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Good bye, Twinkie – Hostess Brands liquidates


By tvgnus   Follow   Thu, 15 Nov 2012, 9:47pm PST   6,911 views   59 comments   Watch (1)   Share   Quote   Permalink   Like   Dislike  

http://www.centralvalleybusinesstimes.com/stories/001/?ID=22308

Hostess Brands Inc. of Irving, Texas, says it has filed for bankruptcy liquidation because workers, members of the Bakery, Confectionery, Tobacco Workers and Grain Millers Union, struck its plants, including one in Sacramento.

woppa   befriend   ignore   Fri, 16 Nov 2012, 12:10am PST   Share   Quote   Like (5)   Dislike     Comment 1

I think it's sad that the twinkie is an American icon in the first place. Good riddens to that trash.

thunderlips11   befriend   ignore   Fri, 16 Nov 2012, 12:29am PST   Share   Quote   Like (6)   Dislike (1)     Comment 2

Hostess declared bankruptcy previously in 2004. The Union took two pay cuts (not delayed wage increases, not frozen wages, but big thick pay cuts), was asked to take a third, and told their pension hadn't been contributed to in years and was going to default.

Bad Management/Changing Times.

Quigley   befriend   ignore   Fri, 16 Nov 2012, 12:34am PST   Share   Quote   Like (4)   Dislike (1)     Comment 3

FortWayne, you should do better research. The strike was the excuse, not the cause. Hostess has been struggling for years because people are becoming more health educated, and their products are patently unhealthy. It had plenty of opportunities to make positive changes but decided instead to stick with their original products and damn the consequences. Also there are knock-off products that compete for the dollars of the poor and the obese. In the end, they were inflexible, made a bad product, and deserve to crumble.

Mr Happygoluckofus   befriend   ignore   Fri, 16 Nov 2012, 3:59am PST   Share   Quote   Like (3)   Dislike     Comment 4

?w=270&h=203

The Vicims...

All Hostess Brands employees will lose their jobs in the coming weeks, some sooner than others, the company announced Friday. The layoffs span nationwide, and represent a deep cut in mid-wage jobs that often came with benefits. The company had operated 33 bakeries, 565 distribution centers and 570 outlet stores across the country.

Many production workers earned up to $20 an hour, plus had access to medical benefits, according to Michael O'Brien, a former Hostess employee who had worked at the company for 45 years, in various sales functions, before he was offered a buyout last year.

"People inside the plants really made a good living," O'Brien said. "I feel sorry for them."

That's $20 an hour to wheel baker's trays of Twinkies around a plant, and take smoke breaks while the Ho Hos are in the oven.
I wonder what books the guy that pushes the Green button in the morning then the Red button at quitting time, read in between?

Dan8267   befriend   ignore   Sun, 18 Nov 2012, 5:31pm PST   Share   Quote   Like (3)   Dislike     Comment 5

I felt a great disturbance in the force as if millions of fat asses cried out in despair and were suddenly silenced.

Mr Happygoluckofus   befriend   ignore   Thu, 15 Nov 2012, 11:26pm PST   Share   Quote   Like (3)   Dislike (1)     Comment 6

"To the Union Hall"
"Yeah"
"But what will we do once we get there?"
"To the Union Hall!"
"Yeah!"

Although I never cared for Hostess products, they just taste overly processed. It's always a sad day when an Americana Icon goes under for all the wrong reasons.

dodgerfanjohn   befriend   ignore   Thu, 15 Nov 2012, 11:44pm PST   Share   Quote   Like (2)   Dislike     Comment 7

Real life consequences.

FortWayne   befriend   ignore   Fri, 16 Nov 2012, 12:25am PST   Share   Quote   Like (2)   Dislike     Comment 8

CaptainShuddup says

"To the Union Hall"

"Yeah"

"But what will we do once we get there?"

"To the Union Hall!"

"Yeah!"

Although I never cared for Hostess products, they just taste overly processed. It's always a sad day when an Americana Icon goes under for all the wrong reasons.

Sadly for all the "American" reasons. Unions are really driving this nation down.

