http://hostessbrands.com/Closing.aspx

Hostess Brands is Closed.

We are sorry to announce that Hostess Brands, Inc. has been forced by a Bakers Union strike to shut down all operations and sell all company assets. For more information, go to hostessbrands.info (http://hostessbrands.info). Thank you for all of your loyalty and support over the years.

Hostess Brands to Wind Down Company
After BCTGM Union Strike Cripples Operations

Friday, November 16, 2012 at 7:00AM

Irving, TX – November 16, 2012 – Hostess Brands Inc. today announced that it is winding down operations and has filed a motion with the U.S. Bankruptcy Court seeking permission to close its business and sell its assets, including its iconic brands and facilities. Bakery operations have been suspended at all plants. Delivery of products will continue and Hostess Brands retail stores will remain open for several days in order to sell already-baked products.

The Board of Directors authorized the wind down of Hostess Brands to preserve and maximize the value of the estate after one of the Company’s largest unions, the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union (BCTGM), initiated a nationwide strike that crippled the Company’s ability to produce and deliver products at multiple facilities.

On Nov. 12, Hostess Brands permanently closed three plants as a result of the work stoppage. On Nov. 14, the Company announced it would be forced to liquidate if sufficient employees did not return to work to restore normal operations by 5 p.m., EST p.m., Nov. 15. The Company determined on the night of Nov. 15 that an insufficient number of employees had returned to work to enable the restoration of normal operations.

The BCTGM in September rejected a last, best and final offer from Hostess Brands designed to lower costs so that the Company could attract new financing and emerge from Chapter 11. Hostess Brands then received Court authority on Oct. 3 to unilaterally impose changes to the BCTGM’s collective bargaining agreements.

Hostess Brands is unprofitable under its current cost structure, much of which is determined by union wages and pension costs. The offer to the BCTGM included wage, benefit and work rule concessions but also gave Hostess Brands’ 12 unions a 25 percent ownership stake in the company, representation on its Board of Directors and $100 million in reorganized Hostess Brands’ debt.

“We deeply regret the necessity of today’s decision, but we do not have the financial resources to weather an extended nationwide strike,” said Gregory F. Rayburn, chief executive officer. “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.”

In addition to dozens of baking and distribution facilities around the country, Hostess Brands will sell its popular brands, including Hostess®, Drakes® and Dolly Madison®, which make iconic cake products such as Twinkies®, CupCakes, Ding Dongs®, Ho Ho’s®, Sno Balls® and Donettes®. Bread brands to be sold include Wonder®, Nature’s Pride ®, Merita®, Home Pride®, Butternut®, and Beefsteak®, among others.

The wind down means the closure of 33 bakeries, 565 distribution centers, approximately 5,500 delivery routes and 570 bakery outlet stores throughout the United States.

The Company said its debtor-in-possession lenders have agreed to allow the Company to continue to have access to the $75 million financing facility put in place at the start of the bankruptcy cases to fund the sale and wind down process, subject to U.S. Bankruptcy Court approval.

The Company’s motion asks the Court for authority to continue to pay employees whose services are required during the wind-down period.

For employees whose jobs will be eliminated, additional information can be found at www.hostessbrands.info. The website also contains information for customers and vendors. Most employees who lose their jobs should be eligible for government-provided unemployment benefits.

http://hostessbrands.info/customer-letter

Letter to Hostess Brands Customers

Dear Loyal Customer,

I must regretfully inform you that Hostess Brands has shut down all operations and will be pursuing the sale process of all of our brands and Company assets. Many people have worked incredibly long and hard to keep this from happening, but now Hostess Brands has no other alternative than to begin the process of winding down and preparing for the sale of our iconic brands.

For many months now, the Company has been working with our unions, lenders and other stakeholders to reach a consensual resolution to legacy costs and labor contracts. Despite everyone’s considerable efforts, when we began implementing the Company’s last, best and final offer, the Bakers Union chose to stage a crippling strike. This affected our ability to continue to make products and service our customers’ needs and pushed Hostess Brands into a Wind Down scenario. As a result, the Company was forced to proceed with an orderly wind down and sale of our operations and assets. We deeply regret taking this action. But we simply cannot continue to operate without the ability to produce or deliver our products.

