Hostess, in business since the 1930's, has suspended operations at all plants, will lay off some 18,500 workers, is filing bankruptcy and will sell its assets (including 33 bakeries and 565 distribution centers). The final nail in the coffin came as the result of a worker strike, and the Hostess coffers were not healthy enough to sustain the labor dispute timetable. The company says it will continue to deliver products and its stores will remain open for several more days until the current product is depleted.
Gregory Rayburn, CEO of Hostess said, "We deeply regret the necessity of today's decision, but we do not have the financial resources to weather an extended nationwide strike."
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