Hostess Brands, the maker of sweet snacks like Twinkies that filed for Chapter 11 bankruptcy protection last week, will ask a bankruptcy judge today to approve a plan that will allow it to pay $1.75 million in bonuses to 19 of its executives. Hostess decision to file for bankruptcy came amid disputes with its union workers, who threatened a strike that Hostess said imperiled the companyÂs finances. The unions are now protesting Hostess request for the bonuses, though they are unlikely to prevail, CNN Money reports:
Hostess Brands will ask a bankruptcy judge on Monday for approval to shut down the company and pay $1.75 million in executive bonuses.
Unions representing workers at the maker of Twinkies, Wonder Bread and DrakeÂs snacks are arguing against the bonuses.
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Under the plan, bonuses ranging from $7,400 to $130,500 will be paid to 19 executives. The company argues the bonuses are below market rates for such payments.
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