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Nov 16 2012

Unions Kill the Twinkie

Chalk up another victory for Big Unions over America:

Hostess Brands, the company better known as the maker of Butternut, Ding Dongs, Dolly Madison, Drake’s, Home Pride, Ho Hos, Hostess, Merita, Nature’s Pride, and of course Wonder Bread and Twinkies, and which previously survived one multi-year Chapter 11 bankruptcy process, when it operated as Interstate Bakeries, has just made a splash at the NY Southern Bankruptcy court, for the last time, with a liquidation filing. The reason: insurmountable (and unfundable) difference in the firm’s collective bargaining agreements and pension obligations, which resulted in a crippling strike that basically shut down the company. In other words, Twinkies may well survive the nuclear apocalypse, but there was one weakest link: the company making them, was unable to survive empowered labor unions who thought they had all the negotiating leverage… until they led their bankrupt employer right off liquidation cliff.

Other iconic features of American life will soon follow as we are “fundamentally transformed” into a completely different country that only a moonbat would want to live in.

Parasites-Kill-Hostess

On tips from AC and Bill T.

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  • Doug

    Hey Fez, looks like mommy won’t have your daily Twinkie dessert after your meal of pepperoni HotPockets much longer. That goes for HoHo’s too, retard.

  • Jimbo

    Communists SUCK!

  • Sam Adams

    Another sign that America has been fundamentally transformed. Hey, Barry…where’s the bailout for Interstate Brands?

    Here’s the deal…what will sustain us during the zombie apolypse? Is the zombie apolypse even worth fighting?

    Woody Harrildson should re-evaluate his politics.

  • GayShintoCommunist

    Prime target for nationalization. Incompetent greedy management.

    “Salary Increases at Hostess

    Some creditors question Hostess pay raises approved in late July.

    Brian Driscoll, CEO, around $750,000 to $2,550,000
    Gary Wandschneider, EVP, $500,000 to $900,000
    John Stewart, EVP, $400,000 to $700,000
    David Loeser, EVP, $375,000 to $656,256
    Kent Magill, EVP, $375,000 to $656,256
    Richard Seban, EVP, $375,000 to $656,256
    John Akeson, SVP, $300,000 to $480,000
    Steven Birgfeld, SVP, $240,000 to $360,000
    Martha Ross, SVP, $240,000 to $360,000
    Rob Kissick, SVP, $182,000 to $273,008″

    If you see employees as parasites, God, I’m glad I don’t work for you.

  • daPenguin

    so the big question is how do we blame this on Bush?

  • StanInTexas

    GayShintoCommunist, that is completely irrelevant. A minority of the workers caused the company to shut down, costing the jobs of thousands of non-union workers.

    I wonder how the employees feel now, being unemployed?

  • http://www.americanclarion.com Dr. Theo

    18,500 jobs sacrificed on the altar of socialism, presided over by the high-priests of the intransigent Bakery, Confectionery, Tobacco Workers, and Grain Millers International Union.

    This is only the beginning, friends. I predict that by the time Obamacare is fully implemented we will be facing unemployment figures north of 25%.

    BTW, I am a 64 y.o. primary care physician of 35 years experience. I retired from medical practice last Monday, laying off a staff of four wonderful friends. (I had warned my patients six months ago that I would not practice under Obamacare.)

  • http://www.americanclarion.com Dr. Theo

    SodomiteShintoCommie, so now those “greedy management” types are out of a job, too. Makes it all worth it, doesn’t it?

  • Tchhht!!!

    GayShintoCommunist says: November 16, 2012 at 10:29 am

    Jealous much?

  • GayShintoCommunist

    Well-run companies with capable managers don’t shut down because of labor disputes. It is not entirely the unions’ fault. You just want to make it so because it fits the narrative.

    I read the Fortune article. Yeah, the Teamsters were caught in 1963, but the management of IBC acted like kids in a burning candy shop, stuffing their pockets as they ran out the door.

