You can now read 10 articles a month for free. Read as much as you want anywhere and anytime for just 99¢.

Judge gives Hostess approval to shut down

A sign at the Wonder Hostess Bakery Outlet store in Victorville, Calif.

David Pardo/The Victor Valley Daily Press/AP

A sign at the Wonder Hostess Bakery Outlet store in Victorville, Calif.

WHITE PLAINS, N.Y. (AP) — A bankruptcy court judge is approving 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 last-ditch negotiations to end a strike by its second-largest union.

Continue reading below

Hostess now has the green light to terminate the jobs of its 18,000 workers and sell off its brands.

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.

Loading comments...

You have reached the limit of 10 free articles in a month

Stay informed with unlimited access to Boston’s trusted news source.

  • High-quality journalism from the region’s largest newsroom
  • Convenient access across all of your devices
  • Today’s Headlines daily newsletter
  • Subscriber-only access to exclusive offers, events, contests, eBooks, and more
  • Less than 25¢ a week