Editing Interstate Bakeries (section)

==History==
[[File:Interstate-bakeries1.jpg|thumb|300px|Former headquarters on Armour Boulevard in Kansas City (later the operations center).]]
[[File:InterstateBakeries.png|thumb|275px|alt=White "Interstate Bakeries Corporation" on a red background|Former Interstate Bakeries logo]]

=== <span class="anchor" id="Interstate Bakeries Corporation (1930)"></span><span class="anchor" id="Interstate Brands (1969)"></span> Interstate Bakeries and Interstate Brands ===
The company has its roots in Nafziger Bakeries, founded by [[Ralph Leroy Nafziger]] in a church basement at 6th and Prospect Avenue in Kansas City in 1905. Nafziger expanded the bakeries and bought out competitors. In 1925 he sold Nafziger to Purity Bakeries<ref>{{cite book|url=https://books.google.com/books?id=SWOmAAAAIAAJ&q=Nafziger+Purity+Bakeries&pg=PA129|title=Combination in the American Bread-Baking Industry: With Some Observations on ... - Combination in the American Bread-Baking Industry - Google Books|date=December 1, 1924|publisher=Stanford University Press |isbn=9780804703345|access-date=November 23, 2012}}</ref> (which became American Bakeries) and acquired a controlling interest in [[Schulze Baking Company]] and its [[Butternut Breads]] brand.<ref name="hogan1">{{cite web|last=Hogan|first=Greg|title=Twinkies Wrapped in Pantyhose|url=http://hostessbrands.com/Closed.aspx|publisher=Hostess|access-date=November 17, 2012|url-status=dead|archive-url=https://web.archive.org/web/20121118030617/http://hostessbrands.com/Closed.aspx|archive-date=November 18, 2012|df=mdy-all}}</ref>

In 1930 Nafziger announced the formation of the Interstate Bakeries Corporation (IBC) with the merger of Schulze Bakery and the seven bakers of Western Bakeries of Los Angeles to become the fifth largest baker in the United States.<ref>{{cite web|author=[Displaying Abstract]|url=https://www.nytimes.com/1930/03/14/archives/to-offer-23141-shares-interstate-bakeries-to-market-issue-of.html|title=TO OFFER 23,141 SHARES. - Interstate Bakeries to Market Issue of Preferred at $96. |work=New York Times|date=June 10, 2012|access-date=November 23, 2012}}</ref><ref>[https://news.google.com/newspapers?nid=1955&dat=19300331&id=3ekxAAAAIBAJ&sjid=uuIFAAAAIBAJ&pg=3628,6425617 Reading Eagle - March 31, 1930]</ref> The company sold Butternut bread, wrapped in [[gingham]], to grocery stores.<ref name="hogan1"/>

Schulze and Western continued to operate separately under the Interstate [[Umbrella organization|umbrella]] until 1937, when they merged with Interstate Bakeries.<ref>{{cite web|author=[Displaying Abstract]|url=https://www.nytimes.com/1937/09/23/archives/bakery-merger-nears-plans-to-consolidate-interstate-and-schulze.html|title=BAKERY MERGER NEARS - Plans to Consolidate Interstate and Schulze Concerns Made - Article - New York Times|work=New York Times|date=June 10, 2012|access-date=November 23, 2012}}</ref><ref name="IDC_v38">[http://www.fundinguniverse.com/company-histories/Interstate-Bakeries-Corporation-Company-History.html  International Directory of Company Histories], Vol. 38. St. James Press, 2001 (via fundingverse.com)</ref> In 1943 Interstate acquired the Supreme Baking Company of [[Los Angeles]], and in 1950 it bought the O'Rourke Baking Company of [[Buffalo, New York]].
[[File:Youll like Butter-Nut Enriched Bread.jpg|thumb|alt=Postcard advertisement with a painted, wrapped loaf of bread|Butter-Nut bread package, 1930–1945]]
Acquisitions during the 1950s and early 1960s included the Ambrosia, Remar, Butter Cream,  Campbell-Sell and Schall Tasty baking companies, the Kingston Cake and Cobb's Sunlit bakeries, Sweetheart Bread Company and Hart's Bakeries.<ref name="IDC_v38" /> In the late 1960s IBC acquired Millbrook Bread, Shawano Farms and the Baker and Shawano canning companies.<ref name="IDC_v38"/> In 1969 IBC changed its name to Interstate Brands, with its signature brands Butternut and Blue Seal breads and Dolly Madison cakes; Butternut Breads had been in business since 1902.<ref name="IDC_v38"/>