    According to the article, IBC was 83% unionized. That’s not ‘a minority’, unless you’re using Karl Rove/Fox News math.` As far as the non-union workers, well, if you’re a non-union worker you’re basically an independent contractor these days. It sucks to be unemployed, but its not entirely the unions’ fault.

    BTW – What do you all gain by banning me? If you want this to be an echo chamber, just let me know and I’ll never come back.

  • StanInTexas

    GSC, who said that you should be banned?

    The union refused to negotiate and shut the company down. Instead of a smaller percentage of their salary, they now have none.

    And if the executives salary was an issue for them, they were free to seek employment elsewhere. Now the employees that were happy to have the job are unemployed.

    The unions did this.

  • Ghost of FA Hayek

    Let’s see if the Communist can grasp basic economics.
    Profit is the single motivating factor behind a producer to produce, and an investor to invest.
    The company shut down because it could no longer profit, giving it’s potential investors no motive to invest
    I would assume Hostess still enjoys consumer name recognition.
    My guess is some (evil rich fat cat) will purchase it, shed the overly burdensome union, hire a bunch of new execs and pay them loads of money to turn a profit again.
    Or we could solve this your way and get some Occutards to burn the whole thing to the ground for good.

  • Ummah Gummah

    .

    Good idea TROLL. I am letting you know to never come back.

    .

  • Jimbo

    Lets see:

    A top CEO executive makes $2 million a year and employs 18,000.

    A stupid racist liberal basketball player in the NBA makes about $10 million and employs his agent a gardener and a maid.

    Hey you stupid COMMUNISTS! You hypocrites SUCK! Bite my bullets, assholes.

  • http://www.americanclarion.com Dr. Theo

    The current CEO of Hostess is Gregory Rayburn, not Brian Driscoll as reported above. Though irrelevant, I doubt the other information in the post by the SodomiteCommie. I wonder if he can cite his source.

    The union of 5000 bakers shut the doors on themselves and 13,500 other employees. But, by God, the union can celebrate their success in bringing down a corporate giant that “exploited” workers for over eighty-two years. Way to go, brothers. “All power to the soviets!”

  • Joe

    I second that. We have no use for a commie liar around here, and since you voted for wonderboy, you’re an asshole anyway.

  • Joe

    Jimbo – don’t forget the crack dealer.

  • GayShintoCommunist

    Duh, I don’ know if my dull brain can handle the heckanamicks but it ‘ppears t’ me that the first time Hostess went bankrupt they got loaded down with debt by the company that went into debt to acquire them.

    Companies with a high debt load are in no position to play chicken with the unions.

    Of course, unions with that level of investment by a corporation have no business playing chicken with management. It looks very much like the Teamster leadership decided to throw their IBC employees under the bus so that they can appear to be as badass as the IBC management.

    Maybe they can do what has been done in Argentina and Bolivia. The employees can make an offer for the productive parts of the company. A court will allow them to purchase it at a fire sale price, and they can run it as a syndicate.

  • The MaryHunter

    Al Qaeda is alive, Twinkies are dead.

  • StraightShootinCowboy

    I shoot gay commies for breakfast. Especially ones that have subsisted on an exclusive diet of Twinkies for far too long. Sheesh, can’t you see what it does to their brain?

  • son of a preacher man

    This obviously is because Americans are buying to much foreign confectionaries.

    Sorry about that, must be channeling the spirit of a UAW worker

  • Tchhht!!!

    Gay,

    “Well-run companies with capable managers don’t shut down because of labor disputes”

    Like hell they don’t. I’ve seen it happen. I witnessed a trucking company fold rather than yield to the dictates on irresponsible union thugs who had no interest in the business but tried to bully the owner into keeping a dangerous, incompetent drunk driver behind the wheel.

    That’s just one example.

    Unions stink. I have had the misfortune go belong to two of them. One actually prevented me from getting a job.

    All this crap about executive salaries is nothing but class warfare petty jealousy.

