The Judge presiding over the ongoing Hostess bankruptcy said he wants the parties involved to engage in mediation before proceeding with the bankruptcy. He stated that he wanted the mediation sessions to occur immediately.
If Hostess officially goes into Chapter 7 bankruptcy, contrary to popular opinion, its popular brands (such as the Twinkie) will survive. Another food company could purchase the rights to produce Hostess’ goods in the bankruptcy liquidation.
However, what might not survive are the jobs of some 18,000 workers that relay upon Hostess for their paycheck. The judge involved in the case cited these jobs as being a major reason as to why the parties should work out their differences in mediation.
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