A bankruptcy court judge will consider Hostess's plan to close down distribution centers and bakeries. The brand says that a strike by its employees has forced the process, while the union says that the company was asking for too many concessions. As part of the liquidation, Hostess is asking to pay out incentive bonuses to senior managers. Other firms are already looking to buy the rights to some of Hostess's products. This is the third time Hostess has filed for bankruptcy in the last ten years. If the judge approves the company's plan, about 18,500 workers will lose their jobs.
See "Hostess Asks Court to Approve Closure as Bidders Circle", Dawn McCarty, David McLaughlin and Phil Milford, Business Week, November 18, 2012