    WHAAAAAAAAAAA, whaaaa, whaa. Poor liberal baby wasn’t born with the intelligence, business sense, drive, and luck that someone else was born with, so poor liberal baby has to take it out on those who did.

    If I were running a company, I would be glad you weren’t one of my employees.

  • Jimbo

    You know the map that shows the red counties vs. the blue counties? The I dare one of our stinking communist assholes to go to one of those red counties and spit their sh*t in public like they do here. It’s my belief they would be good communists (dead) in less than an hour. The freaking scuzzballs are prisoners in their little blue worlds – unless, of course, they just STFU in red counties and hide their true alliance – which the stinking cowards do.

  • Ghost of FA Hayek

    Dr Theo
    I have a family member who changed majors after the O Care travesty was passed.
    She said something about a lifetime saddled with debt and government intrusion as being the deal breaker.
    (even though this may seem to be a plus to the Commie troll)
    Then a couple weeks ago we both happened upon an unfortunate gal having a seizure
    As I watched her calmly administer first aid until first responders arrived, I couldn’t help but imagine how great she would have been, and how destructive liberalism is.

  • Ghost of FA Hayek

    tried to bully the owner into keeping a dangerous, incompetent drunk driver behind the wheel.
    Tchhht!!!
    This comes as no surprise at all.
    Insurance companies have zero tolerance for drunks behind the wheel of big rigs they insure.

  • IslandLifer

    Ghost just pray you never end up in a hospital in the near future.

  • JNN

    To all of the socialist losers—-markets determine compensation…not your precious feelings. Time to grow up.

  • Dr. 9

    Hostess is simply the latest example proving the plan is working. What plan? Back in the mid 20′s, the organized labor movement was started by the Communist Party of America.

    It’s goal was, obviously, to destroy America’s economic power and future. And today, still controlled by the communists, organized labor is doing just that. Richard Trumka, head of the AFL-CIO, and very close friend and major supporter of the Marxist-in-Chief, is a regular attendee, and keynote speaker at communist party meetings and rallies.

    Of course, one would then ask the question; what kind of Kool-Aid does he feed to his union members that they would tolerate this?

  • Comrade J

    Does anyone know how much the “martyrs for a common worker” aka union bosses make these days?

    http://kcerds.dol-esa.gov/query/getOfficerEmployeeQry.do

    Mary Kay Henry, President of the Service Employees International Union (SEIU), earned $290,334 in 2011;
    Gerald McEntee, President of the American Federation of State, County and Municipal employees, AFL-CIO (AFSCME), earned $512,369;
    James Hoffa, General President of the Teamsters, earned $372,489;
    Dennis Van Roekel, President of the National Education Association (NEA), earned $460,060;
    Joseph Hansen, President of the United Food and Commercial Workers International Union (UFCW), earned $361,124, and
    Randi Weingarten, President of the American Federation of Teachers (AFT), earned $493,859.

    Let’s keep in mind that Hostess Brand is privately owned… Who’s greedy now?

  • Jim

    The closure in the San Francisco Bay area also includes bakeries that make extra sour dough bread. There are other sources but this is the second baking corporation that closed that made extra sour dough bread due to union thugs.

  • F.D.R. in Hell

    At least this union didn’t riot like the 1930′s.

    Lucifer says: “Bakers always like to roll in dough”

  • Babs in Hell

    Franklin, neither you nor Lucifer is funny. :evil:

    This is 18,500 more voters for Obama’s Third Term.

  • Jodie

    A few minutes ago, they played a clip on the radio where they were asking some young people why they thought that Hostess was going out of business. They all said some variation of that it’s because people are tired of high fat and high sugar foods and are concerned about obesity.

  • Son of Taz

    Hey Shinto, you’re so effin’ smart – take your fat ass down to the bankruptcy court and make an offer to buy the company. Let’s see how well YOU do with a bunch on union thugs making the rules for you to live by in the workplace.

