Parent Company of Twinkies Names New CEO following Second Bankruptcy

According to a recent Reuters report, Hostess Brands - the maker of Twinkies and Wonder Bread has named a new CEO as they continue to work their way out of a second bankruptcy.
This is the second bankruptcy for Hostess Brands in less than three years.  Gregory Rayburn has taken over as CEO while former Chief Executive Officer, Brian Driscoll's resignation becomes effective today.

The company, which filed for bankruptcy protection in January 2012 after it failed to reach an agreement with workers regarding the issues of pension and healthcare is also facing a possible strike by the Teamsters union.

As the new head of the company, Gregory Rayburn will oversee the Hostess' reorganization under Chapter 11 and the ongoing negotiations with its unions.

To learn more about the different types of bankruptcy, visit Foster Law Offices.

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Posted in Chapter 11 Bankruptcy , gregory rayburn , hostess bankruptcy , twinkies bankruptcy

Twinkies In Trouble? Hostess Files Bankruptcy...

No more twinkies? Say it isn't true. Hostess Brands, a Texas based company filed for Chapter 11 Bankruptcy protection on January 11, 2011 while continuing to operate but the signs of trouble continue to appear for the maker of Twinkies, Ho Hos and Wonder Bread..

The latest issue .. The Teamsters Union which represents approximately 1/2 of the company's  employees are threatening to strike if the company imposes what they deem as "unfair" contract terms, including wage cuts.

According to the Union,  more than 90 percent of its' Hostess members voted to authorize a strike if "unfair contract terms" are approved as part of the bankruptcy proceedings and  a hearing set for March 5th where a U.S. Bankruptcy judge will have 30 days to issue a ruling.

This isn't the first rodeo for the company comprised of 36 bakeries - Hostess previously filed for bankruptcy in 2004 and re-emerged in 2009. The company has about $860 million in debt.

A spokesman for Hostess declined to comment on the Teamsters’ announcement.

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Posted in Chapter 11 Bankruptcy , hostess bankruptcy , twinkies bankruptcy