John Galt was a wimpy pushover who was perfectly willing to let the corporate parasites and their even more worthless heirs make billions off his invention while giving him chicken feed until the heirs turned out to be socialist. Corporate patents is what truly proud geniuses should strike against.I love how you believe the judicial system can prevent Hostess from liquidating their assets and selling their brand name.
They can go through as many books as they like - that won't stop Hostess from liquidating....
Besides, it was only a matter of time before this was bound to happen....
This is a perfect example of "who is John Galt?"
This morning, Hostess Brands, the maker of such staples as Wonder Bread and Twinkies, announced that they would be liquidating their operations, laying off all of their workers, and going out of business. The issues at Hostess have been decades in the making, a failure to innovate, to improve manufacturing methodology, and a regular problem of conflict between management and workers.
In 2004, the company entered bankruptcy with approximately $450 million in debt. It emerged after investment from Ripplewood Holdings. Today, it now stands at just shy of $1 billion in debt, despite additional investment by two more firms, Silver Point and Monarch. How did this happen?
These firms borrowed money to invest, which then they transferred that debt to the firm, simple. In effect, there never was any investment, only more debt added.
Woah, you absolutely nailed it right there.This hidden economic process is like the disaster that would be caused if the NBA champions got the #1 draft pick.
Your only answer to the ESTABLISHED FACT that Japanese CEOs only earn 11x their average worker pay is this tangential nonsense?As a business owner and employer I invite you to put your superior business ideas and strategy to play and hire 18000 recently unemployed bakers. They and about 23 million Americans eagerly await the actions and deeds of the enlightened folks that always know better yet never seem to DO better.
And I invite you to move to some sweatshop country and make what the bosses earn there. After all, that is your ideal economy, where the employees know their place.As a business owner and employer I invite you to put your superior business ideas and strategy to play and hire 18000 recently unemployed bakers. They and about 23 million Americans eagerly await the actions and deeds of the enlightened folks that always know better yet never seem to DO better.
He'd rather avoid hiring American workers while selling to American workers.And I invite you to move to some sweatshop country and make what the bosses earn there. After all, that is your ideal economy, where the employees know their place.
And I invite you to move to some sweatshop country and make what the bosses earn there. After all, that is your ideal economy, where the employees know their place.
nah....my response is 18000 people joined the ranks of the 23 million unemployed. Well played. You can continue to whine about those that succeed or create your own success. You can whine about capitalism or go t a socialist utopia and let someone take care of you. Your choice.Your only answer to the ESTABLISHED FACT that Japanese CEOs only earn 11x their average worker pay is this tangential nonsense?
18,000 people became unemployed because of vulture capitalists, not unions. You're well played, alright. As in played out.nah....my response is 18000 people joined the ranks of the 23 million unemployed. Well played. You can continue to whine about those that succeed or create your own success. You can whine about capitalism or go t a socialist utopia and let someone take care of you. Your choice.
Hostess was going under, regardless. After all that has come out about the venture capitalists that Mafia-style busted-out that company, it's amazing to see any rational, well-informed person is still pushing the Union meme.Just as the ATC did during Reagan, these people played "all in" and lost. Sometimes people really aren't bluffing.
Hostess was going under, regardless. After all that has come out about the venture capitalists that Mafia-style busted-out that company, it's amazing to see any rational, well-informed person is still pushing the Union meme.
And ATC? Tons of people are retiring now, the ATC system has a real big problem with staffing issues. Karmic payback and all that.
Oh, look, the ATC shortage problem persists even in 2012!
18000 people had the opportunity to keep their jobs. they lost that opportunity because 7000 of those 18000 decided not to comprise. Your idiotic rhetoric about venture capital;ism is as played out as the blame Bain, blame Bush, blame any and everyone but yourself for your miserable existence.18,000 people became unemployed because of vulture capitalists, not unions. You're well played, alright. As in played out.
I voted Democrat. Which means I voted toward a socialist takeover of America. What were your feelings when you saw that both Ron Paul and Mitt Robbedme lost and the Democrats made big gains? Hmmm? We're taking over. The demographics show that the group that supports Republicans is in decline. Even Asians are proving to be in favor of Government help in some cases Now that's gotta sting. :mrgreen:
With 18,000 more people to take care of the Democrat party wins.
And this is why unions exist. So that those who have money and power cannot exercise that power over everyone else with impunity.
