A Chapter 11 bankruptcy filing by Hostess will not affect the , Hostess officials said this week.
A story in the Huffington Post said the company has more than $860 million in debt. High labor expenses and rising ingredient costs are helping to squeeze Hostess, too.
This is the second bankruptcy filing recently for the company that makes Wonder Bread, Twinkies, Hostes cupcakes and the like. As Interstate Bakeries, it filed for bankruptcy protection in 2004, emerging in February 2009.
A USA Today story attributed some of the company’s issues to America’s health-consciousness, according to The American Conservative, which also carried a quote from Reason’s Nick Gillespie:
“… there’s no question that sliced white bread, especially Wonder Bread, went from being the staff of life for upward-striving post-War middle-classers to being a cultural touchstone for all that was bad and wrong with America. Whether we’re buying less of the stuff – or feel less in need of the myriad ways it supposedly enriches our bodies – I don’t know. But there seems less a role for white bread in a world where even the Olive Garden is pushing rustic loaves of yeast and flour.”
Hostess Brands employs about 19,000 workers and operates in 49 states. Annual sales are about $2 billion, according to the company's website.
Do you shop at the Wonder Bread store? Do you still buy Twinkies, Ding Dongs and the like? The Montville Patch would love to hear you response to this story! Please use the comment box below!
