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Hostess Reopening Plants, Without Union Workers
ABC ^ | 4/26/2013

Posted on 04/26/2013 5:55:33 PM PDT by markomalley

The bankrupt assets of Hostess Brands, Inc., the company responsible for Twinkies, Ho Ho's, Sno Balls and Ding Dongs, are being put back to work by a buyout firm. What's not being put back to work are the former Hostess unionized employees.

The unionized workers had been on strike when the company folded late last year.

The company had imposed a contract that would cut its 19,000 workers' wages — 15,000 of whom belonged to the workers from the Bakery, Confectionery, Tobacco Workers & Grain Millers International Union (BCTGM) — by 8 percent. (The Teamsters was Hostess' largest union, followed by BCTGM.) The contract would have also cut benefits by 27 to 32 percent.

Hostess filed for Chapter 11 in January 2012. In November 2012, the company announced it would be shutting its doors for good. By that time, it had lost about $1.1 billion, largely due to bankruptcy filings.

But last month Apollo Global Management, LLC, and Metropoulos & Co., which owns Pabst Blue Ribbon and Vlasic pickles, bought the 83-year-old company for $410 million, renaming it Hostess Brands LLC. It is planning to re-open four bakeries over the next two and a half months, in Columbus, Ga.; Emporia, Kan.; Schiller Park, Ill.; and Indianapolis. It is also contemplating a fifth in Los Angeles.

(Excerpt) Read more at abcnews.go.com ...


TOPICS: Business/Economy; Extended News
KEYWORDS: hostess; twinkies; unions

1 posted on 04/26/2013 5:55:33 PM PDT by markomalley
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To: markomalley

Painful! Teach that writer some basic grammar. Yuk!


2 posted on 04/26/2013 5:57:07 PM PDT by jimfree (In November 2016 my 12 y/o granddaughter will have more quality exec experience than Barack Obama)
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To: markomalley
What's not being put back to work are the former Hostess unionized employees.


3 posted on 04/26/2013 5:59:02 PM PDT by Lancey Howard
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To: markomalley
Pabst
Pickles
Twinkies

bon apetit, campers

4 posted on 04/26/2013 6:00:03 PM PDT by tomkat (a nation of spoiled children being 'led' by the very ones who coddled their petulance)
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To: markomalley

5 posted on 04/26/2013 6:00:51 PM PDT by 867V309
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To: markomalley

Schiller Park...they’ll have a line 2,000 deep when they start taking applications.


6 posted on 04/26/2013 6:02:10 PM PDT by Lurker (Violence is rarely the answer. But when it is it is the only answer.)
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To: markomalley

Good news. Without a union, they are free to manage their company without the deadweight of parasitic unions. If they treat their new employees fairly, pay them competitively and allow them to fulfill their aspirations, they will be giving them more than a union ever could.


7 posted on 04/26/2013 6:02:28 PM PDT by Dapper 26
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To: markomalley

The union playing hardball during collective bargaining really worked out well, didn’t it?


8 posted on 04/26/2013 6:14:48 PM PDT by Baynative (Lord, keep your arm around my shoulder and your hand over my mouth.)
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To: markomalley

The bakery union got multi billion dollar benefit from the TAA program

Seems like the union thugs got the last laugh..

Read it and weep.....

http://news.investors.com/ibd-editorials/022213-645487-bankrupting-hostess-brings-union-workers-government-benefits.htm


9 posted on 04/26/2013 6:14:56 PM PDT by JZoback
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To: markomalley

They’re going to open a plant in LA?

Couldn’t they find anywhere else in the west with higher taxes and more regulations?


10 posted on 04/26/2013 6:15:06 PM PDT by null and void (Republicans create the tools of oppression and Democrats use them. Gun confiscation enables tyranny.)
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To: markomalley

Schadenfroh.


11 posted on 04/26/2013 6:18:04 PM PDT by Drango (A liberal's compassion is limited only by the size of someone else's wallet.)
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To: JZoback

Another link.....

Yup taxpayers are paying these union slugs up to $10,000 a year for two years....

http://www.bctgm.org/2013/02/us-department-of-labor-certifies-more-than-18000-former-hostess-workers-around-the-country-as-eligible-to-apply-for-trade-adjustment-assistance/


12 posted on 04/26/2013 6:18:49 PM PDT by JZoback
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To: markomalley

Union sure showed them!


13 posted on 04/26/2013 6:19:52 PM PDT by Gamecock ("Ultimately, Jesus died to save us from the wrath of God." ¬óR.C. Sproul)
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To: markomalley

Perhaps we are seeing the spark of a new business paradigm. Structured bankruptcy to dislodge parasites like a breaching whale, then reconsolidate operations without the troublemakers.