If you want to know what the Union was thinking when they decided to go on strike... just read their own words... I'm sure this had something to do with it:
BCTGM members are well aware that as the company was preparing to file for bankruptcy earlier this year, the then CEO of Hostess was awarded a 300 percent raise (from approximately $750,000 to $2,550,000) and at least nine other top executives of the company received massive pay raises. One such executive received a pay increase from $500,000 to $900,000 and another received one taking his salary from $375,000 to $656,256.
link...
During the bankruptcy the CEO gets a 300% pay raise and other execs as well getting massive raises while negating employee pensions. The executives have destroyed this company and they are using their failure to blame it all on the union. These execs can go **** themselves. Uttlerly pathetic leadership and looky here, no shortage of people willing to line up and suck the toes of the executive failures simply becuse they are told to hate unions by all means. Go figure.
CORRECTION: An earlier version of as well as an earlier headline of this post incorrectly stated that Greg Rayburn received a 300 percent raise as CEO of Hostess as the company approached bankruptcy. Rayburn wasn't CEO of Hostess until after the company filed for bankruptcy. The post also incorrectly stated that he was paid a salary of up to $2,550,000 per year. His salary when he joined the company was $100,000 per month, according to a company spokesman.
That is 100% fabricated!
Union Claims Hostess Executives Received Raises In Advance Of Bankruptcy (CORRECTION)
If you want to know what the Union was thinking when they decided to go on strike... just read their own words... I'm sure this had something to do with it:
During the bankruptcy the CEO gets a 300% pay raise and other execs as well getting massive raises while negating employee pensions. The executives have destroyed this company and they are using their failure to blame it all on the union. These execs can go **** themselves. Uttlerly pathetic leadership and looky here, no shortage of people willing to line up and suck the toes of the executive failures simply becuse they are told to hate unions by all means. Go figure.
edited for brevity...In September of that year, Hostess declared bankruptcy. Enter the cast of moneymen…The deepest pocket: Ripplewood Holdings…
Ripplewood is run by Tim Collins, 55…he's an eclectic character: a Democrat in an industry of Republicans;… Ripplewood's foray into Hostess was partly enabled by Collins's connections in the Democratic Party. He wanted to explore deals with union-involved companies and sought the help of former congressman Gephardt, who in 2005 founded the Gephardt Group, an Atlanta consulting firm that provides "labor advisory services."…
Ripplewood had kept the CEO who had led Hostess during bankruptcy, Craig Jung, a longtime veteran from Pepsi (PEP). Then Jung left in June 2010 and was replaced by Brian Driscoll, 53…Hostess had asked the bankruptcy judge to approve a sweet new employment deal for Driscoll. Its terms guaranteed him a base annual salary of $1.5 million, plus cash incentives and "long-term incentive" compensation of up to $2 million….
Maybe they were speaking of Brian Driscoll...
edited for brevity...
Hostess is bankrupt … again - Fortune Management
Kinda reeks of cronyism…DEMOCRAT cronyism…
Tell the creditors of Hostess then who the union got that information from. Then the creditors forced Hostess execs to do this move:
Hostess Rolls Back Some Executive Pay Raises
Gregory F. Rayburn, a restructuring expert who took the helm at Hostess last month, said in an interview that the top four executives working under him had agreed to cut their annual salaries to $1 until the company emerges from bankruptcy or Dec. 31, whichever comes first. The executives—Gary Wandschneider, John Stewart, David Loeser and Richard Seban—had seen their salaries increase by 75% to 80% last July, at a time when the baking company had already hired restructuring lawyers, according to creditors.
The official committee of unsecured creditors in Hostess's bankruptcy case alleged the company may have "manipulated" its executives' salaries, converting a chunk of their pay from performance-based bonuses to guaranteed salary. The creditors said the move may have been taken "at least in part to sidestep" provisions designed to ensure that companies in bankruptcy aren't enticing their employees to stay on board with the promise of cash.
And all that effort that writer made to make it a Democratic Party thing is so damn weak it's rather sad.
By the way have you read my signature line?
I thought it was quite a comprehensive analysis. There certainly seems like Hostess had MANY problems. It would seem inappropriate to hack on the PE folks (Ripplewood, Silver Point and Monarch) as being debtors in possession they are at the head of the creditors line…and without them Hostess would have closed 8 years ago.
Unless you are attacking ME as 'the writer' which I agree it was weak...but just as weak as the other partisan comments in this thread...:2wave:
Nice... Can't say I fully agree being that unions are and have been extremely handicapped for decades now. Had they actually had any power, income inequality wouldn't be at a high in our country since the great depression.
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