WHITE PLAINS, N.Y. (WKOW) -- A New York state bankruptcy court judge approved a request by Hostess Brands Inc. to begin winding down its operations.
The ruling came Wednesday after the maker of Twinkies and Ding Dongs failed in final effort negotiations to end a strike by its second-largest union.
Hostess now has the green light to terminate jobs and sell off its brands, meaning 18,000 workers will now be out of a job.
In court Wednesday, Hostess said it needed to begin the liquidation process quickly to take advantage of outside interest in its brands, which a banker said could fetch up to $2.4 billion. That's about how much they generate in annual sales.
Hostess, based in Irving, Texas, has been spending about $1 million a day in payroll without any income since it halted operations last week.