14 posted on 04/26/2013 6:27:11 PM PDT by SpaceBar
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To: markomalley
This is giving me a giant plate of Schadenfreude...The dumbass union thugs take a hard line against the company, lose their jobs, only to see their brands re-emerge, with a new owner, no unions, and no jobs for them! Brilliant!

(In fairness, I think it was only one union that took it down. The other unions had agreed to concessions.)

15 posted on 04/26/2013 6:31:29 PM PDT by clintonh8r ("Europe was created by history. America was created by a philosophy." Baroness Thatcher)
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To: JZoback
TAA is a lavish program doled out by the Labor Department for laid-off workers who've lost their jobs due to "global trade."

Is that why they lost their jobs? Twinkies went global? Nope.

16 posted on 04/26/2013 6:31:43 PM PDT by presently no screen name
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To: markomalley

MUST...HAVE...HOHOS.....


17 posted on 04/26/2013 6:32:16 PM PDT by Politicalmom (Liberalism. Ideas so great they have to be mandatory.-FReeper Osage Orange)
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To: Politicalmom

Imagine what a union-free ding dong would be like!


18 posted on 04/26/2013 6:37:11 PM PDT by presently no screen name
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To: markomalley

"OK I need ideas, people! Craft me an Executive Order that will prohibit Hostess Brands LLC from opening unless they allow unions!"


19 posted on 04/26/2013 6:37:48 PM PDT by COBOL2Java (Fighting Obama without Boehner & McConnell is like going deer hunting without your accordion)
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To: COBOL2Java
"OK I need ideas, people! Craft me an Executive Order that will prohibit Hostess Brands LLC from opening unless they allow unions!"

I'm sure he is working on that even as we speak.

20 posted on 04/26/2013 6:46:57 PM PDT by markomalley (Nothing emboldens the wicked so greatly as the lack of courage on the part of the good -- Leo XIII)
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To: markomalley

bump


21 posted on 04/26/2013 6:47:35 PM PDT by Fzob (In matters of style, swim with the current; in matters of principle, stand like a rock. Jefferson)
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To: markomalley

Opening in Illinois and California is flirting with fire.

Why on earth would they pick those two states both of which have pro-union legislators, outrageous regulatory rules, intimidating bureaucrats who think their mission in life is to find negatives where none exists and to write regulations guaranteed to harass business to a breaking point.

Doesn’t make any sense.


22 posted on 04/26/2013 6:48:34 PM PDT by Joan Kerrey
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To: Lurker; null and void

I also raised an eyebrow about a plant in California and even Illinois. Isn’t Illinois a closed shop state? I remember some issues about Emporia, Kansas, in the past but had to do with the meat packing industry which has been taken over by foreign workers. Can’t remember from which country but do remember that it involved having extra prayer breaks.

Any hiring in Emporia should help some with the unemployment situation in Wichita which has been really hit hard by downsizing of the aircraft industry.


23 posted on 04/26/2013 6:50:46 PM PDT by Grams A (The Sun will rise in the East in the morning and God is still on his throne.)
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To: Dapper 26

Exactly. I plan to buy some of the new twinkees to celebrate another union free company.


24 posted on 04/26/2013 6:53:31 PM PDT by Vigilanteman (Obama: Fake black man. Fake Messiah. Fake American. How many fakes can you fit in one Zer0?)
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To: markomalley
Wish them luck restarting the brand, and I know they'll have a good relationship with gov't agencies like EPA, OSHA, Board of Health, etc.

I also assume the local unions won't picket, but will accept the new (non-union) employees/managers without threats of violence.

I mean, it would be out of character for gov't or the unions to harrass a private business, right?

25 posted on 04/26/2013 6:54:59 PM PDT by ZOOKER
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To: Grams A
Can’t remember from which country

Somalia, I bet.

26 posted on 04/26/2013 6:56:44 PM PDT by null and void (Republicans create the tools of oppression and Democrats use them. Gun confiscation enables tyranny.)
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To: Baynative

Yeah, I’m sure glad those union workers stood their ground and refused that 8% pay cut! A 100% pay cut is so much better.


27 posted on 04/26/2013 6:57:16 PM PDT by EDINVA
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To: JZoback
The bakery union got multi billion dollar benefit from the TAA program

Seems like the union thugs got the last laugh..

Read it and weep.....


Maybe I missed something. According to the article the best these workers can expect is 75% of what they made, a 25% loss in pay. They turned down an 8% pay cut to get this.
If they were making $20 an hour with Hostess but can only find new employment for $10 the Government kicks in $5 for a total of $15 an hour. Taking the 8% would have cut their wages back to $18.40. How's this the last laugh?