Hostess Brands will sell its popular cake snack brands, including Twinkies®, CupCakes®, Ding Dongs®, Ho Ho’s®, Sno Balls®, Donettes®, Drake's® cakes and Dolly Madison®. Bread brands to be sold include Wonder®, Nature’s Pride®, Merita®, Home Pride®, Butternut®, and Millbrook®, among others.

This Wind Down announcement brings our current relationship to an end and I want to take this time to thank you for your continued support and loyalty throughout the past several years.

It has been a great pleasure working with you and I wish you all the best in the future. Attached is an information sheet (http://hostessbrands.info/customer-faq/) to help address your concerns.

Sincerely,
Rich Seban
Executive Vice President & Chief Marketing Officer
Hostess Brands, Inc.

It's sad, but could another company buy them out and their products will then basically remain the same?

It's sad, but could another company buy them out and their products will then basically remain the same?
Yeah, that's what Hostess is aiming for, and exactly what I predicted would happen (http://sitcomsonline.com/boards/showthread.php?p=4638560#post4638560) should the company fold back in January.

I hope it isn't to long that the products are sold again (under a new company) and all the workers get there jobs back.

Hostess closing down after all these years??? So Dec.21st really isn't the end of the world after all, it's TODAY!!!!!

No Twinkies. :(

Hostess closing down after all these years??? So Dec.21st really isn't the end of the world after all, it's TODAY!!!!!

That's funny! :lol:

My brother works for Hostess. I'm wondering how he's going to manage.

Twinkie Shortage? Shoppers Stock Up As News of Hostess Bankruptcy Spreads on Twitter
11/16/2012


Hostess Brands Inc., the makers of Twinkies, Ding Dongs and Wonder Bread, says it's going out of business, leading some Americans to stock up on the sweet processed treats in case they disappear from shelves.

The stunning announcement is the result of a bankruptcy and labor dispute, the Associated Press reports. More than 18,000 jobs would be cut.



According to WCPO, some grocery stores are now getting calls from buyers asking if they still have Twinkies on their shelves, as some consumers who grew up with the brand prepare to stock up on treats including Ho Ho's and the Hostess Fruit Pie, among many others.

The Texas-based company wants to hold a liquidation hearing on Monday, The Star-Ledger reports. However, already baked products will be delivered to stores, so there's still a few more days to hoard the cakes.



As Twitter and Facebook mourned the possible passing of the classic treats, 7-Eleven stores in Chicago observed shoppers buying the cakes in the early morning hours.

A worker at the 7-Eleven on Halsted in University Village said she only had one person buy a Twinkie this morning -- because the store is already sold out, 89 WLS reports.

http://www.huffingtonpost.com/2012/11/16/twinkie-shortage-shoppers-stock-up-hostess-bankruptcy_n_2144606.html

I remember back in the 70's when my parents would buy Hostess snack cakes. My brothers and I would fight over who got the baseball cards on the back of the box. Of course being ignorant little kids we had no idea that the cards would be worth more if not cut from the boxes. :lol:
Best thing was that the teams logos weren't air-brushed out like they are for most promotional sportscards today.

http://farm5.static.flickr.com/4065/4713746198_ab3c34e948.jpg
http://www.jwparrott11.com/images%20-%20Baseball/1977%20Hostess%20Yaz,%20Munson,%20Bench.jpg

I'm sadden by the news I love Hostess Ding-dongs and apple fruit pies. :(

Little Debbie has something called Cloud Cakes.

They taste exactly like Twinkies.



http://www.mommypr.com/wp-content/uploads/2011/02/Cloud-Cake-Packaging-300x180.jpg

^ I don't think they taste exactly like Twinkies. Close though. It's hard to imagine a world without Twinkies. I'll miss Funny Bones. I've been eating those forever.

.

The Health-Food Nation is about to rise! (I don't mind eating healthy since I wanna lose a belly...we just shouldn't be forced to do so....)

Gotta love how people don't want something till it's about to be gone lol. I remember reading their profits have been down too, that was probably another factor

http://i384.photobucket.com/albums/oo283/tzgames/Bart-1.gif

Mark my words: most, if not all, of Hostess' products will be back on store shelves soon. These brands are an American institution, and existing food companies would be foolish to not buy them in liquidation. Don't be surprised if you see "Nabisco Twinkies," "Little Debbie Ding Dongs" or "Keebler Snowballs" (if rights to the Hostess name itself isn't purchased).