=== DPF (1975) ===
In 1975 Interstate was acquired by the Data Processing Financial and General Corporation (DPF), a computer-leasing company that had encountered difficulties during the [[History of IBM#1960–1969: The System/360 era, Unbundling software and services|IBM antitrust battles]] which changed the pricing of IBM hardware. To change its [[business model]], DPF used its cash to buy a low-tech company. The merged company, headquartered in [[Hartsdale, New York]], kept the DPF acronym while continuing to divest its remaining technology assets. Investing heavily in its plants, it acquired the Silver Loaf Baking Company, Eddy Bakeries and [[Mrs. Cubbison's Foods]].<ref name="IDC_v38" />

=== <span class="anchor" id="Interstate Bakeries (1981)"></span><span class="anchor" id="IBC Holdings (1987)"></span><span class="anchor" id="Interstate Bakeries (1991)"></span> Interstate Bakeries and IBC Holdings ===
In 1981 DPF completed the sale of its remaining computer systems and changed the company name back to the original Interstate Bakeries, moving its headquarters back to Kansas City.<ref name="IDC_v38"/> In 1986 Interstate acquired Purity Baking Company and Stewart Sandwiches, followed in 1987 by Landshire Food Products.<ref name="IDC_v38"/> The following year Interstate became a [[privately held company]], and its name changed to IBC Holdings. IBC bought the Merita-Cotton's Bakeries division of the American Bakeries Company.<ref name="IDC_v38"/> In 1991, IBC again became a [[public company]] and changed its name back to Interstate Bakeries.<ref name="IDC_v38"/>
[[File:Grumman Kabmaster Hostess truck.jpg|thumb|right|250px|Interstate Bakeries Hostess delivery truck]]

=== Continental Baking merger (1995) ===
In January 1995, Interstate acquired the [[Continental Baking Company]] from [[Ralston Purina]] for [[United States dollar|$]]330 million and 16.9 million shares of Interstate stock. Continental had acquired Taggart Bakeries of [[Indianapolis]] in 1925,<ref>{{cite web |first=Phil |last=Ament |url=http://www.ideafinder.com/history/inventions/wonderbread.htm |title=Wonder Bread History - Invention of Wonder Bread |publisher=Ideafinder.com |access-date=November 16, 2012 |archive-url=https://web.archive.org/web/20121026143528/http://www.ideafinder.com/history/inventions/wonderbread.htm |archive-date=October 26, 2012 |url-status=dead }}</ref> and the  deal brought Taggart's creations (including [[Wonder Bread]] and the Hostess brand) to Interstate. Taggart had created Hostess in 1921, and the brand focused on cakes like [[Twinkie]]s, [[Hostess CupCake|CupCakes]], [[Ding Dong]]s and [[Ho Hos]] (created during Continental's ownership).<ref>{{cite web|url=http://www.library.hbs.edu/hc/lehman/chrono.html?company=continental_baking_co |title=Continental Baking Co. - Lehman Brothers Collection |publisher=Library.hbs.edu |date=March 1, 1980 |access-date=November 16, 2012}}</ref> At this time, the merged company also bought the San Francisco French Bread Company, John J. Nissen Baking Company, [[Drake's Cakes|Drake's]] and My Bread Company.<ref name="IDC_v38" />

With the merger, Interstate held two national bread divisions: Butternut and Wonder Bread.  The divisions had different cultures: Butternut was unregimented, with each bakery a self-contained profit center, and Wonder Bread was structured; this caused early problems. In both divisions, [[snack cake]]s were more profitable due to [[economy of scale]] and [[logistics]]. When [[shelf life|extended-shelf-life]] [[enzyme]]s were developed for bread, it was hoped to convert small, less-efficient bakeries into a network of large bakeries like their snack-cakes operations. The new enzymes gave the bread a different taste and texture,<ref>{{cite web|url=http://www.mindfully.org/Industry/2004/Wonder-Bread-Interstate23sep04.htm|title=Half a Loaf At Giant Baker, Freshness Project Takes Sour Turn|last=Adamy|first=Janet|work=Mindfully.org|date=September 23, 2004|access-date=January 19, 2013|archive-url=https://web.archive.org/web/20121127060752/http://www.mindfully.org/Industry/2004/Wonder-Bread-Interstate23sep04.htm|archive-date=November 27, 2012|url-status=dead|df=mdy-all}}</ref> and market forces reduced prices and sales.