28 posted on 04/26/2013 7:01:28 PM PDT by Joshua
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To: jimfree
And MATH!:

The company had imposed a contract that would cut its 19,000 workers' wages — 15,000 of whom belonged to the workers from the Bakery, Confectionery, Tobacco Workers & Grain Millers International Union (BCTGM) — by 8 percent. (The Teamsters was Hostess' largest union, followed by BCTGM.)

So, if 15K out of 19K workers are the SECOND largest union... How many are in the LARGEST?

This only works out if the unionistas are in both unions at once!

29 posted on 04/26/2013 7:18:10 PM PDT by MortMan (Disarming the sheep only emboldens the wolves.)
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To: MortMan

Hostess truck drivers that make deliveries must be unionized.


30 posted on 04/26/2013 7:20:38 PM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: Joshua
How's this the last laugh?

Maybe not the last laugh, but a good laugh nonetheless on the taxpayers back.

31 posted on 04/26/2013 7:21:47 PM PDT by Fzob (In matters of style, swim with the current; in matters of principle, stand like a rock. Jefferson)
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To: markomalley

The union @holes put themselves out of work. Serves ‘em right.


32 posted on 04/26/2013 7:28:22 PM PDT by JimRed (Excise the cancer before it kills us; feed &water the Tree of Liberty! TERM LIMITS, NOW & FOREVER!)
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To: null and void

Yep, it was Somalia. Thanks for the memory jog. I remember at the time wondering how on earth those people had ever gotten to Emporia. My daughter went to college there, small town, not a real happening place, just somewhere you drove through to get to the Turnpike and head south. She used to joke about cruising WallyWorld parking lot on Saturday evening for entertainment.


33 posted on 04/26/2013 7:31:34 PM PDT by Grams A (The Sun will rise in the East in the morning and God is still on his throne.)
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To: Pride in the USA
But last month Apollo Global Management, LLC, and Metropoulos & Co.

May you have success beyond your wildest dreams, shareholders and employees of Apollo!

Maybe it's time for a real Apollo candybar. It would be a hit!


34 posted on 04/26/2013 7:37:30 PM PDT by lonevoice (Today I broke my personal record for most consecutive days lived)
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To: clintonh8r

“(In fairness, I think it was only one union that took it down. The other unions had agreed to concessions.) “

That’s absolutely correct. The bakers union totally screwed the other union workers, as all the other unions had agreed to the necessary concessions. All except for the bakers who went on strike and destroyed the company and 15,000 jobs.

Of course, the plants, equipment and recipes were still all ready to go for the new owners, sans unions of course.


35 posted on 04/26/2013 7:59:23 PM PDT by catnipman (Cat Nipman: Vote Republican in 2012 and only be called racist one more time!)
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To: Joan Kerrey

“Opening in Illinois and California is flirting with fire.”

No kidding. Sounds like they have a death wish already.


36 posted on 04/26/2013 8:00:32 PM PDT by catnipman (Cat Nipman: Vote Republican in 2012 and only be called racist one more time!)
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To: Grams A

I believe they want to use the existing plants. They’re trying to do it with about 1/10 the employees. The union of course if predicting failure. I think the union is “worried” that those plants accidentally went up in flames.


37 posted on 04/26/2013 8:04:31 PM PDT by DManA
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To: central_va

Probably - but the numbers, as presented, cannot be correct.

So much for intelligent reporting...


38 posted on 04/26/2013 8:55:21 PM PDT by MortMan (Disarming the sheep only emboldens the wolves.)
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To: DManA

I believe they want to use the existing plants...”

That would make more economic sense. One of my friends defined multi-tasking for union members as anything that requires more than one muscle at a time so I’m sure they can get by with a lot less employees than before. Certainly hope there is no attempt by anyone to sabotage the plants. Some of my friends are having severe Twinkie withdrawal and I won’t let them have any out of the one box I bought at a Boy Scout fundraiser.


39 posted on 04/26/2013 9:01:01 PM PDT by Grams A (The Sun will rise in the East in the morning and God is still on his throne.)
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To: markomalley
"OK I need ideas, people! Craft me an Executive Order that will prohibit Hostess Brands LLC from opening unless they allow unions!"
I'm sure he is working on that even as we speak.

You mean in addition to giving each of the union thugs $10K a year of our tax money for two years?

Can't he can just add it to the Executive Branch expense or petty cash accounts..?

40 posted on 04/26/2013 9:18:46 PM PDT by publius911 (Look for the Union label, then buy something else.)
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To: Joshua

-——How’s this the last laugh?-——

Did it occur to you the union leadership already had this deal done...as a backup plant when they went on strike....

TAA should not apply to this labor issue, but it somehow does....though executive power...

We as taxpayers are footing the bill for these union slugs ill gotten subsidy....


41 posted on 04/27/2013 4:13:52 AM PDT by JZoback
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