A PYMNTS Company

US: Is Wonder Bread deal going stale?

By  |  May 13, 2013

Food conglomerate Flower Foods, based in Florida, is reportedly facing increased scrutiny from antitrust regulators for its $360 million buyout of Hostess and its bread brands. Reports say the US Department of Justice has requested more information from the second-largest baking company in the US, for the second time. Sources say the DOJ is concerned over Flowers’ current 40 percent control of the market in the Southeast region of the country; a Hostess buyout would increase its dominance even more in the area. The company had won a bank auction last February to acquire most of the now-defunct company. Hostess filed for bankruptcy following a crippling workers’ strike. Hostess products have been off the shelves since last November.

Full Content: New York Post

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