Hostess Brands: BCTGM strike raises liquidation fears

Irving / TX. (hbi) Hostess Brands Inc. issued a statement in response to an announcement from the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union (BCTGM) that its members at some Hostess bakeries have gone on strike: «A widespread strike will cause Hostess Brands to liquidate if we are unable to produce or deliver products. If that is the case, the company will move promptly to lay off most of its 18’300-member workforce and focus on selling its assets to the highest bidders. We urge our employees to remain on the job to rebuild the company. Sixty-four percent of our workforce is composed of non-union employees and employees represented by unions that ratified our proposals for modified collective bargaining agreements. We believe they have earned the right to rebuild Hostess. We know the concessions are tough, but it would make more sense for unhappy employees to simply leave the company voluntarily than to strike and cause the company to close down, forcing everyone to lose their jobs».

Teamsters: Hostess Member Update

Washington / DC. (ibt) On Friday, November 09, the Bakery Confectionary Tobacco Grain Millers (BCTGM) International Union put out a press release and related statements that its local unions were striking Hostess Brands Inc. at several facilities that would be expanded over the coming days. The BCTGM did not alert or otherwise notify the Teamsters Union of the strike action. At facilities Teamster members may encounter a picket line. Any decision for the Union to sanction or honor a picket line would have to be in compliance with local contracts. Teamster Hostess members should contact their Local Union to know their rights. At this point, the Teamsters do not yet know the full extent of the strike. Once they know more about the strike situation, the Union will provide updates on teamster.org.

BCTGM: Hostess Strike Shuts Down Major Production Plants

Kensington / MD. (bctgm) On Friday, November 09 the Bakery Confectionary Tobacco Grain Millers (BCTGM) International Union members employed by Hostess Brands Inc. across the United States began to strike. These workers, many of whom have worked at Hostess and its predecessor companies for decades, are on strike in response to the company´s unilateral imposition of a horrendous contract that was rejected by 92 percent of BCTGM Hostess workers in September. For details please read the «Fact Sheet» on BCTGM´s web server.

About Hostess Brands

Founded 1930 and today based in Irving, Texas, the former Interstate Bakeries Corporation (IBC) filed for bankruptcy protection in September 2004. In February 2009 – after more than four years – IBC emerged from its first voluntary Chapter 11 financial reorganization. The maker of Hostess Twinkies and Wonder Bread then moved its headquarters from Kansas City (MO) to Dallas (TX) and changed its name to Hostess Brands. The baker and distributor of fresh-baked bread and sweet goods today has approximately 18’000 employees and operates 36 bakeries, 565 distribution centers, approximately 5’500 delivery routes and 570 bakery outlet stores throughout the United States.