McKee is High Bidder for Drake's Snack Cakes
Hostess Brands Inc. today announced that the stalking horse bid submitted by McKee Foods for the Drake’s snack cake brand will be the bid presented for approval to the U.S. Bankruptcy Court as no other qualified bids were received for those assets.
“We know that Drake’s Cakes are unique baked goods that have a loyal following,” said Mike McKee, president and CEO. “McKee Foods is a family-owned bakery, similar to how Drake’s was established as a family bakery 125 years ago. We have generations of experience in baking, and we will strive to bake the Drake’s cakes, not just for taste and quality, but also to deliver on the memories of the loyal Drake’s fans.”
McKee Foods has agreed to pay $27.5 million for the Drake’s brand and certain equipment. Drake’s products include Ring Dings, Yodels, Devil Dogs, Yankee Doodles, Sunny Doodles and Drake’s Coffee Cake. Hostess will ask the U.S. Bankruptcy Court for the Southern District of New York to approve the transaction at a hearing on Tuesday, April 9. No part of the sale will be final until this approval is granted.
McKee is High Bidder for Drake's Snack Cakes
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Last Update on September 03, 2015 07:35 GMT
ECONOMY-THE DAY AHEAD
WASHINGTON (AP) -- The Labor Department will report today on the number of people who applied for unemployment benefits last week. Also, the Commerce Department will report on the U.S. trade gap for July.
The Institute for Supply Management, a trade group of purchasing managers, will also issue its index of non-manufacturing activity for August. And Freddie Mac will release weekly mortgage rates.
WASHINGTON (AP) -- The International Monetary Fund says China's slowdown, volatile financial markets and tumbling raw-materials prices have raised the risks to economic growth around the world.
In an assessment of global threats published as finance ministers and central bankers meet this week in Turkey, the IMF is urging wealthy countries to continue easy money policies and "growth friendly" tax and spending programs.
It says some emerging-market countries should let their currencies fall substantially to support exporters and economic growth, adding that they should also enact reforms to make their economies more efficient.
The IMF says the Chinese economic slowdown appears to have had larger-than-expected repercussions in other countries. China's troubles have sent the prices of raw materials such as oil and copper into a freefall, pinching Brazil, Russia and other commodity exporters.
PHILADELPHIA (AP) -- An Associated Press survey of nearly a dozen big cities reveals emergency planning for crude oil trains remains a work in progress.
The 100-car trains are loaded with crude oil from the Upper Midwest and rumble past schools, homes and businesses.
Cities around the country are scrambling to formulate emergency plans and train firefighters amid the latest safety threat: a fiftyfold increase in crude shipments that critics say has put millions of people living or working near the tracks at heightened risk of derailment, fire and explosion.
The mile-long trains from North Dakota carry around 3 million gallons of crude. Federal officials say a severe accident in a city could kill more than 200 people and cause $6 billion in damage.
The trains have become a common sight in places like Philadelphia, Chicago and Seattle.
DETROIT (AP) -- Tesla Motors says it will unveil its lower-cost Model 3 electric car in March and will start taking orders then.
In a tweet Wednesday, Tesla CEO Elon Musk says the car will start at $35,000, or about half the starting price of its current Model S sedan. Musk said the Model 3 will start production in about two years.
Musk also said deliveries of the Model X SUV -- the company's third vehicle -- will begin Sept. 29. Tesla wouldn't reveal pricing details.
Musk said each trim level of the Model X will be around $5,000 more than the equivalent trim level of the Model S because of the SUV's greater size and complexity.
LOS ANGELES (AP) -- Lawyers for former Sony Pictures Entertainment employees whose data was breached last year say they have tentatively reached a settlement with the company.
Wednesday's filing in a proposed class-action lawsuit does not detail settlement terms or how many current and former Sony employees would be covered by the settlement.
Plaintiffs' attorney Daniel Girard wrote that he and fellow lawyers believe the settlement is favorable to employees whose personal, financial and medical information was posted online.
Additional details about the settlement are expected to be filed in a Los Angeles federal court by mid-October.
At least 10 former Sony employees sued the company over the breach, seeking class-action status for the nearly 50,000 people whose data was stolen and posted online by hackers.
Sony declined comment on the proposed settlement.
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