    Yes, it seems the execs were well-paid. So what? They’re out of work now too.

  • Son of Taz

    @Comrade J – you’re not supposed to tell anyone about those union hogs making so much money!!

  • Sam Adams

    GayShintoCommunist says:
    November 16, 2012 at 10:50 am Well-run companies with capable managers don’t shut down because of labor disputes. It is not entirely the unions’ fault. You just want to make it so because it fits the narrative.

    _________

    The union pushed the company over the cliff. Had the union gone back to work, the company would be operating today.

    In reality, well run companies don’t have unions.

  • Bill T

    A new White House petition wants President Obama to nationalize the “Twinkie industry,” saving the popular junk food from possible extinction.

    http://www.politico.com/politico44/2012/11/petition-wants-obama-to-save-twinkies-149789.html

  • Comrade J

    @ Son of Taz,

    Greedy Schweine must be exposed. This is not Animal Farm, this is USA.

    BTW, allow me to dissect the BS that GSC is pushing here. Where are his allegations above coming from? So glad you asked – Teamster‘s website. Hmm ok… suspect, but that doesn’t make it automatically untrue. Let’s look at the time stamp of the article – April 4, 2012

    Ok, so it’s a bit old… Has anything else happened since then? So glad you asked:

    ” The chief executive of Hostess Brands Inc. said he is slashing executive compensation in the aftermath of creditor allegations that the company may have pushed management’s salaries higher in the months leading up to its Chapter 11 bankruptcy filing in an effort to skirt bankruptcy rules.

    Gregory F. Rayburn, a restructuring expert who took the helm at Hostess last month, said in an interview that the top four executives working under him had agreed to cut their annual salaries to $1 until the company emerges from bankruptcy or Dec. 31, whichever comes first.”
    April 10, 2012 Source here.

    Notice:
    1) it’s the same author for both of the articles – Rachel Feintzeig.
    2) the search for either the second article or Rachel’s name on Teamster’s website produces… [drum roll] NOTHING.

    So to summarize you have GSC BS’ing here. How shocking, right?

  • Comrade J

    @Bill T,

    They want to save unions pigs, aka union bosses [to be distinguished from a regular often clueless union worker who's just trying to make a living]. Just like with GM…

  • Comrade J

    UPDATE:

    Teamster Union agrees – Bakers Union went crazy even by union standards.

  • Ghost of FA Hayek

    A new White House petition wants President Obama to nationalize the “Twinkie industry,”
    Bill T
    What I don’t understand is why so many act surprised the Lightworker slithered back into office

  • rex freeway

    I seen an interview of some that were on strike. Obama supporters all the way. My 8 year old nephew has a better grasp on reality then these people

  • Nathaniel M

    Comrade J says:

    BTW, allow me to dissect the BS that GSC is pushing here. Where are his allegations above coming from? So glad you asked – Teamster‘s website.

    Good grab J. I’ve seen these CEO pay lists regurgitated on multiple right wing websites I frequent and no one was citing where this came from. The Teamsters in the link you provided seemed to be scratching their heads in disbelief at the Baker’s Union’s positions as well.

  • Nathaniel M

    Furthermore:

    Gregory F. Rayburn, a restructuring expert who took the helm at Hostess last month, said in an interview that the top four executives working under him had agreed to cut their annual salaries to $1 until the company emerges from bankruptcy or Dec. 31, whichever comes first. The executives–Gary Wandschneider, John Stewart, David Loeser and Richard Seban–had seen their salaries increase by 75% to 80% last July, at a time when the baking company had already hired restructuring lawyers, according to creditors….

