Hostess Files For Chapter 11 Bankruptcy . . . Again
Yes, again. Both Dave and Shuji reported similar news earlier this year about the Twinkie and CupCake parent corporation on the verge of extinction. However, this may be the proverbial nail in the coffin.
As of this morning, operations have ceased at 33 bakeries across the country. Closures began Monday as a result of a strike by the Bakery, Confectionery Tobacco Workers and Grain Millers International Union (BCTGM).
Per Hostess CEO, Greg Rayburn, "We deeply regret the necessity of today's decision, but we do not have the financial resources to weather an extended nationwide strike. 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."
Last week, the Irving, Texas-based brand attempted to impose a contract to union workers that would reduce benefits and wages. This resulted in a walkout, with picket lines forming at their Sacramento facility on Sunday.
While a piece of our childhood (albeit, a really gluttonous one) is about to disappear, we are left debating whether it's good riddance or if a run to a Hostess outlet is in order.
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