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Sunday, January 20, 2013

New York banker Gordian Group to advise Hostess' bakery union, (NYSE: FLO)

The union and pension fund for Hostess Brands Inc has hired Gordian Group, an investment bank specializing in distressed cases, to help preserve jobs and workers' benefits at the bankrupt maker of Twinkies snack cakes as Hostess negotiates with buyers.New York-based Gordian, which has no institutional loyalties to funds or bondholders in Hostess, will provide conflict-free advice for the welfare of the company's workers, The Bakery and Confectionery Union and Industry International Pension Fund (Bakers Fund) said.Mexico's Grupo Bimbo and a partnership between Apollo Global Management and veteran food executive C. Dean Metropoulos are among the leading candidates to purchase Hostess Brands Inc's snack cake brands, according to three people familiar with the matter.In a separate announcement earlier this month, Hostess said Flowers Foods agreed to pay $390 million for Hostess's Wonder and other bread brands, including Nature's Pride and Butternut. That sale is still subject to a court-supervised auction.

Flowers Foods, Inc. (Flowers Foods) is a producer and marketer of bakery products in the United States. Shares of FLO fell by 0.15% or $-0.04/share to $27.06. In the past year, the shares have traded as low as $18.46 and as high as $27.25. On average, 944123 shares of FLO exchange hands on a given day and today's volume is recorded at 639012.