Friday, December 14, 2012

Is This Goodbye to Twinkies Forever?



Is this really the end of Twinkies forever? Due to a dispute between the Hostess company and Union workers, Hostess is filing for bankruptcy. The Bakery, Confectionery, Tobacco Workers, and Grain Millers International Union ultimately decided to strike on November 9th due to a court-approved pay cuts. over 18,000 workers went on strike against the company.


There are a number of reasons why these workers went on strike. Most of them say it's because of poor management, another reason could be that Hostess refused to pay pension benefits, but more so poor management. Hostess was 450 million dollars in debt in it's first bankruptcy, and still disputing over the future of the company between the owners, creditors, and the union. None of them were able to agree on anything, and time was running out for them. Meanwhile, during their disputes, Twinkies in stores have been vanishing quicker than the speed of light. At Dolly Madison outlet store, Twinkies were being sold for only 50 cents each. Customers line up bright and early for the opening of the store to desperately get their last chance of ever tasting America's favorite Hostess cream-filled snacks.


This is actually an image I took today of recent standings on Twinkies being sold for on eBay. The holder is selling 17 "fresh, new" boxes of Twinkies for a whopping 79 dollars, but hey. He was nice enough to throw in free shipping. Twinkies and other Hostess snacks are being sold all over eBay with prices that ranges from  a simple 25 dollars to a ridiculous 200,000 dollars. Questioning had occurred if the crazy holder pricing those Twinkies for 200,000 dollars was one of the workers freaking out if he or she was going to be unemployed in the future, but then again there's a lot of crazy people out there.



The company was having problems in the past as well. Starting in 2011 is when they started getting into millions of dollars in debt. Their futile attempts to resurrect the company were hopeless. They quickly got deeper into debt and desperate for new management. In 2012, millions went to billions. In hopes of trying to fix the issue, they decided to release it's 18,500 workers and focus on selling their products.

No comments:

Post a Comment