Milling & Baking News - February 5, 2013 - 11

Breaking up
Hostess

Hostess chooses United States
Bakery for some Northwest assets
WHITE PLAINS, N.Y. — United
States Bakery, Inc., Portland, Ore.,
has emerged as the likely buyer for a
number of the Northwest bread assets
of Hostess Brands Inc., Irving, Texas,
according to a Jan. 28 filing by Hostess
in the U.S. Bankruptcy Court for the
Southern District of New York.
According to Hostess, United States
Bakery, also known as Franz Family
Bakeries, has been selected as the stalking horse bidder for several Hostess
brands located in the Northwest, including Sweetheart, Eddy’s, Standish
Farms, and Grandma Emilie’s.
Under the agreement, United States
Bakery would pay $28.85 million in
cash for the brands, 4 baking plants, 14
depots and other assets. The four baking plants are located in Anchorage,
Alaska; Billings, Mont.; Salt Lake City;
and Seattle. The 14 depots are located
in Heyburn, Idaho Falls, Montpelier,
Pocatello and Twin Falls, Idaho; Billings, Mont.; Bismarck, N.D.; Midvale,

Provo, Salt Lake City (2) and Logan,
Utah; and Everett and Tacoma, Wash.
The Eddy’s brand has been distributed in Idaho for more
than 103 years with a
range of bread offerings, including sandwich, buttermilk and
cracked wheat bread,
according to Hostess.
The majority of production and sales were attributed to the Salt Lake
City facility, and the
brand primarily was
sold through the retail
grocery channel.
Grandma
Emilie’s
is a brand in Utah that is “primarily
known for its dense texture and sweet
taste profile,” according to Hostess.
The brand includes old fashioned
white and wheat bread. Production
and sales were attributed to the Ogden facility, and the brand primarily

was distributed through retail grocery
channels.
The Sweetheart brand was sold in
the Idaho, Montana and North Dakota
bread areas for more than 64 years.
The brand is known for its white and
wheat brand as well as its hot dog and

hamburger buns, Hostess said. Sweetheart was produced out of the Billings
facility.
The purchase agreement also includes the rights to 50 recipes, 6 trademarks and 24 Internet domain names.
Hostess said it received 13 other

Seven plants ignored by stalking horse bidders
WHITE PLAINS, N.Y. — With the
naming of stalking horse bidders
for the major bread and cake business of Hostess Brands, Inc., bidders
have been identiﬁed for 29 of the 36
Hostess baking plants.
The plants with no buyers identiﬁed yet are in Los Angeles (formerly
a Interstate Brands plant); Oakland,
Calif. (San Francisco French Bread Co.
— formerly Colombo Baking Co., Inc.);
St. Louis (formerly ITT Continental Baking Co.); Wayne, N.J. (Drake Bakeries);
Cincinnati (Interstate Brands, Butternut Bread); Deﬁance, Ohio (Brown’s
Bakery, Inc.); and Philadelphia (formerly Food Fair, Inc.).
It is not yet clear whether all of the
plants that are included the various
purchase agreements will ultimately
be operated by the successful bidders
for the facilities. MBN

bakingbusiness.com / world-grain.com

Plants sought by:
Flowers Foods
United States Bakery
HB Holdings L.L.C.
No bidder

Milling & Baking News February 5, 2013 / 11

http://www.bakingbusiness.com http://www.world-grain.com

Milling & Baking News - February 5, 2013

Table of Contents for the Digital Edition of Milling & Baking News - February 5, 2013