Wednesday, January 11, 2012
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Gwinnett Daily Post
Hostess Twinkies are shown in a studio photograph, Tuesday, Jan. 10, 2012 in New York. Hostess Brands Inc. is filing for Ch.11 bankruptcy protection and said Wednesday, Jan. 11, 2012, it will be able to maintain routine operations thanks to a $75 million financing commitment from a group of lenders. (AP Photo/Mark Lennihan)
NEW YORK (AP) -- Hostess Brands Inc., the maker of Twinkies and Wonder Bread, is filing for bankruptcy protection, blaming troubles with its pension and medical benefits obligations, increased competition and tough economic conditions.
The Chapter 11 filing on Wednesday comes just two years after a predecessor company emerged from bankruptcy proceedings.
The privately held Irving, Texas bakery company says it will be able to maintain routine operations thanks to a $75 million financing commitment from a group of lenders.
Reports had surfaced earlier in the week that the company was planning to make such a filing.
Hostess said that it will look to restructure into a "strong, competitive" company. It will continue to run bakeries, outlet stores and distribution centers and deliver its goods during the process.
Hostess operates in 49 states.