Twinkie Maker Hostess Plans To Shut Down

: Chris Lee Law Firm

  Filed under: Chapter 11

Hostess Brands — the maker of such iconic baked goods as Twinkies and Wonder Bread — filed a motion with federal bankruptcy courts Friday to close its operations after striking workers across the country crippled its ability to maintain production.

No More Twinkies?

The closing will result in nearly 18,500 workers losing their jobs as the company shuts down 33 bakeries and 565 distribution centers nationwide, as well as 570 outlet stores.

Hostess filed for Chapter 11 bankruptcy in January, its second trip to bankruptcy court since 2004. It previously emerged from restructuring in 2009 after a four-and-a-half year process.
Unlike many of its competitors, Hostess had been facing intensifying competition from larger companies such the snack unit of Kraft Foods that makes Oreos, Chips Ahoy and Nabisco. “We’ll be selling the brands and as much of the infrastructure as we can,” said company spokesman Lance Ignon. “There is value in the brands.”

The company’s last operating report, filed with bankruptcy courts in late October, listed a net loss of $15.1 million due to restructuring charges and other expenses. Approval of the bankruptcy court is needed before the company can start selling its assets in liquidation.


Are you a candidate for bankruptcy?
Would you like to find out if bankruptcy is the right option for you? Try our Free Online Bankruptcy Evaluation. 4 easy steps to see if bankruptcy could be the right option for you!
  • Step 1
  • Step 2
  • Step 3
  • Step 4
Please Select Each Box That Applies To You
Creditor Harassment
Loss of Income
Foreclosure
Disability or Illness
Current Expenses
Auto Loans
Credit Cards
Medical Bills
Payday Loans
Do you have any additional information you would like to share?
Contact Information