Use access key #2 to skip to page content.

death of Hostess, but not the Twinkie

Recs

6

November 21, 2012 – Comments (1)

just to keep you updated (critical news for us junk food junkies), last minute negotiations with labor unions (forced by the bankruptcy judge in charge of the case) have failed, and Hostess will indeed discombobulate itself.

Worry not, junk food nation. A number of companies (Flowers, Bimbo, Sun) are reportedly interested in acquiring these individual bakery products but not the company or factories or workers or union contracts. So, expect a period of uncertain availability, but eventually have an unlimited supply of happy, yellow, cylindrical, packaged bakery items you can hand down to your grandchildren.

FYI: the bakers union is directly responsible for the death of Hostess. The company was in bankruptcy, and BCTGM knew that if they did not relent, it is game over dude. Granted, the company wanted to screw with union wages and benefits and pensions, but now 18,000 union jobs no longer exist and will never come back. If there is logic in the union actions, it eludes me.

1 Comments – Post Your Own

#1) On November 21, 2012 at 1:18 PM, awallejr (83.78) wrote:

I still don't understand the Union leadership here.  Unless all these workers have equal if not better job prospects (which is unlikely) I don't see the benefit to their just having their jobs liquidated. 

The Ceo doesn't get a pass either since I think it is obscene that during his tenure he TRIPLED his own compensation.  The BK judge should absolutely do a clawback on that guy.

Report this comment

Featured Broker Partners


Advertisement