Hostess, the maker of Twinkies, Ding Dongs and Wonder Bread, is going out of business

[Teh One Who Knocks]

The Dallas Morning News


http://i.imgur.com/fgORU.jpg

IRVING, Texas (AP) — Hostess, the maker of Twinkies, Ding Dongs and Wonder Bread, is going out of business.

Irving-based Hostess Brands Inc. had given striking members of the Bakery, Confectionary, Tobacco and Grain Millers International Union until 5 p.m. Eastern time to get back to work or prompt the liquidation of the snack maker, which has been in bankruptcy court since January.

Hostess CEO Greg Rayburn spoke Thursday evening on CNBC about the possible shutdown. “It’s not a threat,” he said. “It’s a consequence.”

He added, “There are elements that want to see the company go under because they’re angry.”

The strike by the bakers, Hostess’ second-largest union, has put them at odds with the Teamsters, its largest union. The Teamsters urged the bakers to vote, in a secret ballot, on whether to continue the strike.

In a news release Thursday, the Teamsters stressed that the company’s liquidation ultimatum “is not an empty threat or a negotiating tactic, but the certain outcome if members of the [bakers union] continue to strike.

“This is based on conversations with our financial experts, who, because the Teamsters were involved in the legal process, had access to financial information about the company.”

The Teamsters’ release talked about the efforts by that union to work with current management to craft a solution to the company’s financial woes.

“The [bakers union] chose a different path, as is their prerogative, to not substantively look for a solution or engage in the process.”

More details to come.

[DemonGeminiX]

Wow, they're gonna stop making Twinkies because of unions. If there was ever a reason to hate unions.

:x

[Loser]

There's gotta be a joke in there somewhere....

Can survive a nuclear apocalypse, but can't survive the unions :lol:

[Acid Trip]

More on the story:

“We deeply regret the necessity of today’s decision, but we do not have the financial resources to weather an extended nationwide strike,” Hostess CEO Gregory F. Rayburn said in announcing that the firm had filed a motion with the U.S. Bankruptcy Court to shutter its business. “Hostess Brands will move promptly to lay off most of its 18,500-member workforce and focus on selling its assets to the highest bidders.”

Congratulations unions! You now have 18,500 unemployed members! Happy Holidays!

This is what happens when costs > revenue. Something liberals just don't understand.

[Lambchop]

In other news, cases of heart disease, hypertension and diabetes within the US falls by 5% :cheerlead::cheerlead::cheerlead:

[Muddy]

Way to go Unions!! You pack of STUPID mother fuckers...

[PorkChopSandwiches]

Maybe this will make people realise that unions aren't the answer, so many transportation companies have been going under because of unions, the ones surviving are the ones without unions. :roll:

[Acid Trip]

This just in, Union boss blames Romney and Bain Capital for Hostess closing shop.

The Bain attack is back.

This time it’s being used against Hostess Brands, the Twinkies and Wonder Bread maker that announced Friday it was closing. AFL-CIO President Richard Trumka drew the comparison in a public statement Friday.

“What’s happening with Hostess Brands is a microcosm of what’s wrong with America, as Bain-style Wall Street vultures make themselves rich by making America poor,” Trumka said in a public statement. “Crony capitalism and consistently poor management drove Hostess into the ground, but its workers are paying the price.”

Earlier Friday, Hostess Brands announced that it would be closing, which the company said was precipitated by a workers’ strike.

Trumka’s comparing Hostess to Brain comes after an election in which former GOP presidential nominee Mitt Romney was criticized for co-founding Bain Capital.

The union leader took the workers’ the side, saying Hostess’ leaders and policies were “wrecking America.”

“These workers, who consistently make great products Americans love and have offered multiple concessions, want their company to succeed,” Trumka said in the statement. “They have bravely taken a stand against the corporate race-to-the-bottom. And now they and their communities are suffering the tragedy of a needless layoff. This is wrong. It has to stop. It’s wrecking America.”

The closure of Hostess, based in Irving, Texas, means the company will lay off its 18,500 employees. In 2009, Hostess came out of bankruptcy thanks in part to private equity firm Ripplewood Holdings, which made a $130 million investment, CNBC reported Friday. Hostess filed again for bankruptcy in January, and its debt was later purchased by investment firms, including two hedge funds: Silver Point Capital and Monarch Alternative Capital, according to a CNN Money report.

Last week, thousands of Hostess union member employees went on strike because of cut wages and benefits, The Associated Press reported Friday.

Hostess has said the company was unprofitable, in part due to union workers’ demands. (The workers who went on strike were members of the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union.)

[FBD]

:lol: eat shit, trumka

[Acid Trip]

:lol: eat shit, trumka

Let's play the liberal blame game!

