Most people know Hostess as the makers of America's favorite Twinkies snacks, but most probably don't know the company is at serious risk of going under. The company survived four years of bankruptcy proceedings between 2004 and 2008, but has struggled to get back on its feet since emerging from Chapter 11 protection in 2009.
Now the problems have reached a crisis point— again. The company may file for Chapter 11 protection as soon as this week. Hostess employs more than 19,000 people but currently has more than $860 million in debt. That's not very sweet.
Sales of Twinkies have declined slightly recently, but overall bakery sales have remained flat. The company sold around 36 million packages of snacks last year. Hostess has struggled as many customers have opted for healthier foods and snacks.