=== Bankruptcy (2004) ===
On September 22, 2004, Interstate Bakeries filed for [[Chapter 11, Title 11, United States Code|Chapter 11 bankruptcy]].<ref>{{Cite web|url=https://www.bizjournals.com/kansascity/stories/2007/11/05/daily16.html|title=Interstate Bakeries' revenue falls|website=www.bizjournals.com|access-date=2020-04-23}}</ref> The company named a new chief executive, Tony Alvarez. Interstate Bakery's stock, which had been $34 per share, fell to $2.05 with the bankruptcy. During the bankruptcy proceedings (at the time, the longest-running in U.S. history), Interstate fought a 2007 bid from Mexican baker [[Grupo Bimbo]] and Ron Burkle of the [[Yucaipa Companies]].<ref>{{cite web|first=Antoine |last=Gara |url=http://www.thestreet.com/story/11372755/1/twinkie-maker-hostess-files-for-bankruptcy.html |title=Union to Lose Big in Hostess Bankruptcy (Update 1) |publisher=TheStreet |date=September 12, 2012 |access-date=November 16, 2012}}</ref>

Under Craig Jung, Interstate Bakeries emerged from bankruptcy as a private company on February 3, 2009.<ref>[http://www.bizjournals.com/cincinnati/stories/2009/02/02/daily31.html Interstate Bakeries emerges from bankruptcy"], ''Business Courier of Cincinnati'' — February 4, 2009</ref> The plan included a 50-percent equity stake by [[Ripplewood Holdings]] and credit lines from [[GE Capital|General Electric Capital]] and [[GE Capital|GE Capital Markets]], Silver Point Finance and Monarch Master Funding. Interstate's unionized workers made contract concessions in exchange for equity in the company.<ref name="IBC_bankruptcy1">[http://www.kansascity.com/382/story/971277.html "Interstate Bakeries' post-bankruptcy funding appears in trouble"] ''Kansas City Star''&nbsp;— January 8, 2009</ref>

During the 2004–2009 bankruptcy period Interstate closed nine of its 54 bakeries and more than 300 outlet stores, and its workforce declined from 32,000 to 22,000. The company dropped regional brands and operating agreements, such as an agreement to produce [[Sunbeam Bread]] for the northeastern U.S.<ref name="IBC_bankruptcy1" />

=== <span class="anchor" id="Hostess Brands, Inc. (2009)"></span> Hostess Brands (2009) ===
On November 2, 2009, IBC became Hostess Brands, named for its Twinkies-and-cupcakes cake division. Hostess Brands continued its bread lines, including Wonder Bread.<ref>{{cite news|url=https://www.reuters.com/article/pressRelease/idUS150587+02-Nov-2009+BW20091102 |archive-url=https://web.archive.org/web/20091118174107/http://www.reuters.com/article/pressRelease/idUS150587+02-Nov-2009+BW20091102 |url-status=dead |archive-date=November 18, 2009 |title=IBC to Change Name to Hostess Brands, Inc. |work=Reuters |date=November 2, 2009 |access-date=January 11, 2012}}</ref> The company's subsidiaries, such as Interstate Brands Corporation and IBC Sales Corporation, continued displaying their name and logo on Hostess Brands products.

=== <span class="anchor" id="Bankruptcy and liquidation (2012)"></span><span class="anchor" id="Potential bidders"></span> Bankruptcy and liquidation ===
In December 2011, it was reported that Hostess Brands was on the verge of filing for bankruptcy a second time. The company stopped paying future pension benefits after August, breaking its union contracts.<ref name="Hostess Brands Bankruptcy Eyed">{{cite web|url=http://www.nypost.com/p/news/business/hostess_filing_in_mix_PbYFRcu6zEHZw4NM0RAyVM|title=Hostess Brands Bankruptcy Eyed|work=New York Post|date=December 22, 2011}}</ref> According to a Hostess employee, "We understand that, should we pursue some form of legal action to require the company to live up to the terms of the contract, they may close, but we have come to believe that they will close anyway. We believe the company is poorly managed and the only hope is a complete change in management".<ref name="Hostess Brands Bankruptcy Eyed"/>

On January 10, 2012, Hostess Brands filed for Chapter 11 bankruptcy for the second time. In its filing, the company said it "is not competitive, primarily due to legacy pension and medical benefit obligations and restrictive work rules". According to Hostess, it employed 19,000 people and was more than $860 million in debt. The company said it would continue to operate with $75 million of [[debtor-in-possession financing]] from Monarch Alternative Capital, [[Silver Point Capital]] and other investors.<ref name="autogenerated1"/>

In March Brian Driscoll resigned as CEO<ref>{{cite web|last=Kosman|first=Josh|title=Hostess CEO resigns, fueling speculation of baker's liquidation|work=New York Post|date=May 9, 2012|url=http://www.nypost.com/p/news/business/humble_pie_at_hostess_vEahL6ZJbXfJreTbKpVDVP|access-date=November 15, 2012}}</ref> and was replaced by [[Gregory F. Rayburn]], who had been hired as [[chief restructuring officer]] nine days earlier. ''[[Fortune (magazine)|Fortune]]'' reported that unions in the company were unhappy with Driscoll's proposed compensation package of $1.5 million, plus cash incentives and $1.95 million in long-term compensation. The court had discovered that Hostess executives received raises of up to 80 percent the previous year. Rayburn cut the salaries of the four top Hostess executives to $1, to be restored by January 1 of the following year or earlier.<ref>{{cite web|last=Kaplan|first=David|title=Hostess is bankrupt... again|work=Fortune|date=July 26, 2012|url=http://management.fortune.cnn.com/2012/07/26/hostess-twinkies-bankrupt|access-date=November 15, 2012|url-status=dead|archive-url=https://web.archive.org/web/20121116142747/http://management.fortune.cnn.com/2012/07/26/hostess-twinkies-bankrupt/|archive-date=November 16, 2012|df=mdy-all}}</ref>

