Posted 7 years ago on Nov. 16, 2012, 9:52 p.m. EST by Progression
This content is user submitted and not an official statement
Considering the salary hikes for the Hostess management, I can't help but think this was all part of a political move to generate hostility against unions.
"Some creditors question Hostess pay raises approved in late July.
Brian Driscoll, CEO, around $750,000 to $2,550,000 (300% raise) Gary Wandschneider, EVP, $500,000 to $900,000 John Stewart, EVP, $400,000 to $700,000 David Loeser, EVP, $375,000 to $656,256 Kent Magill, EVP, $375,000 to $656,256 Richard Seban, EVP, $375,000 to $656,256 John Akeson, SVP, $300,000 to $480,000 Steven Birgfeld, SVP, $240,000 to $360,000 Martha Ross, SVP, $240,000 to $360,000 Rob Kissick, SVP, $182,000 to $273,008
NOTE: Some executives didn't take full raise. Source: Creditors' Committee court filings"
I see the media largely blaming the unions on this bankruptcy but no one covering the actions of the management prior to the bankruptcy. I also realize that Hostess had a number of other mismanagement issues attributing to the bankruptcy as well (such as buying up local competitors which greatly increased their debt). Article below: