Has the Twinkie-pocalypse arrived? Hostess to go out of business, cut 18,000 jobs; Updated

Confirmed: Hostess Twinkies do have an expiration date.

Hostess Brands intends to shut down and lay off its employees because not enough striking workers returned to work by the Thursday deadline.

Way to go, unions!

That’s right, more than 18,000 jobs lost.

But fear not, Twinkie lovers:

Hostess said it will seek bankruptcy court permission to close its business and sell its assets, “including its iconic brands and facilities. Bakery operations have been suspended at all plants.”

There may be a temporary shortage of Twinkies, but as Twitchy noted yesterday, some enterprising capitalist is likely to buy the Twinkie name and recipe.

Update:

Out: Hostess Twinkies. In: Bain Twinkies?

Even tastier: Koch Twinkies!

Not so tasty: shuttered plants and more than 18,000 workers without jobs.

Another union “victory.”

Update:

Sen. John McCain tweets his statement on the end of Hostess:

Update:

Hostess has updated its website to reflect the closing:

 

And they’ve posted a press release:

The Board of Directors authorized the wind down of Hostess Brands to preserve and maximize the value of the estate after one of the Company’s largest unions, the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union (BCTGM), initiated a nationwide strike that crippled the Company’s ability to produce and deliver products at multiple facilities.

Hostess Brands is unprofitable under its current cost structure, much of which is determined by union wages and pension costs. The offer to the BCTGM included wage, benefit and work rule concessions but also gave Hostess Brands’ 12 unions a 25 percent ownership stake in the company, representation on its Board of Directors and $100 million in reorganized Hostess Brands’ debt.

“We deeply regret the necessity of today’s decision, but we do not have the financial resources to weather an extended nationwide strike,” said Gregory F. Rayburn, chief executive officer. “Hostess Brands will move promptly to lay off most of its 18,500-member workforce and focus on selling its assets to the highest bidders.”

Congratulations to the BCTGM. We hope you enjoy reaping what you’ve sown.

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