In July 2012, the ''[[New York Post]]'' reported that negotiations with the [[Teamsters Union]], led by Silver Point Capital, were close to an agreement allowing Hostess Brands to cut employee pay and benefits if the company continued funding its pension plans.<ref>{{cite news|last=Kosman|first=Josh|title = Skinny on cake talks|quote=Cuts for Hostess workers|work=New York Post|date=July 2, 2012|url=http://www.nypost.com/p/news/business/skinny_on_cake_talks_jxDdlbcwKjCb3ETI4EIXQO|access-date=July 7, 2012}}</ref> In May, as required by the [[Worker Adjustment and Retraining Notification Act]], the company's 19,000 workers were warned of a possible layoff. In an email to the [[Marysville, California]] ''[[Appeal-Democrat]]'', Hostess spokesman Erik Halvorson wrote that the May notices were to alert employees to a possible sale of the company but "our goal is still to emerge from bankruptcy as a growing company with a strong future".<ref>{{cite news|last=Gebb|first=Ashley|title=Thirteen jobs at risk at Yuba City Hostess outlet|quote=We are simply fulfilling our requirements by sending these notices.|work=Appeal-Democrat|date=July 4, 2012|url=http://www.appeal-democrat.com/articles/hostess-117574-yuba-city.html|archive-url=https://archive.today/20130117022105/http://www.appeal-democrat.com/articles/hostess-117574-yuba-city.html|url-status=dead|archive-date=January 17, 2013|access-date=July 7, 2012|location=Marysville, California}}</ref> Although the layoff notices listed July 7–21 as dates, on July 5 another company spokesman told the ''[[Financial News & Daily Record]]'' that there were no immediate plans to lay off Hostess employees.<ref>{{cite news|last=Mathis|first=Karen|title=Hostess: No immediate plans for employee layoffs|quote=The goal is to restructure Hostess and come out of Chapter 11 as a stronger company.|work=Financial News & Daily Record|date=July 6, 2012|url=http://www.jaxdailyrecord.com/showstory.php?Story_id=536915|access-date=July 7, 2012}}</ref>

In November 2012, Hostess employees nationwide went on strike. The [[Bakery, Confectionery, Tobacco Workers and Grain Millers International Union]] (BCTGM), representing 6,600 Hostess employees, took action after a contract proposal from Hostess Brands was rejected by 92&nbsp;percent of its members.<ref>{{cite news|last=Benson|first=Lisa|title=Hostess Brand workers hit the picket lines|work=KSHB-TV|date=November 10, 2012|url=http://www.kshb.com/dpp/news/local_news/hostess-brands-workers-hit-the-picket-lines#ixzz2BsF9kRqF|access-date=November 10, 2012|archive-url=https://web.archive.org/web/20121114005013/http://www.kshb.com/dpp/news/local_news/hostess-brands-workers-hit-the-picket-lines#ixzz2BsF9kRqF|archive-date=November 14, 2012|url-status=dead|df=mdy-all}}</ref>

On November 16, Hostess announced that it was ceasing its plant operations and laying off most of its 18,500 employees. The company said that it intended to sell off its assets (including its well-known brand names) and liquidate.<ref>{{cite web|url=https://money.cnn.com/2012/11/16/news/companies/hostess-closing|title= Hostess Brands closing for good|date= November 16, 2012|work=CNN Business|access-date=November 16, 2012 }}</ref><ref>{{cite web|url=https://www.wsj.com/articles/SB10001424127887324556304578122632560842670 |title= Twinkie Maker Hostess to Close|date= November 16, 2012|work=The Wall Street Journal|access-date=November 16, 2012 }}</ref> According to CEO Gregory Rayburn, "Hostess Brands will move promptly to lay off most of its 18,500-member workforce and focus on selling its assets to the highest bidders."<ref>{{cite news|last1=Milford|first1=Phil|last2=McCarty|first2=Dawn|last3=Rochelle|first3=Bill|title=Twinkie Maker Hostess to Shut Down After Strike|work=Bloomberg|date=November 16, 2012|url=https://www.bloomberg.com/news/2012-11-16/twinkie-maker-hostess-to-shut-down-after-strike.html|access-date=November 16, 2012}}</ref><ref>{{cite web|url=http://www.huffingtonpost.com/2012/11/16/hostess-brands-liquidation_n_2143284.html|title= Hostess Brands Liquidation: Twinkie-Maker Seeks Court Permission To Liquidate|date=November 16, 2012|work=Huffington Post|access-date=November 16, 2012}}</ref> A BCTGM press release issued that day read in part, "When a highly-respected financial consultant, hired by Hostess, determined earlier this year that the company's business plan to exit bankruptcy was guaranteed to fail because it left the company with unsustainable debt levels, our members knew that the massive wage and benefit concessions the company was demanding would go straight to Wall Street investors and not back into the company."<ref>[http://www.bctgm.org/PDFs/HostessPressRelease11-16-12.pdf HOSTESS DEMISE A DECADE IN THE MAKING(pdf)] BCTGM International Union. Retrieved: 19 November 2012.</ref>

