Foundering US snack producer Hostess Brands today (11 January) announced it would continue to operate, despite filing for Chapter 11 bankruptcy protection.
Hostess today applied for Chapter 11 at the US Bankruptcy Court for the Southern District of New York, citing more than US$1bn in debts to creditors and $21m to employees.
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The Twinkies and Wonderbread maker says it will continue operating its bakeries, outlet stores and distribution centres despite the move.
“Hostess has some of our industry’s most powerful and resilient brands,” said president and chief executive officer Brian Driscoll. “With generations of loyal consumers, numerous iconic products and a talented and experienced workforce, Hostess Brands has tremendous inherent strengths to build upon.”
The company has about 19,000 full-time and part-time employees, including 10,413 hourly workers and 8,436 salaried workers.
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