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From the Associated Press:
Hostess Brands says it is going out of business, closing plants that make Twinkies and Wonder Bread and laying off all of its 18,500 workers.
The Irving, Texas, company says a nationwide worker strike crippled its ability to make and deliver its products at several locations.
Hostess had warned employees that it would file a motion in U.S. Bankruptcy Court to unwind its business and sell assets if plant operations didn't return to normal levels by Thursday evening.
The privately held company filed for Chapter 11 protection in January, its second trip through bankruptcy court in less than a decade.
Here's the thing: Hostess has twice filed for bankruptcy. They couldn't afford to keep paying their workers the sizeable amount they were receiving. Were the cuts big? Yes. But the only way the company could continue to operate was to drastically cut costs.
The unions win, however. They held their ground and didn't accept a big pay cut.
And now they are out of a job.
Tastes like victory.
Of course the popular Hostess brands will be purchased by another bakery, and our obesity epidemic will forge ahead unchecked.