According to Rayburn, potential buyers expressed interest in acquiring the Hostess brand.<ref>{{cite web|url=https://abcnews.go.com/blogs/business/2012/11/twinkies-may-find-buyer-hostess-ceo-says|title=Twinkies May Find Buyer, Hostess CEO Says|work=ABC News|date=November 19, 2012|access-date=November 20, 2012}}</ref> On November 21, Judge Robert Drain cleared Hostess to close.<ref name="closing"/> In approving the plan, Drain ruled against [[United States Trustee Program|U.S. Trustee for the Southern District]] Tracy Hope Davis' motion to convert the bankruptcy to a [[Chapter 7, Title 11, United States Code|Chapter 7 bankruptcy]] with an appointed [[Trustee in bankruptcy|trustee]] to oversee liquidation. Davis criticized the plan's provisions, which would {{"'}}grant bonuses to insiders' and 'cherry-pick' which administrative claims get paid".<ref>{{cite web|url=https://www.cbsnews.com/news/hope-for-twinkies-as-hostess-union-go-to-mediation/|title=Hope for Twinkies as Hostess, union go to mediation|last=Hoffman|first=Constantine|work=CBS Moneywatch|date=November 20, 2012|access-date=November 26, 2012}}</ref> Drain left Rayburn in charge of the liquidation; Hostess had argued that its assets would devalue if the company had to wait for a trustee to get up to speed on the company.<ref>{{cite web|url=http://www.standard.net/stories/2012/11/26/hostess-begins-firings-competitors-eye-brands|title=Hostess begins firings as competitors eye brands|last=McCarty|first=Dawn|work=Standard-Examiner|date=November 26, 2012|access-date=November 26, 2012|archive-url=https://web.archive.org/web/20121129123714/http://www.standard.net/stories/2012/11/26/hostess-begins-firings-competitors-eye-brands|archive-date=November 29, 2012|url-status=dead|df=mdy-all}}</ref> Hostess Brands' liquidation plan was finalized by a federal bankruptcy judge on November 29.<ref>{{cite web|url=http://www.chicagodefender.com/index.php/business/15369-judge-ok-s-bonuses-for-execs-in-hostess-liquidation|title=Judge OK's Bonuses for Execs in Hostess Liquidation|last=O'Toole|first=James|work=Chicago Defender|date=November 30, 2012|access-date=November 30, 2012|archive-url=https://web.archive.org/web/20121206060759/http://www.chicagodefender.com/index.php/business/15369-judge-ok-s-bonuses-for-execs-in-hostess-liquidation|archive-date=December 6, 2012|url-status=dead|df=mdy-all}}</ref> In January 2013, the company asked a judge to set a March 21 deadline for workers to file back-pay claims.<ref>{{cite news|url=https://www.bloomberg.com/news/2013-01-24/hostess-brands-asks-judge-to-approve-march-21-claims-bar-date.html|title=Hostess Asks Judge to Approve March 21 Claims Deadline|last=Milford|first=Phil|work=Bloomberg|date=January 24, 2013|access-date=January 24, 2013}}</ref> On February 11, a U.S. Bankruptcy Court judge in New York approved [[stalking horse offer|stalking horse]] bidders for Hostess Brands.<ref>{{cite web|url=http://www.bizjournals.com/dallas/news/2013/02/11/court-approves-lead-bids-for-hostess.html|title=Court approves lead bids for Hostess' Brands|last=Murray|first=Lance|work=Dallas Business Journal|date=February 11, 2013|access-date=February 11, 2013}}</ref><ref>{{cite web|url=http://www.csnews.com/top-story-candy___snacks-hostess_gets_court_ok_to_auction_twinkies__drake_s_brands-62799.html|title=Hostess Gets Court OK to Auction Twinkies, Drake's Brands|work=Convenience Store News|date=February 11, 2013|access-date=February 11, 2013|archive-url=https://web.archive.org/web/20130215025412/http://www.csnews.com/top-story-candy___snacks-hostess_gets_court_ok_to_auction_twinkies__drake_s_brands-62799.html|archive-date=February 15, 2013|url-status=dead|df=mdy-all}}</ref><ref>{{cite web|url=http://www.investorplace.com/2013/02/hsotess-gets-ok-to-auction-off-brands|archive-url=https://archive.today/20130411035139/http://www.investorplace.com/2013/02/hsotess-gets-ok-to-auction-off-brands|url-status=dead|archive-date=April 11, 2013|title=Hostess Gets OK to Auction Off Brands|last=Freeburn|first=Christopher|work=Investor Place|date=February 12, 2013|access-date=February 12, 2013}}</ref><ref>{{cite web|url=http://www.ksnt.com/news/local/story/Hostess-Brands-gets-approval-to-sell-assets/eAWJ5ca6WUWtZdpiCzaZqw.cspx|title=Hostess Brands gets approval to sell assets|work=KSNT|date=February 12, 2013|access-date=February 12, 2013}}{{dead link|date=March 2018 |bot=InternetArchiveBot |fix-attempted=yes }}</ref>

