:: RIP TWINKIE 1930 - 2012 ::
Yup, you read correctly.... the brand Hostess that we all associate with Twinkies and Wonderbread is officially calling it quits and selling all its assets, because of a nationwide strike and other internal issues that the company could not recover from.
-Watch the video explaining the situation below:
The company, which had been in and out of bankruptcy restructuring, was already struggling from a high cost structure and sluggish consumer demand for its products. Its fate was sealed by a confluence of negative events including rising commodity costs and competitive pressures, says Erin Lash, analyst at Morningstar. The company had warned it would file a motion in U.S. Bankruptcy Court to shut operations if enough workers didn't end in a weeklong strike by 5 p..m. ET Thursday. On Friday, it followed through on that threat.
Now Twinkie fans and business analysts are trying to figure out what will happen to the company's brands. Some could attract a buyer. The snack foods category especially is of interest once it's one of the faster growing spaces in packaged goods, Lash says.