Who is to blame for "insert crisis here"?

A) George Bush

B) Mitt Romney

C) Republicans

D) Corporations

E) All of the Above

[PorkChopSandwiches]

wHAT ABOUT oBUMMER

[RBP]

wonder bread sucks anyway :hand:

too doughy

[perrhaps]

I'm pissed! There was a place in Downtown Vegas that served deepfried Twinkies. The absolute best/worst junk food ever!

I just hope this doesn't screw up the next Job Report. Forward !

[Muddy]

wonder bread sucks anyway :hand:

too doughy


You suck as well. :hand:

too teethy..

[RBP]

You suck as well. :hand:

too teethy..

:-s

Hal taught me the proper methods :mrgreen:

[Hugh_Janus]

I'll never get to taste a twinkie now :sad2:

[RBP]

I kid you not, people were buying hostess products like crazy tonight :lol:

The twinkies and cupcakes were sold out!

[PorkChopSandwiches]

I'll never get to taste a twinkie now :sad2:

you missed nothing

[Hugh_Janus]

you missed nothing

but they looked so tasty when powell was eating them in die hard 2 :sad2:

[Hugh_Janus]

also, ding dongs + admin without a sense of humour = no sig privileges for me :sad2:

:dance:

[Loser]

http://i.imgur.com/1MDIw.jpg

[DemonGeminiX]

you missed nothing

:huh:

Jeez! What is it with you!?! First cheesesteaks and now Twinkies?!?


also, ding dongs + admin without a sense of humour = no sig privileges for me :sad2:

:dance:

:-s

You had a signature?

[Muddy]

:huh:

Jeez! What is it with you!?! First cheesesteaks and now Twinkies?!?



I love both.

[Goofy]

Wow, they're gonna stop making Twinkies because of unions. If there was ever a reason to hate unions.

:x

Yeah, i hate them too, they give me heartburn :(



Last week, thousands of Hostess union member employees went on strike because of cut wages and benefits, The Associated Press reported Friday.

Hostess has said the company was unprofitable, in part due to union workers’ demands. (The workers who went on strike were members of the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union.)

Going on strike sure worked well :tup:

I've always wanted to see striking workers lose their jobs......... and now i have :woot:

[deebakes]

:rip: dongs

[Shady]

Wouldn't be surprised if Bimbo buys up their stuff.

[RBP]

Wouldn't be surprised if Bimbo buys up their stuff.

Leave Minz out of this :hand:

[FBD]

http://www.zerohedge.com/contributed/2012-11-22/union-rules-were-harder-digest-twinkies

Myth: Twinkies have a shelf-life of forever. They don't; they stay fresh for about 25 days.
Hostess: Union Rules were Harder to Digest than Twinkies

[Screen Shot 2012-11-21 at 1.30.08 AM] Courtesy of Dr. Paul Price

Did union workers simply get their 'Just Desserts' for backing Hostess into a corner with too many unreasonable demands? Consider the evidence.

Union workers have now completed their mission. 18,500 jobs are gone forever.

The national labor bosses stood firm. Labor leaders are proud they stood up to those nasty ‘suits’ [see Entourage for definition] who refused to run a money-losing business simply to continue paying salaries and benefits.

Hostess posted a $341 million loss in 2011 on revenues of about $2.5 billion. Contributing to those 2011 losses:

$52 million in Workers’ Comp Claims
Dealing with 372 Distinct Collective-Bargaining Contracts
Administration of 80 Separate Health and Benefits Plans
Funding and Tending to 40 Discrete Pension Plans
$31 million in year-over-year increases in wages and health care benefits for 2012 v. 2011

Uncounted in the above numbers were the outrageous union-imposed rules that made for a too-high-to-bear cost of sales:

No truck could carry both bread and snacks even when going to the same location
Drivers were not permitted to load their own trucks
Workers who loaded bread were not allowed to also load snacks
Bringing products from back rooms to shelves required another set of union employees
Multi-Employer pension obligations made Hostess liable for other, previously bankrupted, retirement plan contributions from employees that never worked for Hostess at all

America has come to this. The only defense against insane union demands is the willingness to walk away and close shop.

With General Motors and Chrysler we found that even that remedy wouldn’t work.

[Acid Trip]

I found the following comment on that article. Nice to see that some people get it.

"Two sides to the coin.

Just like the Republicrat versus Demican false flag choice, I believe it is greed at both management and labor that cause tragedies such as this.

We have entered into parasitism versus production. Nearly everything is being offshored, and what isn't is being bled to death to support the unsupportable expectations of a declining post-Industrial post-Information age society.