The company received bids for assets from [[Walmart]], [[Target Corporation|Target]], [[Kroger]], [[Flowers Foods]] and [[Grupo Bimbo]],<ref>{{cite web|url=http://newyork.newsday.com/business/hostess-bidders-include-wal-mart-kroger-1.4330155|title=Hostess bidders include Wal-Mart, Kroger|work=Newsday|date=December 13, 2012|access-date=December 14, 2012|archive-url=https://web.archive.org/web/20130324103114/http://newyork.newsday.com/business/hostess-bidders-include-wal-mart-kroger-1.4330155|archive-date=March 24, 2013|url-status=dead|df=mdy-all}}</ref><ref>{{cite web|url=http://money.msn.com/now/post.aspx?post=d1d6ece8-bb35-4402-922d-221f7e2aa48a|title=Wal-Mart wants to save the Twinkie|last=Berr|first=Jonathan|work=MSN Money|date=December 14, 2012|access-date=December 14, 2012|archive-url=https://web.archive.org/web/20121218014251/http://money.msn.com/now/post.aspx?post=d1d6ece8-bb35-4402-922d-221f7e2aa48a|archive-date=December 18, 2012|url-status=dead}}</ref><ref>{{cite news|url=https://www.bloomberg.com/news/2012-12-13/hostess-said-to-attract-bids-from-wal-mart-kroger.html|title=Hostess Said to Attract Bids From Wal-Mart, Kroger|last1=McCracken|first1=Jeffrey|last2=Jinks|first2=Beth|work=Bloomberg|date=December 13, 2012|access-date=December 14, 2012}}</ref><ref>{{cite web|url=http://www.upi.com/Business_News/2013/01/06/Bidders-line-up-for-Hostess/UPI-15521357485533|title=Bidders line up for Hostess|work=UPI|date=January 6, 2013|access-date=January 6, 2013}}</ref> and was expected to sell its snack-cake and bread brands during 2013.<ref>{{cite web|url=http://fox8.com/2012/12/22/twinkie-time-snack-favorites-could-soon-return|title=Twinkie Time? Snack Favorites Could Soon Return|last=Sutyak|first=Kara|work=Fox 8 Cleveland|date=December 22, 2012|access-date=December 23, 2012}}</ref><ref>{{cite web|url=http://articles.philly.com/2012-12-22/business/35970975_1_hostess-brands-joshua-scherer-bids|archive-url=https://archive.today/20130131142512/http://articles.philly.com/2012-12-22/business/35970975_1_hostess-brands-joshua-scherer-bids|url-status=dead|archive-date=January 31, 2013|title=Hostess brands to be shared|last=Choi|first=Candace|work=Philly.com|date=December 22, 2012|access-date=December 23, 2012}}</ref><ref>{{cite web|url=http://www.vendingmarketwatch.com/news/10847817/hostess-expects-to-split-up-snack-cakes-in-sale|title=Hostess expects to split up snack cakes in sale|last=Choi|first=Candice|work=Vending Market Watch|date=January 2, 2013|access-date=January 2, 2013}}{{dead link|date=March 2018 |bot=InternetArchiveBot |fix-attempted=yes }}</ref><ref>{{cite web|url=http://www.just-food.com/news/hostess-sale-will-most-likely-lead-to-break-up_id121613.aspx|title=US: Hostess sale will "most likely" lead to break up|last=Askew|first=Katy|work=Just Food|date=January 3, 2013|access-date=January 4, 2012|archive-date=January 29, 2013|archive-url=https://web.archive.org/web/20130129091457/http://www.just-food.com/news/hostess-sale-will-most-likely-lead-to-break-up_id121613.aspx|url-status=dead}}</ref>
On January 8, 2013, Hostess Brands hired Hilco to sell its equipment, machinery and real estate.<ref>{{cite web|url=http://www.chicagotribune.com/business/breaking/chi-northbrook-firm-to-handle-hostess-real-estate-equipment-sale-20130108,0,1789851.story|title=Northbrook firm to handle Hostess' real estate, equipment sale|last=Yerak|first=Becky|work=Chicago Tribune|date=January 8, 2013|access-date=January 8, 2013}}</ref> Three days later the company announced a $390 million stalking-horse bid by Flowers Foods for six of its bread brands (including Wonder Bread),<ref name="Flowers">{{cite web|url=http://www.huffingtonpost.com/2013/01/11/hostess-wonder-bread-sale_n_2460546.html|title=Hostess To Sell Wonder Bread, Other Bread Business To Flower Foods For $390 Million|last=Choi|first=Candice|work=The Huffington Post|date=January 11, 2013|access-date=January 12, 2013}}</ref> and court approval was received for a February 28 auction of the brands.<ref>{{cite web|url=https://www.bloomberg.com/news/2013-01-25/hostess-receives-court-approval-to-hold-february-28-asset-auction.html|title=Hostess Receives Court Approval to Hold Feb. 28 Asset Auction|last=McCarty|first=Dawn|work=Bloomberg|date=January 25, 2013|access-date=January 25, 2013}}</ref>