Mr Happygoluckofus   befriend   ignore   Fri, 16 Nov 2012, 12:41am PST   Share   Quote   Like (2)   Dislike     Comment 9

edvard2 says

Ah yes.... typical right wing fodder: blame it all on the unions.

Can't blame anyone in the unemployment line, so it doesn't really matter now does it?

edvard2 says

I reckon one could always stockpile a bunch of these if you liked em enough since they last forever.

I bet if you buy one, and put it in a vault.
Rick Harrison on Pawn Stars will pay top dollar for it 50 years.

If Chumley doesn't eat it first.

zzyzzx   befriend   ignore   Fri, 16 Nov 2012, 3:16am PST   Share   Quote   Like (2)   Dislike     Comment 10

Would be better if we knew exactly the deal the the union thugs turned down.

rooemoore   befriend   ignore   Fri, 16 Nov 2012, 4:55am PST   Share   Quote   Like (3)   Dislike (1)     Comment 11

Yes, the real problem in this country is that junk food is too expensive. We need to keep wages low so that we can make cheap junk food that low wage earners can afford.

zzyzzx   befriend   ignore   Sat, 17 Nov 2012, 8:14am PST   Share   Quote   Like (2)   Dislike     Comment 12

rooemoore says

But don't you think that maybe the discussion should be how can we get wages to go up?

Yeah, we need massive import duties, which I am in favor of.

zzyzzx   befriend   ignore   Sat, 17 Nov 2012, 8:14am PST   Share   Quote   Like (2)   Dislike     Comment 13

elliemae says

Hostess needed to change with the times and chose not to. Had they attempted to offer healthier fare, change their recipes to at least giving the appearance of health

I'm not inclined to think that overpriced organic twinkees would have sold either.

Ironman   befriend   ignore   Thu, 15 Nov 2012, 11:40pm PST   Share   Quote   Like (2)   Dislike (1)     Comment 14

CaptainShuddup says

Although I never cared for Hostess products, they just taste overly processed. It's always a sad day when an Americana Icon goes under for all the wrong reasons.

Better run and stock up on Twinkies TODAY!!! I hear they have like a 30 year shelf life........

lostand confused   befriend   ignore   Fri, 16 Nov 2012, 12:23am PST   Share   Quote   Like (1)   Dislike     Comment 15

Maybe some other companies will come in and buy them in bits and pieces, while jettisoning the debt?

edvard2   befriend   ignore   Fri, 16 Nov 2012, 12:34am PST   Share   Quote   Like (4)   Dislike (3)     Comment 16

Ah yes.... typical right wing fodder: blame it all on the unions.

But anyway, I reckon one could always stockpile a bunch of these if you liked em enough since they last forever.

Mr Happygoluckofus   befriend   ignore   Fri, 16 Nov 2012, 12:50am PST   Share   Quote   Like (1)   Dislike     Comment 17

The Victim? Who the employees that lost their job, because the company went under. There aren't any Victims when you're laid off. For what ever the reason. Well I suppose there are, if you are incapable of staying relevant.

woppa   befriend   ignore   Fri, 16 Nov 2012, 1:41am PST   Share   Quote   Like (2)   Dislike (1)     Comment 18

Wonder bread is good for the kids? It is basically empty calories and has a 2-1 sodium to calorie ratio, where you should be eating things that contain a 1-1 ratio. Whole wheat bread is the only bread that is even close to nutritional, but still only good in very small amounts.

zzyzzx   befriend   ignore   Fri, 16 Nov 2012, 2:26am PST   Share   Quote   Like (1)   Dislike     Comment 19

thunderlips11 says

Hostess declared bankruptcy previously in 2004. The Union took two pay cuts (not delayed wage increases, not frozen wages, but big thick pay cuts), was asked to take a third

They were still making bloated union wages even with that third pay cut.

taxee   befriend   ignore   Fri, 16 Nov 2012, 2:33am PST   Share   Quote   Like (2)   Dislike (1)     Comment 20

Think this through. Low, low taxes on huge executive salaries means you get type A people running businesses INTO the ground to get rich quick. I watched it happen were I worked. World class 70 year old company looted while being run by incompetent 'investors' and then bankrupted in less than 5 years. The top few guys walked away rich.

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