Hostess Bakeries will close if offer isn’t accepted
If the court approves its motion to impose a new collective bargaining agreement, but the bakers union strikes, Hostess Brands, Irving, Texas, will rapidly close its operations and begin the process of selling all of its assets, said CEO Gregory Rayburn after he told the U.S. Bankruptcy Court in southern New York in written testimony that acceptance of the company's offer is "the last chance to preserve our reorganization prospects and over 18,000 jobs."
The Bakery, Confectionery, Tobacco Workers and Grain Millers International Union turned down the company's demands for union wage and pension concessions. If the union doesn't accept the offer, or workers strike, plants will close, Rayburn says.