Mark my words: most, if not all, of Hostess' products will be back on store shelves soon. These brands are an American institution, and existing food companies would be foolish to not buy them in liquidation. Don't be surprised if you see "Nabisco Twinkies," "Little Debbie Ding Dongs" or "Keebler Snowballs" (if rights to the Hostess name itself isn't purchased).
that doesn't necessarily mean that the products themselves will be the same - you will be buying something made by a different company with the same name only.

that doesn't necessarily mean that the products themselves will be the same - you will be buying something made by a different company with the same name only.
True, but articles I read this morning indicate that the recipes themselves will be sold. Whichever company snags up the rights to the Twinkie would be nuts to alter the formula.

These are good. :)

http://i.walmartimages.com/i/p/00/04/50/00/60/0004500060700_300X300.jpg

http://www.blogcdn.com/www.dailyfinance.com/media/2010/10/hostess.jpg

Not a fan of the Brownie Bites, Jenny (I prefer my brownies freshly-baked, with milk), but I love the blueberry Mini Muffins. I used to have them on the go on my way to work. They bring me back to a time in my life I truly miss. :)

Hostess Snack Foods Through The Years (http://www.click2houston.com/news/money/-/1735962/17439540/-/r5rtcr/-/index.html)

Slideshow

So very sad. Definitely the death of an American institution. :(

http://www.migueldante.com/2012/11/sweet-emotion-hostess-closing-shopno.html#

They should remake the song "Radio Killed the Video Star" titled "Unions Killed the Hostess Star". Yep it was the unions that caused this unfortunate event.

They should remake the song "Radio Killed the Video Star" titled "Unions Killed the Hostess Star". Yep it was the unions that caused this unfortunate event.

IMO it was a combination of Corporate and Union Greed. :mad:

You know, everyone talks about the Twinkies, but for me, the gold (and unfortunately, the health bomb) is the fruit pies. :)

Those things are packed with sugar and trans fat and calories, but OMG are they gooood! :)

You know, everyone talks about the Twinkies, but for me, the gold (and unfortunately, the health bomb) is the fruit pies. :)

Those things are packed with sugar and trans fat and calories, but OMG are they gooood! :)
I agree. I actually ate them more than the twinkies. And they were always so filled. I haven't had any in years though. They're hard to find around here.

It was hilarious yesterday on our local FOX affiliate in Cleveland on the 5 PM newcast - coming back from commercial, they showed a picture of a Twinkie on the big screen with Michael Bolton's "How Am I Supposed to Live Without You" playing. It was hilarious. :rofl:

I've never been a Twinkie person myself, but I have always LOVED Ho-Hos. :drool:

It really sucks for the people working at Hostess that will now be out of jobs (yet the politicians keep telling us the economy is getting better).

Also I see the crooks are out selling hostess products on ebay for big bucks. Talk about some scumbags.

That said whomever pays these big prices deserves to be taken for spending that much loot.

I was going to buy a Twinkie because of all the news coverage but I didn't see any:lol:

I am more surprised that Wonder Bread is among the casualties. Now that is a staple from the past. The others are too sweet for my taste buds.

Hostess is going to give the Unions one final chance to accept their terms tomorrow, looks like they don't exactly want to go out of business, besides selling out to a foreign company (and exporting the jobs) isn't exactly "PC" these days.

http://i384.photobucket.com/albums/oo283/tzgames/Bart-1.gif

:rofl:

R.I.P. Hostess & all the fat people in the struggle.

https://pbs.twimg.com/media/A8IcU7ECIAA-Qzy.jpg:large

The Health-Food Nation is about to rise! (I don't mind eating healthy since I wanna lose a belly...we just shouldn't be forced to do so....)

I completely agree. No one should be forced to eat healthy if they don't want to, it should be a choice.

I completely agree. No one should be forced to eat healthy if they don't want to, it should be a choice.

Yes - hear that, Michelle Obama and Michael Bloomberg???

