Twinkies are the devil!
Posted on 11/16/2012 5:13:37 AM PST by Sub-Driver
The Demise Of The Twinkie: Hostess Files Motion To Liquidate
By Tom Gara
And that’s that: Hostess Brands, maker of Twinkies, Wonder Bread and more, announced this morning it has filed a motion with bankruptcy court to start liquidating the company immediately. A huge number of jobs are soon to be lost.
“Hostess Brands will move promptly to lay off most of its 18,500-member workforce,” said CEO Gregory F. Rayburn in the statement, “and focus on selling its assets to the highest bidders.”
In a letter posted on a new site set up to communicate with employees and suppliers through the liquidation process, Mr. Rayburn pinned the blame on its striking union:
Despite everyone’s considerable efforts to move Hostess out of its restructuring, when we began implementing the Company’s last, best and final offer, the Bakers Union chose to stage a crippling strike. This affected Hostess’ ability to continue to make products and service its customers’ needs and pushed Hostess into a Wind Down scenario. As a result, we are forced to proceed with an orderly wind down and sale of our operations and assets. We deeply regret taking this action. But we simply cannot continue to operate without the ability to produce or deliver our products.
There’s no way to soften the fact that this will hurt every Hostess Brands employee. All Hostess Brands employees will eventually lose their jobs – some sooner than others. Unfortunately, because we are in bankruptcy, there are severe limits on the assistance the Company can offer you at this time.
(Excerpt) Read more at blogs.wsj.com ...
I think you’re right. However, the judge overseeing the Chap 7/liquidation has to approve the sales and would not approve a transaction which did not contribute satisfactorily to pay off the existing huge obligations to bondholders. So the whole thing could stall. The highest bid for an asset won’t necessarily get the cake.
Not if you simply buy the recipe and machinery.
It won’t be a hostess twinkie. But it could be a Little Debbie Twinkie if you know what I mean.
The union can piss off.
No welfare for them either. The conservative workers will find work. It’s what we (conservatives) do. The liberal Obama boot lickers? eff um.
The best part is that it’s about 5000 union workers who have ruined it for the remainder of Hostess’ 18,000 workers. You’d think the union goons might not realize the thing about the golden goose, but you’d also think that the rest of the employees would be screaming at the unionists to not do this.
———Lesson to workers -— don’t let Card Check make it -— or there
will be more of this. Also, another case of the “ fewer voices “ affecting
the greater good in the name of Justice....
I think I heard it on the Tom Sullivan show yesterday. The judge has indicated he is willing to let them liquidate.
I’m sure chewbacca obungalo is happy to “suggest” a healthy alternative
Darden Restaurants
JANCOA Janitorial Services
Kroger
Applebee's
Papa John's
Community College of Allegheny County
Apple Metro
Jimmy John's
Of which only CCAC reported an actual number - 400.
* WRIST = Worker Reduction In Scheduled Time
This just in from Rasmussen: 54% of Americans believe Hostess should remain operational while not taking any profit.
they walkin around w/obamao fones....lol
Why? It would still be in the USofA, and fully subject to the whims of the White House, Congress and any number of Agencies and Czars, all of which would want to make an example of it.
Twinkies are the devil!
Yup, 18,500 former employees added to Obama's Welfare/Food Stamp Nation that WE will be paying for...
I would hope that on a pro-capitalist forum, everyone knows that one of the company’s most valuable assets is the brand names and production recipes.
They’ll almost undoubtedly end up in the hands of someone who wants to make them. A product of this prominence is highly unlikely to disappear. if anything, quality will improve as a healthy company is liess likely to take shortcuts.
<How will I survive without my Hostess fruit pie in the early morning?
********************************************************************
Creative destruction—some other, hopefully non unionized, enterprise will buy the recipe (and possibly name) and once again you’ll have your pie.
I spent some time reading the financial news about the strike(as opposed to just regular reports, since most reporters know nothing about business/finance). Here’s the problem with the union thinking someone will come in and buy Hostess and they can keep their jobs. The market is over-saturated. It does not make economic sense to purchase Hostess at this time. Also, sales of snack foods of the type produced by Hostess have declined, as Americans have become more health conscious. Even if someone buys Hostess, there is no guarantee that the beloved Twinkies and cupcakes (my fave) will be back.
Stupid union. I read where the Teamsters (who also work at Hostess) were begging the bakers union to go back to work, but no.... So, 18,500 people out of work in the middle of a depression. Since I doubt there are a lot of baking jobs to be had, I expect lots of these folks will have to retrain if they expect to work again.
But there’s this too, many of the workers are older. They will never get jobs making what they made at Hostess. I hope they enjoy being greeters at Walmart, ‘cause that’s where they’re headed until they file for SS.
There is a time lapse before something like that can happen. There is union notification and other regulations that companies have to follow.
Doesn’t matter. They are headquartered in Texas. Not sure if they have any bakeries in Texas.
Closer to the Eastern Airlines scenario.
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