  • Alan

    Brian Driscoll, CEO, around $750,000 to $2,550,000
    Gary Wandschneider, EVP, $500,000 to $900,000
    John Stewart, EVP, $400,000 to $700,000
    David Loeser, EVP, $375,000 to $656,256
    Kent Magill, EVP, $375,000 to $656,256
    Richard Seban, EVP, $375,000 to $656,256
    John Akeson, SVP, $300,000 to $480,000
    Steven Birgfeld, SVP, $240,000 to $360,000
    Martha Ross, SVP, $240,000 to $360,000
    Rob Kissick, SVP, $182,000 to $273,008″

    Adding the HIGH figures, I get ~$7.6 million. If those executives gave up all their raises (which of course YOU would do, Gay) divided by 18,000 employees comes to … $422 per person. That’s a Christmas bonus, not a turnaround strategy.

    My parents were both union workers, for Bethlehem Steel and General Telephone. Both were forced into early retirement in their 50s when I was in high school, both got union retirement packages and … both companies went broke. Bethlehem was eventually bought by Mittal Steel, GTE by Verizon. Today I work an office job in a right-to-work state. I got a small raise and a quasi-promotion this month.

    Unions were a good idea a century ago, but times have changed, and Progressive are often the last to figure this out.

    Oh, and Mom and Dad church-going pro-lifers who’ve been married 59 years and can’t stand Obama.

  • Nathaniel M

    Oh and I bought a big ol’ box of Twinkies yesterday having Hostess’s situation in mind and gave each kid in my program a Twinky :) A little slice of nuclear waste Americana but Americana none-the-less.

    Me I got a box of Ho-Hos. Cheers!

  • Nathaniel M

    Libs can feel free to chastise me and cuss e out for poisoning our youth. I’d consider it a badge of honor.

  • Bill T

    Do you think that Hostess Brands Inc. being Texas based might have had a little something to do with the decision? Guess the unions hadn’t heard the saying, Dont Mess With Texas!

    The last sentence of the anouncement “Most employees who lose their jobs should be eligible for government-provided unemployment benefits.”
    http://hostessbrands.info/

  • Sam Adams

    I’ve spent time in two Hostess bakeries. The equipment is old and there isn’t enough capital to improve/further automate it.

    Apparently the Bakers Union was offered an 8% raise, but that wasn’t enough for them.

    Another Hostess problem is that Hostess Bread could not be delivered on the same truck that delivered DingDongs, Twinkies, etc. Something about union rules.

    This all fits with Obama’s goals. He wants less rich people. He doesn’t care how many more poor people he creates.

  • Nathaniel M

    Jim says:

    The closure in the San Francisco Bay area also includes bakeries that make extra sour dough bread. There are other sources but this is the second baking corporation that closed that made extra sour dough bread due to union thugs.

    Hey another Bay Area dweller, awesome… Ya Jim I totally forgot that Columbo Sourdough Bread was a Hostess brand. After Parisian Bakery closed Columbo was my 2nd favorite sourdough bread. I remember moving back to SF and looking forward to Dugeness crab and sour dough bread, San Francisco hallmarks besides sodomy, whips, moonbats and leather. A double F-U to that baker’s union for robbing SF of another fond memory.

    http://articles.latimes.com/2005/aug/21/local/me-sbriefs21.3

    http://www.sfgate.com/business/article/Hostess-workers-shoppers-in-East-Bay-worry-hope-4044923.php

    This also closes Hostess’s outlet store where many low income people are able to by quality brad products and I don’t mean Twinkies.

  • Nathaniel M

    So this is what the Left is running with. Comments on the SFgate.com site;

    The private equity firm and hedge fund managers knew exactly what they were doing when they assumed Hostess’s debt. They put the screws to the employees and if it worked, fine. They bide their time until the next negotiation. If the employee’s pushed back they’d shut down the company, sell off its trademarks piecemeal for a profit without the burden of union pensions to deal with. All the while the typical kneejerk reaction of many to curse the little guy and the unions rears its ugly head – while the Wall St. vultures laugh all the way to the bank.

  • Nathaniel M

    And Again we see what Comrade J was talking about;

    While the media is busy blaming the union for Hostess’s demise, nobody is reporting that CEO Brian Driscoll helped himself to a 300 percent pay increase. Just another example of the one percent literally taking food out of the mouths of everyone else — in this case Twinkies and Ho Hos.