We should rebel.

i just bought some hostess Zingers and some other goodies, I gave them to Robyn and she ran off with them

i asked her if she was gonna sell them on eBay but no answer

mp9Fhs2f8_Q

mp9Fhs2f8_Q

Twinkie Rage? That's a new one. :crazy: :lol:

They should remake the song "Radio Killed the Video Star" titled "Unions Killed the Hostess Star". Yep it was the unions that caused this unfortunate event.

They should remake the song "Radio Killed the Video Star" titled "Unions Killed the Hostess Star". Yep it was the unions that caused this unfortunate event.

yep, and i bet that those executives have golden parachutes with creamy marshmallow filling that they will cash in on if Hostess declares bankruptcy

yep, and i bet that those executives have golden parachutes with creamy marshmallow filling that they will cash in on if Hostess declares bankruptcy

so apparently the CEO just gave himself a 300% raise and the people in charge have basically been using the company as a dumping ground for bad debt until it was ready to collapse

http://www.salon.com/2012/11/20/vulture_capitalism_not_unions_killed_twinkies/

I'm upset Wonder bread went outta business because i love their white bread. I'm buying another kind of white bread now and it doesn't have the same good taste as Wonder bread. That sucks Hostess went outta business. My mom used to take my brother and i to Hostess store when we were kids. I liked their Twinkies and apple pie.

I'm upset Wonder bread went outta business because i love their white bread. I'm buying another kind of white bread now and it doesn't have the same good taste as Wonder bread. That sucks Hostess went outta business. My mom used to take my brother and i to Hostess store when we were kids. I liked their Twinkies and apple pie.


The late man lol

I was surprised that Wonder Bread was one of the item Hostess has. It is amazing that the old companies of food you once knew are bought out by someone else. Did Hostess have Wonder in the 1950's ?? I can see how the sugary sweet items are fading but Wonder bread was advertised in its day as a great bread to eat.

If I knew my last twinkie really was going to be my last twinkie I would have savored it, :( I really liked Suzy Q's too.

This post makes me sad! I grew up on Hostess products. Granted, they aren't the healthiest, but still. :(

Hostess had 250 workers in Northwest Ohio and a bakery in the Toledo suburb of Northwood.

Hostess To Sell Wonder Bread, Other Bread Business To Flower Foods for $390 Million
by CANDICE CHOI - AP
01/11/13


Hostess has found a new home for its most popular breads, including the iconic Wonder bread.

The bankrupt maker of Twinkies, Devil Dogs and other snack cakes said late Friday that it selected bids by rival bakery Flower Foods Inc. to buy six of its bread brands for $390 million. Flower Foods, based in Thomasville, Ga., is best known for Tastykakes but also makes breads including Nature's Own and Cobblestone Mill.

Hostess is expected to announce buyers for its famed dessert cakes in coming weeks. The company has said a wide variety of parties have expressed interest in its brands, including national supermarket chains and the makers of brand name packaged foods.





Flower Foods was selected as the "stalking horse" bidder for the bread brands. That means higher competing bids can still be made and the final deal must be approved in bankruptcy court.

The company made two separate bids for the Hostess breads; a $360 million bid for Wonder, Nature's Pride, Butternut, Home Pride and Merita, along with 20 bakeries and 38 depots. Another $30 million bid was made for Beefsteak.

Taken together, Hostess said those breads generated just under $1 billion in sales last year, with Wonder bread accounting for about half of that. Flower Foods, which generates about $3 billion in annual sales, said it expects the deals to be accretive to its earning this year. The company plans to finance the deal through a mix of cash and debt.





Hostess Brands Inc., based in Irving, Texas, announced in November that it was shutting down its business and selling its breads and snack cakes.

The company's demise came after years of management turmoil and turnover, with workers saying the company failed to invest its brands. Hostess filed for its second Chapter 11 bankruptcy in less than a decade this January, citing costs associated with its unionized workforce.

It had about 18,500 employees when it announced that it was shutting down after it was unable to reach a deal on a new contract with striking workers.





Hostess CEO Gregory Rayburn, who was hired last year to help orchestrate a turnaround, said in a statement that negotiations were continuing with parties for its snack cakes and remaining bread bands.

The company has stressed in bankruptcy court that it would need to move quickly in the sales to capitalize on the outpouring of nostalgia prompted by its shuttering.

http://www.huffingtonpost.com/2013/01/11/hostess-wonder-bread-sale_n_2460546.html