The Supply Side: Wal-Mart supplier community news briefs

• Hostess, Dolly Madison deal struck
A deal for Hostess and Dolly Madison brands is being worked out by HB Holdings LLC, an affiliate of Apollo Global Management and Metropoulous & Co.

The $410 million purchase agreement was announced Jan. 30 that include these brands:Twinkies, Mini Muffins, Cup Cakes, Ho Hos, Zingers and Suzy Q’s.

The acquisition includes the purchase of more than 300 recipes sold under these brand names.

Five plants to be acquired in the transaction are located in Los Angeles; Columbus, Ga.; Schiller Park, Ill.; Indianapolis; and Emporia, Kas. HB Holdings also would acquire depots in Kansas City, Schiller Park and Los Angeles.

Office buildings that are part of the deal include the longtime headquarters of Interstate Brands Corp. at the intersection of Armour Boulevard and Main Street in Kansas City. Headquarters for the business were moved to Irving, Texas, in 2009 when Interstate emerged from its first bankruptcy and changed its corporate name to Hostess Brands.

The deal is subject to regulatory approval and is expected to be completed by the end of April.

• Government fines Kraft Foods
Kraft Foods Group agreed to pay a fine of $13,911.50 and take system-wide corrective actions after the Wisconsin Department of Agriculture, Trade and Consumer Protection discovered underweight packages of Oscar Mayer-brand lunch meat in several stores.

The fine is the company’s third in two years for violations of Wisconsin’s weights and measures statutes. As part of the agreement, Kraft admitted no wrongdoing.


The underweight packages included eight packages of Oscar Mayer brand cooked ham and one package of Oscar Mayer brand honey ham, according to the agency. The packages were found in several retailer throughout the state.

The problem was discovered by the state’s Consumer Protection Bureau during inspections conducted in June and July 2012

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