There are not enough resources and assets for everyone to have the standard of living they feel entitled to, so everything is being torn down in a desperate attempt to retain or regain that which has been lost.

Left/Right or Conservative/Progressive arguments are moot; both have squandered the nation and are busy sucking it dry."

[Hal-9000]

At this point wouldn't the striking union look at the fallout of their actions and maybe say - Hey, 25 bucks an hour is better than no job :shrug:


I did see the Teamsters mentioned so there will probably be decapitations for people that cross the picket line..

[Hal-9000]

I'll never get to taste a twinkie now :sad2:

Ding Dongs are better than Twinkies.....if there is a better :lol:

[Hal-9000]

wonder bread sucks anyway :hand:

too doughy

I quit eating bread a couple of years ago....I did like the taste/consistency of Wonder bread though. Compared to 12 grain whole wheat it kinda tasted decadent :lol:

[DemonGeminiX]

At this point wouldn't the striking union look at the fallout of their actions and maybe say - Hey, 25 bucks an hour is better than no job :shrug:


I did see the Teamsters mentioned so there will probably be decapitations for people that cross the picket line..

No, they're saying that it's better to be out of a job rather than work for a wage that puts them below the poverty line. Now they're gonna find out what that's really like.

For the record, it wasn't the Teamsters Union's people that were striking. The Teamsters were on the side of the company.

[Acid Trip]

No, they're saying that it's better to be out of a job rather than work for a wage that puts them below the poverty line. Now they're gonna find out what that's really like.

For the record, it wasn't the Teamsters Union's people that were striking. The Teamsters were on the side of the company.

Except now they'll get 99 weeks of unemployment before they have to find a new job.

I'd guess that 5% won't collect unemployment due to pride, another 15% will take unemployment but get off as soon as possible, the remaining 80% will milk unemployment for all it's worth.

[Hal-9000]

No, they're saying that it's better to be out of a job rather than work for a wage that puts them below the poverty line. Now they're gonna find out what that's really like.

For the record, it wasn't the Teamsters Union's people that were striking. The Teamsters were on the side of the company.

aah, I see....

MrsM may recall this. Years ago all of the bus drivers in Montreal went on strike. I'm not sure how the transit company got away with it, but the next day there was a full page ad in the job listings asking for 300 bus drivers. They fired every striking driver :lol:

the job listing had the wage (about 3 dollars more per hour than the average job), benefits, incentives.....I guess the positions were filled within 3 hours of the paper being on the stands.

[MrsM]

I don't recall all the details - but I do remember something like that

[Hal-9000]

damn...I mention your name and you're right here :shock:


thanks!






private message for MrsM

ARGOS SUCK WEENER AND WILL LOSE BY 12 POINTS :dance:

[MrsM]

damn...I mention your name and you're right here :shock:


thanks!






private message for MrsM

ARGOS SUCK WEENER AND WILL LOSE BY 12 POINTS :dance:

Haha - we'll see.

[Acid Trip]

aah, I see....

MrsM may recall this. Years ago all of the bus drivers in Montreal went on strike. I'm not sure how the transit company got away with it, but the next day there was a full page ad in the job listings asking for 300 bus drivers. They fired every striking driver :lol:

the job listing had the wage (about 3 dollars more per hour than the average job), benefits, incentives.....I guess the positions were filled within 3 hours of the paper being on the stands.

It's one thing for a skilled worker to strike over pay but if you are a cashier at Walmart, drive a bus, or load Twinkies in a van you are NOT skilled. Just be glad someone hasn't trained monkeys do it faster and for less money.

[DemonGeminiX]

Except now they'll get 99 weeks of unemployment before they have to find a new job.

I'd guess that 5% won't collect unemployment due to pride, another 15% will take unemployment but get off as soon as possible, the remaining 80% will milk unemployment for all it's worth.

I believe the Teamsters said that the employees that they represent were drivers and they've already located other jobs.

[Hugh_Janus]

At this point wouldn't the striking union look at the fallout of their actions and maybe say - Hey, 25 bucks an hour is better than no job :shrug:


I did see the Teamsters mentioned so there will probably be decapitations for people that cross the picket line..

I can't believe you saked that question.... I thought you were clever :sad2:

[Hal-9000]

I never saked any question Pony-boy :x


I merely thought that if I was in danger of losing my job permanently (and closing down the entire company as a direct result), I may rethink my desire to strike for more money.

[DemonGeminiX]

I can't believe you saked that question.... I thought you were clever :sad2:


I never saked any question Pony-boy :x

Too much sake.

http://i.imgur.com/jF5eG.jpg

[Hal-9000]

isn't it funny how some sleeping people look like they've been dropped from 12 stories up :lol: