The Economy
Hostess warns striking workers of liquidation
Posted: Nov 15, 2012 3:14 PM by AP posted by Juice Godfrey
NEW YORK (AP) - Hostess Brands Inc. is warning striking employees that it will move to liquidate the company if they don't return to work by Thursday evening.
The maker of Twinkies, Ding Dongs and Wonder Bread says it will file a motion in U.S. Bankruptcy Court to shutter operations if enough workers don't return by 5 p.m. That would result in the loss of about 18,000 jobs.
Hostess, based in Irving, Texas, reached a contract agreement with its largest union, the International Brotherhood of Teamsters. But thousands of members in its second biggest union, the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union, went on strike last week to protest cuts to wages and benefits under a new contract offer.
The privately held food maker filed for Chapter 11 protection in January.
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