Bain Capital will not touch this. Bain's turnaround model is based on outsourcing jobs to China. which will not work for baking products. Logistics andf distibution costs to maintain freshness are insurmountable for low margin companies like Hostess. Nobody in US is gonna buy week old bread.
Additionally, Hostess is already highly leveraged, amassing a huge amount of debt to sustain its existing operations. Leveraged buyout by private equity firms like Bain would only add another layer of debt, when cash flow of Hostess is already inadequate to service its existing debt.
Youse are aware, ain't youse, of maciadores operations?
Don't have to move Hostess' Twinkies baking operation all of the way to Xian. Just open a Free Trade Zone in XXXXXXXX City in Amerika. Let Chinese bakers and Chinese managers work in the Free Trade Zone without union organizing operations allowed. Sell into the Amerikan market from a Free Trade Zone bakery all under Chinese management and control. Only cleanliness and safety inspections would be done by computer tour.
Think about it: No unions, no OSHA, no EPA, no state sanitation workers noseying around, nothing but Free Enterprise in a Free Trade Zone. All IMHO.