US: Turnaround veteran Rayburn to lead ailing baker Hostess
Turnaround veteran Greg Rayburn has been named president and CEO of US baker Hostess Brands, which moved into bankruptcy protection in January.
Rayburn, a former director at US retailer A&P, which looks set to emerge from Chapter 11, joined Hostess last month as chief restructuring officer. He replaces Brian Driscoll, who has resigned from the top job.
"Hostess has been in business for more than 80 years and has established a powerful and valuable brand. I look forward to working closely with the management team and all of Hostess’s key constituents so that we can emerge from Chapter 11 as a company with a strong future that leverages its many strengths," Rayburn said.
In January, Hostess Brands applied for Chapter 11 bankruptcy protection, with more than US$1bn in debts to creditors and a further $21m owed to its employees.
It was the second time the manufacturer of brands like Twinkies and Wonderbread has done so in its history. It applied for Chapter 11 for the first time in 2004, finally emerging from bankruptcy in 2009.
Industry watchers said Hostess has failed to adapt to growing demand for healthier products, faced competition from own label and had to deal with increasing staff costs.
The Hostess board thanked Driscoll "for his efforts during a very difficult period" for the company but added: "We also want to express our thanks to Greg for stepping in as CEO. His experience and proven track record in leading companies through critical transitions is precisely what Hostess needs at this point, and he has the full support of the board, our lenders and investors."
Leading producers of high fructose corn syrup, including Archer Daniels Midland and Cargill, have launched legal action against the Sugar Association over false marketing claims....
US snack group Snyder's-Lance has said its acquisition of Snack Factory for US$340m will significantly boost sales, cash flow and profit margins....
Shares in US produce group Calavo Growers closed down 12% after the company reported higher third-quarter profits that missed Wall Street expectations....
The CFO of Hain Celestial, Ira Lamel, has announced his retirement after 11 years with the company....
- How the CGF plans to halve global food waste
- Focus: Will synergies lift Ahold Delhaize in US?
- 10 Things to Learn - JBS's acquisition of Moy Park
- M&A Watch - ConAgra should divest Commercial Foods
- IRI – The opportunity of range optimisation
- ConAgra confirms private-label exit
- Kraft Heinz unveils management structure
- Kellogg eyes trends with product launches
- CMA "accepts" Muller's revised Dairy Crest offer
- Kraft faces lawsuit over 'natural' claims