Hostess Threatens To Liquidate If Striking Workers Don't Return

SACRAMENTO (CBS13) - If striking Hostess Brand employees don't return to work Thursday, the company says it will file a motion to liquidate on Friday.

In a press release, Irving, Texas-based Hostess said "it will file a motion with the U.S. Bankruptcy Court on Friday to liquidate the entire company if enough striking employees do not return to work by 5 p.m., EST, Thursday to enable the company to resume normal operations."

If the motion is filed and granted by the court, Hostess could begin shutting down all operations as early as Tuesday, it said.

"We simply do not have the financial resources to survive an ongoing national strike," said Gregory F. Rayburn, the company's chairman and CEO.

The Bakery, Confectionery, Tobacco Workers and Grain Millers Union called the strike on Nov. 9.

"I gave my heart and soul to this company, and now they're going to try to take everything from us," said one Sacramento employee.

Workers have been on the picket lines at the Hostess plant on Arden Way since this weekend. The walk-out is part of a national strike against the maker of Wonder Bread and Twinkies.

Union members rejected a contract offer in September that contained pay cuts and increased health insurance costs.

Founded in 1930, Hostess employs nearly 18,000 workers throughout the United States.