Tastes change from Twinkies to tofu, hurting Hostess
The Kansas City Star
Twinkie jokes could go on forever, like the one about the Twinkie left on a bridge. Over the decades the bridge deteriorated beyond safe use, but the Twinkie still remained edible.
Unfortunately for Hostess Brands Inc., people’s appetite for Twinkies, Ding Dongs, Wonder Bread and other products hasn’t been as enduring. As baby boomers have age, their taste have changed from eating a lot of Hostess products to turning to healthier options such as fresh fruits and vegetables and tofu to combat middle-age and old-age spread.
That change has hurt Hostess Brands. Company workers are on strike now, and Hostess Brands Inc. is on the ropes and threatening to liquidate if workers don’t return to work by 4 p.m. Friday.
The Kansas City-based company is in its second bankruptcy reorganization in eight years, The Kansas City Star reports. Company officials said they don’t have the financial resources to get through a national strike.
Workers walked out after the bakery union employees turned down a unilarterally imposed contract that came with wage and benefits cuts of 27 percent to 32 percent.
Liquidation would mean the loss of iconic Hostess products like Twinkies. But it also would leave close to 18,000 people on the bricks.