Twinkies maker halting bread operations in Southern California, cutting 1,300 jobs

KC.com ^ | 8/28/07 | JENNIFER MANN

[BurbankKarl]

Troubled Interstate Bakeries Corp., in bankruptcy since September 2004, early today said it is closing four bread bakeries in Southern California.

The closings will eliminate 1,300 jobs, which besides those in the bakeries, include jobs impacted by route consolidations. Interstate, the maker of iconic Hostess Twinkies, will continue to make and sell snack cakes in Southern California.

In midday over-the-counter trading, Interstate Bakeries shares were up 10 cents, or 9.09 percent, at $1.20.

The company said the pullout was due to lower-cost, non-union competitors, and irrational pricing,

Those factors, combined with high fixed costs, have continued to make the market unprofitable for the Kansas City based baking company, one of the largest in the U.S., and also the maker of Wonder bread.

“Because of the impact on employees and their families, exiting a market is probably the most difficult decision a company can make,” Chief Executive Officer Craig Jung said in a news release. “At the same time, our primary consideration has to be the company’s long-term survival and financial health.”

[stephenjohnbanker]

“Bimbo bought Entenmens and Orowheat in Socal”

They must be making serious “dough”

[kempo]

I wonder if the unions were offered a deal to try and keep the plant running.

[yorkie]

>>I wonder how many of BIMBO employees are illegal?<<

Hehe - that is THE very first thing I thought of when I read the headline.......

[BurbankKarl]

I seem to remember them warning the unions last year. I bet the wages were tied to the minimum wage which was increased in CA again.

[stephenjohnbanker]

““Bimbo bought Entenmens and Orowheat in Socal””

They had enough cash flow to buy these prominent bakeries.

[lormand]

I just finished visiting my brother in Santa Rosa, CA. He jokingly prods me to move over there and even gave me a "Wine Country" realtor guide.

I think I will pass on the $500000 1500 sqft home in the middle of a crowded subdivision.

[texgal]

(sniff!) no more deep-fried Twinkies?

I was thinking the same thing!

[fight_truth_decay]

I'm still waiting for their banana creame flavored Twinkies. sigh>

..am not a Twinkie fan, but the return of the banana was better than the nondescript "white" filling..in my opinion.

However, all the Debbies and Twinkies and their like cannot beat the now famous Whoopie Pie which made this woman/homemaker an example of a very successful "cottage industry". Mainers grew up on this treat.

Don't even compare to a "Debbie".

Click on Picture.

Classic Gingerbread Jumbo Wicked Whoopie
Chocolate Chip
Maple
Oatmeal Cream
Peanut Butter
Pumpkin Raspberry & Cream Strawberry
Whoop-de-Doo
Jumbo Wicked Whoopie

[TigersEye]

Troubled Interstate Bakeries Corp., ...

Well there's your problem. If you name your company "Troubled" things aren't going to go well from there. /s

Hopefully Frank can live on Little Debbies alone. LOL

[reagan_fanatic]

Rosie is going to starve to death!

Not really. She can always air freight them in from another state.

I wonder if the military can spare a couple of C-130's...

[Riverman94610]

Twinkies are garbage.No nutritional value.And they make you do crazy things.
Ask Dan White.

[scan59]

For whatever it’s worth, BIMBO is pronounced “Beem-bo”. They aren’t hiring illegals. Instead they’re buying up local bakeries. (They’re one of our customers and yes, business is booming. Look for the non-union label.)

[Caipirabob]

The Mexican BIMBO brand seems to be doing booming business.

At least we know Paris Hilton won't go hungry...

[John Jorsett]

California has had it in for Twinkies ever since San Francisco’s Dan White gunned down Mayor Moscone and Supervisor Harvey Milk and blamed it on his depression worsened by consumption of Twinkies and Coke.

You win again, Center for Science in the Public Interest ...

[Conservative4Ever]

As long as Twinkies are made....I’m happy. And yes it is getting harder to continue doing business in California.

[television is just wrong]

how many are illegal alien help?

[hunter112]

Twinkies are garbage. No nutritional value.

And this article said bread bakeries. What does Interstate Bread Corp. make in the bread line? Wonder Bread, Home Pride, and Butternut. Talk about no nutritional value!

This happened in the beer industry, too, more flavorful craft and microbreweries have put lowbrow beers out of business, as well. People want good taste, they're willing to shell out an extra buck for a quality loaf of bread from a real bakery, even if it's just in their local supermarket.

[Bean Counter]

No doubt their Tortilla Unit is still working three shifts...

[LM_Guy]

Grupo Bimbo owns the following:

Bimbo
The Bimbo brand has been the favorite of young and old, generation after generation. It has enjoyed a long history in Mexico and can now be enjoyed in Mexico, the United States and twelve Latin American countries.

Lara
Because of its flavor, freshness and quality, Lara is liked by everyone through its three lines of products: crackers, cookies and health line, which allows to enjoy them anytime. All their formulations are vitamin and iron enriched. The housewives prefer Lara cookies.

Barcel
During 25 years, Barcel has been making “what you crave for”. It has a range of delicious salty snacks including the famous home-made-like fresh and crispy potato Chips; the coated peanuts that are most sought after at parties and Barcel pork rinds among many other delicious and fun products ideally suited to be shared with friends.

Marinela
Marinela products are total enjoyment: “Gansito” or “Pingüinos” at recess; “Submarinos” for your party and an enormous variety of pastries, which transport you to a galaxy of Marinela flavors when you taste them.

Ricolino
Ricolino products such as “Bubulubu”, “Paleta Payaso” and “Kranky” among many others have revolutionized the confectionery industry and can to be found in Mexico, the United States and Europe,

Coronado
The burnt goat milk candy “Cajeta”, is a traditional Mexican sweet liked by young and old and highly nutritious, since it contains essential nutrients and energy sources. Coronado enjoys a long-standing tradition in the making of vanilla, burnt milk and liquor flavored “cajetas”, as well as sub-products, such as lollypops, soft candy and the popular wafers. Today Coronado is the uncontested leader in the making of these delicious products and has pioneered the marketing of pasteurized natural honey.

Suandy
Suandy is a line of fine pastry, cookies and cakes, made of butter, eggs, milk and other fine ingredients. Their refined flavor is a delight to enjoy in every special occasion: anniversaries, family gatherings and birthdays. Suandy preserves the rich flavor of traditional fine bakery products made lovingly and delicately to ensure supreme products.

Tía Rosa
Brings back all of the traditional flavor and freshness of Mexican baking: “bigotes”, “doraditas”, “empanadas”, “conchas”, “semitas” and “orejas” among other products, all of them produced from ingredients, such as milk, eggs and selected flours, which together create that homemade flavor. The “Tortillinas Tía Rosa” line includes the wheat flour tortillas preferred brand packed in Mexico.

Latin America Organization
Bimbo has been skillful in conquering Central and South America markets through products that meet the flavor preferences of each market: “Tulipan” in Costa Rica, “Plus Vita” , “Pullman” and “Ana María” in Brazil; “Ideal” in Chile are good examples of its sound position in the region.

Bimbo Bakeries USA
Bimbo Bakeries USA is leader in Texas and the Western region of the country. It has 13 plants and operations in more than 22 states of the American Union and also offers premium line products under the following brands:
Oroweat, Mrs. Baird’s, Entenmann’s, Thomas´, Boboli, Tía Rosa, Marinela and Bimbo, among others.

[mrmargaritaville]

As long as Moon Pies are still around who cares.