Another American icon is falling victim to the economy. While the news stories will focus on a disagreement between the union and company officials, the primary reason is an economy which drove the Hostess company into bankruptcy, closing, and ultimately laying off 18,500 workers.
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."
------------
If you and your family has been affected by the economy, if you are in a personal financial situation that has gone from bad to worse, there may be legal remedies for your problems. Contact the law office of T. Verner Smith for a free consultation at (731) 423-1888 or (615) 371-6136 today. Or email us by clicking here.
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."
------------
If you and your family has been affected by the economy, if you are in a personal financial situation that has gone from bad to worse, there may be legal remedies for your problems. Contact the law office of T. Verner Smith for a free consultation at (731) 423-1888 or (615) 371-6136 today. Or email us by clicking here.
RSS Feed