January 10 2012
Food Nannies Rejoice, Children Cry....
I wonder where food nanny-in-chiefs Margo Wootan, Michael Jacobson, Mark Bittman and Marion Nestle will be having drinks tonight. Surely, the "we know what's best for you" cabal will be heading out to happy hour (or do they meet for tofu smoothie shots?) to toast the news that Hostess Brands, the maker of Wonder Bread and Twinkies, is preparing to again file for Chapter 11 bankruptcy protection. Two years ago, the company emerged from Chapter 11.
Reports suggest that the company is nearly a billion dollars in debt and faces high labor costs and rising costs on ingredients. Add to those problems, the fears of an increasingly regulatory Obama administration and continued economic uncertainty, coupled with growing fears about the cost of Obamacare and you have a recipe for disaster.
A group of people who won't be celebrating (besides my kids!), will be the nearly 19,000 Hostess employees spread over 49 states.
To the miopic food nannies, this is a good news story.