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So much for that ray of hope for the Twinkie. Today, the bankruptcy judge in the Hostess case gave approval for the company to liquidate. The mediation suggested by Judge Robert Drain failed; as Drain stated, “Sadly, the parties were not able to come to an agreement. It’s a free country. People are free not to agree.”

A full 15,000 employees will be terminated; another 3,200 will stay on to help wind the business down. The company has decided to liquidate even though expected bonuses for executives, which range from $7,400 to $130,500, could be slashed by the bankruptcy judge. Those bonuses were the fodder for an Obama Department of Justice appointed trustee attempting to leverage Hostess into new negotiations with the Bakery Workers union earlier this week.

http://www.breitbart.com/Big-Government/2012/11/21/Hostess-T...

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No last minute 'miracle' is going to save the striking unions and keep the archaic work rules that did in HOstess...

It's done. It's over.

Twinkies likely will be sold off to Bimbo for 10c on the dollar and made in Mexico and hauled north on Mexican trucks to an entirely new distribution system where bread and cake can ride in the same truck and drivers can help load and unload the products.



t.
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No last minute 'miracle' is going to save the striking unions and keep the archaic work rules that did in HOstess...

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These morons, just were not paying attention

Had they made their case BEFORE the election, the feds would have stepped in and bought out the pension somehow, magically saving jobs and avoiding bad publicity

Lots and lots of libs are going to be enjoying their house of cards over the next four years.

I only hope they are smart enough to storm the building containing the MSM first, instead of hurting innocent people.
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"
Had they made their case BEFORE the election, the feds would have stepped in and bought out the pension somehow, magically saving jobs and avoiding bad publicity

Lots and lots of libs are going to be enjoying their house of cards over the next four years."


The company will dump all the pension plans on the government. Some of the retirees won't get as much as the plan is capped and there are no COLAs.......and no health care benefits either.


It was really the TEAMSTERS union - that forced the duplicate distribution system and 4 times as many people as needed, that did Hostess in.

THe Bakers union were the stooges that brought the whole house of cards down.


t.
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The bakery where DW gets her bread just closed, prompted more or less by our local government.

http://portlandtribune.com/lor/48-news/123138-bakerys-closin...

Bakery owner Alice Seeger says her business plans have been hampered by a city redevelopment initiative: the North Anchor project, a mixed-use development with a new public library, public parking and businesses. The city plans to redevelop the area — demolishing several buildings, including the one in which Upper Crust now sits. But it's unclear when that all will happen. A bond measure aiming to finance the library part of the project failed last week.

"That's the part that's the most troubling to me: the uncertainty it creates," Seeger said. "It creates an opportunity for the city to take advantage of small-business owners." Seeger contends that the ongoing uncertainty created a "cloud" over her lease, foiling her goal of selling Upper Crust around 2010.

Even before the library measure failed, it was unclear when the North Anchor project would proceed, Seeger said. Knowing the city could move ahead at any point in the next few years — likely requiring Upper Crust to move well before its lease expires in 2017 — has put Seeger in a tough spot, she said: Who could get a loan to buy her business without a stable, long-term lease? "To be honest with you it's not about the money; it's that they're clear they're going to enforce my obligations under the lease," Seeger said. "Their only real obligation under the lease is to guarantee I'll be there for five years, and they won't do that."
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They put small businesses on their cornflakes.

--fleg
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Union stupidity reigns again.
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THe Bakers union were the stooges that brought the whole house of cards down.


t.


The teamsters could have kept feeding on the body for quite awhile, if the bakers had cooperated.

Another bakery will be able to produce the same products with less than quarter of those employed by Hostess. The "hope" that some Hostess employees will be rehired is very thin. With over capacity in the industry, merging in new products won't require many new employees.
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"Another bakery will be able to produce the same products with less than quarter of those employed by Hostess. The "hope" that some Hostess employees will be rehired is very thin. With over capacity in the industry, merging in new products won't require many new employees. "

It was all the delivery system - duplicate - that did Hostess in. Their bakeries were OK...and productivity OK.

WHat killed them was the teamster union contracts - requiring two duplicate fleets of trucks, two sets of employees, silly work rules like the driver couldn't actually stock the shelves.....that took yet another person......

Probably 75% of the 'delivery system' was dead weight, but the teamsters wouldn't relent and move into the 21st century.

So 15000 of the 18,500 who are getting laid off are teamster delivery people. You only needed 1/3rd of them.

t
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So 15000 of the 18,500 who are getting laid off are teamster delivery people. You only needed 1/3rd of them.

t


Fewer than that when merged into existing unused delivery capacity.
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Twinkies likely will be sold off to Bimbo for 10c on the dollar and made in Mexico and hauled north on Mexican trucks to an entirely new distribution system where bread and cake can ride in the same truck and drivers can help load and unload the products.


Meanwhile, all the former Hostess workers can sit at home and pat themselves on the back that they didn't back down -- now that they're unemployed and will be receiving no paychecks nor benefits. Well done!
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