    Driscoll’s salary went from $750,000 to $2,550,000. Another executive’s salary went from $500,000 to $900,000 and another doubled his salary from $375,000 to $656,256.

    In the meantime, the company was eliminating its largest debt — the Union Health and Welfare/Pension to which it owed $989,323,000 as reported in January 2012. If there’s no money to pay workers and you’re asking them to make concessions such as lower pay and higher insurance premiums, where do you get off doubling and tripling your salaries? Ask workers to take a pay cut while you suck every available dollar out of the company you can and steal their pensions and you wonder why they won’t accept your deal?!

    http://www.sfgate.com/default/article/Hostess-to-close-lay-off-145-in-Oakland-4045280.php

  • Nathaniel M

    It looks like they are all grabbing this from the usual sources; Huffpo, DailyKos, ThinkProgress, etc…

  • Nathaniel M

    Total list of Hostess’s brands:

    Baker’s Inn
    Beefsteak
    Blue Ribbon
    Bread du Jour
    Butternut Breads
    Colombo
    Cotton’s
    Di Carlo
    Dolly Madison
    Drake’s
    Dutch Hearth
    Eddy’s
    Good Hearth
    Holsom
    Home Pride
    Hostess
    J.J. Nissen
    Merita
    Millbrook
    Mrs. Cubbison’s Foods
    Nature’s Pride
    Parisian
    Standish Farms
    Sweetheart
    Twinkie
    Toscana
    Wonder Bread

  • 4-8-15-16-23-42

    Last year Hostess lost $341 million – those pay increases listed by Gay Shinto Commie (not that I agree with them – they are absurd for a company in bankruptcy) come to less than $20 million. So even if all execs worked for FREE the company would still be going under without major union concessions. Fact is labor salaries and benefits are what drove Hostess out of business.

    The Union wont spend their own loot to buy the company – they know they would have to demand the same thing Hostess mgt did to keep it running.

    So now now they are all out of work.

  • 4-8-15-16-23-42

    Twinkies will be produced by someone else as will most Hostess brands. At least until unions put those companies out of business too – or maybe the FDA will declare them BAD FOOD and outlaw them.

  • grayjohn

    In a case like this unemployment shoulc be denied to all hostess employees. Knowing a strike will end your job, and then striking anyway, is the same as quitting. In Utah if you quit your job you get no unemployment. These people quit,so to hell with them.

  • http://www.uncommonsqualor.blogspot.com -sepp

    They should have went back to work while continuing to negotiate their contract.
    Taking a temporary hit to save the job AND the company they work for is a helluva lot smarter move than the “All or, nothing” union line that has left them with nothing.

    BTW, Hostess was one of the few places in NW Ohio that was regularly advertising to hire people as of 3 days ago…not anymore.

  • octa bright

    Perhaps I am missing something but if the equipment was at best obsolesent, the bottom line deeply in the red, and the vulture capitalists in control of the company was it not just a LITTLE bit stupid to strike when you are in such a weak position?

  • Cameraman

    Same thing always eventually Happens with GREEDY Unions, when they pull the Company down, with Unfunded Libilities and Pension Bull Shyte! To hell with all Unions, they almost destroyed the Car Companies,Now they Own them! Hope all the Stoopid asses have A Nice Christmas and I Mean That!(Sarc)

  • Sinister66

    Have you checked what hostess paid. They didnt pay squat. And they wanted to reduce employee salaries by 8%. But lt looks like a mexican company is going to buy hostess up.

  • Joebob

    The Mexican company will produce this product without unions plain and simple. If these Bakers union employees were smart enough to be something other than union employees, then they’d be in management at some company somewhere. These guys never woke up to the fact their product due to health concerns was deteriorating substantially, so much so that they no longer had any negotiating power. I reckon you all can work at Walmart now with the rest of us.

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