On January 15, 2013, Hostess Brands began searching for a stalking-horse bidder for its snack cakes;<ref>{{cite web|url=http://www.thedeal.com/content/restructuring/hostess-turns-auction-attention-to-cake-business.php|title=Hostess turns auction attention to cake business|last=Mason|first=Jamie|work=The Deal|date=January 15, 2013|access-date=January 15, 2013|url-status=dead|archive-url=https://web.archive.org/web/20130117015238/http://www.thedeal.com/content/restructuring/hostess-turns-auction-attention-to-cake-business.php|archive-date=January 17, 2013|df=mdy-all}}</ref> four companies (Grupo Bimbo, a partnership of [[Apollo Global Management]] and C. Dean Metropoulos and Company, Hurst Capital and [[McKee Foods]]) were negotiating.<ref name="Bimbo Apollo">{{cite web|url=http://bizbeatblog.dallasnews.com/2013/01/bimbo-apollo-in-the-hunt-for-twinkies-report.html|title=Bimbo, Apollo in the hunt for Twinkies: report|last=Robinson-Jacobs|first=Karen|work=Dallas News|date=January 17, 2013|access-date=January 17, 2013|archive-url=https://web.archive.org/web/20130121032302/http://bizbeatblog.dallasnews.com/2013/01/bimbo-apollo-in-the-hunt-for-twinkies-report.html/|archive-date=January 21, 2013|url-status=dead}}</ref><ref name="Take">{{cite web|url=http://www.cspnet.com/news/snacks-and-candy/articles/who-will-take-cakes|title=Who Will Take the Cakes?|work=CSP Daily News|date=January 22, 2013|access-date=January 22, 2013|archive-url=https://web.archive.org/web/20130126111528/http://www.cspnet.com/news/snacks-and-candy/articles/who-will-take-cakes|archive-date=January 26, 2013|url-status=dead}}</ref><ref>{{cite web|url=https://finance.yahoo.com/news/report-mckee-foods-seeking-hostess-174917327.html|title=Report: McKee Foods seeking Hostess' Drake's brand|work=Yahoo! Finance|date=January 26, 2013|access-date=January 26, 2013}}</ref> Two weeks later the company picked Apollo Global Management and C. Dean Metropoulos and Company as lead bidder for its snack cakes,<ref name="Apollo">{{cite web|url=http://www.businessweek.com/news/2013-01-29/hostess-said-to-pick-apollo-group-as-lead-bidder-for-cake-brands|archive-url=https://archive.today/20130215163926/http://www.businessweek.com/news/2013-01-29/hostess-said-to-pick-apollo-group-as-lead-bidder-for-cake-brands|url-status=dead|archive-date=February 15, 2013|title=Hostess Said to Pick Apollo, Metropoulos as Lead Cake Bid|last1=Jinks|first1=Beth|last2=Alesci|first2=Cristina|work=Bloomberg Business Week|date=January 29, 2013|access-date=January 29, 2013}}</ref><ref name="Tribune">{{cite web|url=https://www.chicagotribune.com/2013/01/31/twinkies-bidders-apollo-metropoulos-submit-410m-offer/|title=Twinkies bidders: Apollo, Metropoulos submit $410M offer|work=Chicago Tribune|date=January 31, 2013|access-date=March 1, 2013}}</ref><ref>{{cite web|url=http://www.nasdaq.com/article/apollo-global-management-confirms-purchase-of-certain-hostess-assets-shares-up-45-hit-new-52-week-highs-cm212833|title=Apollo Global Management Confirms Purchase of Certain Hostess Assets - Shares Up 4.5%, Hit New 52 Week Highs|last=Trader|first=Midnight|work=Nasdaq|date=January 31, 2013|access-date=January 31, 2013}}</ref><ref>{{cite web|url=http://www.tulsaworld.com/business/article.aspx?subjectid=461&articleid=20130226_461_0_Apollo878861|title=Apollo seeks $450 million loan for Hostess snack-cake unit|last=Amato|first=Michael|work=Tulsa World|date=February 26, 2013|access-date=February 26, 2013}}</ref> with the bid deadlines for all Hostess brands March 11 and 12.<ref>{{cite web|url=http://www.bakingbusiness.com/articles/news_home/Business/2013/03/Bid_deadlines_for_Hostess_busi.aspx?ID={D17CB88D-E6C3-4E5C-B0D9-061A47B0FDDA}|title=Bid deadlines for Hostess businesses set for next week|last=Schroder|first=Eric|work=Baking Business|date=March 8, 2013|access-date=March 8, 2013}}</ref>

