Hostess, Bakers Union Agree to Mediation
November 19, 2012, 4:16 p.m. ET
By JACQUELINE PALANK and RACHEL FEINTZEIG
Hostess Brands Inc. and its striking union agreed to mediation Monday to avoid the immediate liquidation of the baker of Ho Hos, Twinkies and Wonder Bread.
Hostess Brands and its striking union agreed to mediation Monday to avoid the immediate liquidation of the baker of Ho Hos, Twinkies and Wonder Bread. David Benoit has the latest on The News Hub. Photo: AFP/Getty Images.
Judge Robert Drain of the U.S. Bankruptcy Court in White Plains, N.Y., said attorneys representing Hostess and the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union will participate in mediation Tuesday in a bid to avoid the loss of more than 18,000 jobs.
"My desire to do this is prompted primarily by the potential loss of over 18,000 jobs as well as my belief that there is a possibility to resolve this matter notwithstanding the losses that the debtors have incurred over the last week or so and the difficulty of reorganizing this company in the first place," the judge said.
He will preside over a mediation session Tuesday afternoon. If it isn't successful, then Hostess will return to court Wednesday morning to seek to move forward with its liquidation...
For the full article, go to:
http://online.wsj.com/article/SB10001424127887324307204578129282170898870.html
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