We May Be Saying Goodbye to Twinkies & Wonder Bread...Hostess May Be Bankrupt

[Brian Damage]

Hostess Brands, maker of Twinkies, Ho-Hos and Ding Dongs, is on the verge of filing for bankruptcy protection for the second time since 2004 in the face of mounting debt and skyrocketing prices for ingredients, according to the Wall Street Journal.

As the Journal noted, times are tough for the privately held Irving, Tex. baker, which had been held up as a model of corporate restructuring since emerging from its first bankruptcy in 2009. Not only does the maker of Wonder Bread carry $860 million in debt, it owes "more than $50 million to vendors, which have been demanding payments on shortened time frames because of Hostess's financial condition," the paper said.

Above all, Hostess wasn't able to change with the times. Its whole grain bread, "Nature's Pride," was a flop and its other products are being hurt by the growing awareness of the obesity epidemic sweeping the country, especially among children. That trend is particularly evident with respect to its signature product -- Twinkies.

Twinkie inventor James Dewar swore by the cream-filled cake he invented in 1930 and ate at least two packets of them a week, before passing away in 1985 at the age of 88. "Some people say Twinkies are the quintessential junk food, but I believe in the things," the Los Angeles Times quoted him as saying. These days, many consumers don't share Dewar's heart-felt dedication to what were once dubbed "the cream puff of the proletariat." Twinkies have an "F" grade from the nutrition website Calorie Count because they pack a whopping 150 calories. That means that these snacks have evolved from a daily treat in kids' lunches to an occasional food. Little wonder that Twinkie sales are flat.

The news for Hostess may go from bad to worse. According to the Journal, the company will file a "Chapter 22" bankruptcy, since it already got protection from creditors once before. "One of Hostess's challenges will be to avoid liquidation, the fate of some other companies seeking bankruptcy protection a second time," it says.


http://money.msn.com/top-stocks/post...c-c637eb01fae8

[tiredmike59]

Long live Little Debbie brownies.

[catlover79]

I heard about this on the news. I guess we may have to kiss Ding Dongs and Ho Hos goodbye, too!

[comedyfreak]

awww. I love HoHo's, cupcakes, pies, and Ding Dong's. I better stock up now.

[mets82]

What the hell is going on??!!! Friendly's is shutting down and now Hostess!! I personally like Devil Dogs and Yodels. Those are Hostess products, right? I never know because Im too busy eating them. As far as getting an F from the Calorie Count, you know, to me, so what. As long as adults and kids dont have them everyday, whats the difference? Its nice to have a snack once in a while. Who didnt grow up having a Twinkie or a Devil Dog?

[Penny Lane]

Unfortunately I think what has been happening is that consumer's are buying cheaper knock off products. I haven't bought a brand name box of cereal in ages! I now buy the generic/store brands in bags. Some of them are very good. Everything is so over priced now days that people are refusing to buy them. Maybe this is what's happening to Hostess? Too bad. I love Hostess cupcakes and Suzy Q's.

[Penny Lane]

I do believe that the obesity issue is a big factor in the drop of sales. Back in the 70's when health foods were all the rage I think that dessert cakes might have fallen off then but not as serious as it seems to be now. I have to laugh at this story that a friend of mine told me. Back in the 70's she worked in a Catholic school cafeteria. Each parent was assigned to provide a dessert (cakes, cookies etc. ) for a week. Well, this one parent would send bran or whole grain muffins. The kids wouldn't eat them. So the kitchen staff frosted them at the school so the kids would eat them! I don't think that parent ever knew!
I always packed Little Debbie's or Hostess cakes for my kids. I ate them too! They were active and played outside a lot(before video games) and they were never overweight.

[duckie]

All you Twinkie lovers, try a box of the new chocolate creme twinkies, there very tasty. But there for a limited time only so you better hurry.

[ABlairican Pie]

My brother works at a bread distribution plant in Tacoma that has put out Wonder and Hostess items. He says you can't even get Wonder in this state anymore. I hope we can still get Hostess stuff, I'd like to ask him.


Not that I really need it for my healthy diet, but it would still be nice.

[OH Nuts!]

I feel badly for those who would lose their jobs.

While I know how yummy all this processed carb stuff can be, it is really bad for you. And for many it does catch up in the form of high blood pressure, obesity, diabetes.

But for those who are young and/or who can eat the stuff in moderation, sorry for the loss of choice. I haven't had any this stuff in the last 3 yrs. - and don't plan to ever again.

(I finally have my blood sugar under decent control, and this stuff is the last thing I need.)

[cleverfun3000]

The Last Time I Checked,a Large
Loaf of Wonder Bread was $2.89 per Loaf!
Good Riddance!

[AKA]

These products are going anywhere. I guarantee you that at the very worst, someone will buy them out. We may be seeing Betty Crocker Twinkies or Sara Lee Ding Dongs in the near future.

[comedyfreak]

I read that in addition to Hostess owing creditors, they also can't fund all the pensions either.

[angiefan]

i read that kellogg's corn pops may disappear,allong with soap opera digest,american appereal,sears.saab,i forgot the others.

[duckie]

Originally Posted by angiefan

i read that kellogg's corn pops may disappear,allong with soap opera digest,american appereal,sears.saab,i forgot the others.

I can see corn pops disappearing, with all these health nuts complaining caused kelloggs to change the formula and their not as good as they were in the 70 and 80s.