=== Buyers ===
It was announced on January 28, 2013 that [[United States Bakery]] was the leading bidder for Hostess' Sweetheart, Eddy's, Standish Farms and Grandma Emilie's brands and [[McKee Foods]] was the leading bidder for its Drake's brand, which included [[Ding Dong|Ring Dings]], [[Yodels]] and [[Drake's Devil Dogs]].<ref name="USBakery">{{cite web|url=http://www.foodbusinessnews.net/articles/news_home/Business_News/2013/01/Hostess_chooses_United_States.aspx?ID={4AA21B44-106F-400B-8CDD-F5B5CDE198A1}&cck=1|title=Hostess chooses United States Bakery for some Northwest assets|work=Food Business News|date=January 29, 2013|access-date=March 1, 2013}}</ref><ref name="McKee">{{cite web|url=http://www.toledoblade.com/Retail/2013/01/28/Hostess-to-pick-Little-Debbie-maker-for-Drake-s.html|title=Hostess picks Little Debbie maker for Drake's|work=Toledo Blade|date=January 28, 2013|access-date=March 1, 2013}}</ref> On March 11 [[Apollo Global Management]] made the sole bid ($410 million) for the company's snack business, which included Twinkies; this company later went public under the name Hostess Brands and trade on the [[New York Stock Exchange]] under ticker TWNK.<ref name="twinkies">{{cite web|url=http://www.nypost.com/p/news/business/leon_black_apollo_global_brands_ktcktanyrEf7IasFunX7KP|title=Leon Black's Apollo Global new owner of Twinkies, other Hostess snack brands|last=Kosman|first=Josh|work=New York Post|date=March 12, 2013|access-date=March 12, 2013}}</ref> 

=== <span class="anchor" id="Hostess Brands, LLC"></span> Hostess Brands ===
{{Further|Hostess Brands}}
On June 6, 2013, the new Hostess Brands reopened the Emporia, Kansas plant.<ref>{{cite news|last=Fitch|first=Ben|title=Hostess cuts ribbon on 'flagship' bakery|url=http://www.emporiagazette.com/news/article_16326c38-cfbe-11e2-8d48-10604b9ffe60.html|access-date=19 June 2013|newspaper=Emporia Gazette|date=June 7, 2013}}</ref> Hostess announced ten days later that production would resume the following month, and on June 23 said that its brands would be back on store shelves on July 15.<ref>{{cite news|last=Adams|first=Tony|title=New Hostess owner set to resume snack cake production at Dolly Madison plant in Columbus|url=http://www.philly.com/philly/business/New_Hostess_owner_set_to_resume_snack_cake_production_at_Dolly_Madison_plant_in_Columbus.html|access-date=19 June 2013|newspaper=The Ledger-Enquirer|date=June 16, 2013}}</ref><ref>{{cite news|last=Choi|first=Candice|title=Hostess: Twinkies to return to shelves July 15|url=https://news.yahoo.com/hostess-twinkies-return-shelves-july-15-163913503.html|access-date=23 June 2013|newspaper=[[Yahoo! News]]|date=23 June 2013}}</ref> although the company would sell fewer products than before, new president Rich Seban said that it might produce innovative pastries and snacks. "We can have some fun with that mixture," Seban said, suggesting that Hostess might experiment with gluten-free, higher-fiber and lower-sugar and -sodium products.<ref>[http://www.jdjournal.com/2013/06/24/twinkies-return-as-hostess-rises-from-the-ashes/ June, Daniel, "Twinkies Return as Hostess Rises from the Ashes"]</ref>

On September 11, 2023, [[The J.M. Smucker Company]] announced it would buy Hostess for $5.6 billion in a cash and stock deal.