Hostess, Bakers Union to hold talks on reason for strike

[Sophiegirl]

Source: Bloomberg

Hostess Brands Inc. will hold talks with its bakery workers’ union tomorrow to explore the reasons for a strike that the maker of Twinkies and Wonder bread said will force it to liquidate.

U.S Bankruptcy Judge Robert Drain said today at a hearing in White Plains, New York, that there are “serious questions as to the logic behind the decision to strike.” He urged the company and the union to enter mediation, citing the potential loss of more than 18,000 jobs.

“I believe that mediation really only works if the parties are willing to do it but I’m also strongly suggesting that the parties should be willing to do it,” Drain told lawyers for the company and its bakers’ union. “To me not to have gone through that step leaves a huge question mark over this case which I think will only be answered in litigation.”



Read more: http://www.washingtonpost.com/business/hostess-to-hold-talks-with-bakers-union-on-reasons-for-strike/2012/11/19/320572f6-328a-11e2-92f0-496af208bf23_story.html#license-320572f6-328a-11e2-92f0-496af208bf23

[Robb]

1. Look at the LAST two paragraphs of this piece.

I mean, I've seen burying the lede before, but this is an ASTOUNDING example:

The U.S. trustee, a Justice Department official responsible for protecting creditors, today asked Drain to take control of the liquidation away from the company. U.S. Trustee Tracy Hope Davis asked the judge to convert the case to a Chapter 7 from Chapter 11 bankruptcy, based partly on the company’s intent to pay bonuses, and appoint a trustee to supervise the wind-down.

Hostess officials “have not demonstrated that the insider bonuses are permissible,” Davis wrote in a court filing. They also “improperly seek to exculpate and indemnify their management from past and future liabilities” and want to “cherry-pick which administrative claims get paid.”

[bluesbassman]

2. The various management teams over the past decade have not acted in good faith,

and have not executed a business plan that was designed to keep this company solvent and viable.

What has been done is cost cutting directly affecting the financial well being of the employees, and a systematic looting of this company through vulture capitalism.

[freshwest]

3. +1,000 to both of you.

[SoapBox]

4. On MSNBC's The Cycle today...

This was one of the last topics.

OF course, they laughed and laughed and laughed about Twinkies, Ho-Ho's and the like

but just barely mentioned all of the workers that will be out of work.

Disgraceful that the Impotent Media is not all over the virtual theft of monies from the company.

[BlueStreak]

5. Huge exec bonuses for firing 18,000 people not permissible? What is this world coming to?

[dipsydoodle]

6. Kick.

.