial debt restructuring in August 2024.
The filing, announced by CEO Greg Longstreet, aims to facilitate a court-supervised sale of all or substantially all of the company’s assets while securing $912.5 million in debtor-in-possession (DIP) financing, including $165 million in new funding, to maintain operations during the process.
The move has sparked significant discussion across the food industry, with social media platforms highlighting consumer and investor concerns about the brand’s future.
Del Monte Foods, a subsidiary of Singapore-based Del Monte Pacific, reported $1.7 billion in U.S. revenue for fiscal year 2024 but faces liabilities between $1 billion and $10 billion, with over 10,000 creditors, including Uber Freight, owed $9 million.
The company, known for iconic brands like Del Monte canned fruits and vegetables, Contadina tomato products, and Joyba bubble tea, has struggled with declining consumer demand for preservative-laden canned goods, rising production costs, and excessive debt.
A 2023 study noted a 15% annual increase in demand for organic produce, pressuring traditional canned food producers like Del Monte, while a 50% U.S. steel tariff in June 2025 further inflated canning costs.
Under the restructuring support agreement (RSA) with key lenders, including Wilmington Savings Fund Society and JPMorgan Chase, Del Monte aims to sell its assets as a going concern, ensuring continuity for its six U.S. and two Mexican production facilities.
Non-U.S. subsidiaries, such as Del Monte Philippines, remain unaffected and continue normal operations.
The DIP financing will support the ongoing pack season, allowing the company to deliver products like College Inn broths and S&W beans without interruption.
CEO Longstreet emphasized, “This is a strategic step to accelerate our turnaround and create a stronger Del Monte Foods.”
Customers reflect mixed sentiments, with some noting the bankruptcy as a sign of broader economic distress, while others see potential for recovery through new ownership.
The filing, the fourth in the food and beverage sector this year per Debtwire, shows challenges faced by legacy brands amid inflation and shifting consumer preferences.
As Del Monte seeks a buyer, the outcome will determine whether this iconic brand can navigate its financial woes and reclaim its market position.
