Hostess buyer update

The company's demise came after years of management turmoil, with workers saying the company failed to invest in updating its products. In January, Hostess filed for its second Chapter 11 bankruptcy in less than a decade, citing steep costs associated with its unionized work force. Although Hostess was able to reach a new contract agreement with its largest union, the Teamsters, the bakers union rejected the terms and went on strike Nov.

A week later, Hostess announced its plans to liquidate, saying the strike crippled its ability to maintain normal production. Main Menu U. News U. Politics Joe Biden Congress Extremism. Special Projects Highline. The bakers union, Hostess' second-largest union, has asked the judge to appoint an independent trustee to oversee the liquidation, saying that the current management "has been woefully unsuccessful in its reorganization attempts.

Hostess had already said last week that it was getting a flood of interest from potential buyers for its brands, which also include Devil Dogs and Wonder bread. The company has stressed that moving quickly is necessary to capitalize on the outpouring of nostalgia sparked by its liquidation. Last week, he had noted that it was a "once-in-a-lifetime opportunity" for buyers to snap up iconic brands without the burden of debt and labor contracts that would come with the purchase of Hostess as a company.

Hostess stopped contributing to its union pension plans more than a year ago. The company's demise came after years of management turmoil, with workers saying the company failed to invest in updating its products.

In January, Hostess filed for its second Chapter 11 bankruptcy in less than a decade, citing steep costs associated with its unionized workforce. Although Hostess was able to reach a new contract agreement with its largest union, the Teamsters, the bakers union rejected the terms and went on strike Nov. A week later, Hostess announced its plans to liquidate, saying the strike crippled its ability to maintain normal production.

Toward the end of the hearing Thursday, a man who said he'd worked at Hostess for 34 years stood to give his objections to the wind-down plan, saying creditors shouldn't be given money from brand sales when the company hasn't been paying into workers' pension funds.

Krot told the man. Keanu Reeves told Stephen Colbert on Wednesday which of those celebrities accompanied their signature with a cheeky "F you! Hostess has already named lead bidders for some of its other brands. McKee, a privately held family-run company, is best known for its Little Debbie brand of snacks. Related: The day the Twinkies died. Flowers Foods' top brands include Nature's Own and Tastykake.

Hostess announced in November that it was shutting down following a bakers' union strike. The bonuses do not include pay for CEO Gregory Rayburn, who was brought on as a restructuring expert earlier this year. Hostess was given interim approval for its wind-down last week, which gave the company the legal protection to immediately fire 15, union workers. The company said the terminations were necessary to free up workers to apply for unemployment benefits.

About 3, employees are being retained to help in winding down operations, including employees at the corporate level. The bakers union, Hostess' second-largest union, has asked the judge to appoint an independent trustee to oversee the liquidation, saying that the current management "has been woefully unsuccessful in its reorganization attempts. Hostess had already said last week that it was getting a flood of interest from potential buyers for its brands, which also include Devil Dogs and Wonder bread.

The company has stressed it needs to move quickly to capitalize on the outpouring of nostalgia sparked by its liquidation. Last week, Scherer had noted that it was a "once-in-a-lifetime opportunity" for buyers to snap up such well-known products without the debt and labor contracts that would come with the purchasing the entire company.

Scherer also said a surprising number of potential buyers have expressed interest in most of its three dozen factories. The company's demise came after years of management turmoil and turnover, with workers saying the company failed to invest in updating its products. In January, Hostess filed for its second Chapter 11 bankruptcy in less than a decade, citing steep costs associated with its unionized workforce. Although Hostess was able to reach a new contract agreement with its largest union, the Teamsters, the bakers union rejected the terms and went on strike Nov.