Business Giants Going Under

[Easy Bakes 253]

2 business giants who at one point had virtual monopolies in there respective markets are going under.

Kodak

I love to take a photograph

So mama don't take my Kodachrome away

Hostess Brands.

Little chocolate Donuts, breakfast of champions

[Duke87 1,070]

Kodak should have been completely expected. The technology that their business revolved around is completely obsolete, and they didn't embrace its replacement.

Hostess is strange news.

[Merlin of Flyote 8]

2 business giants who at one point had virtual monopolies in there (their) respective markets are going under.

Kodak

I love to take a photograph

So mama don't take my Kodachrome away

Hostess Brands.

Little chocolate Donuts, breakfast of champions

Like many large companies they used the Ostrich system of management. When they realised that digital wasn't going away they developed a printer just as people stopped printing and started uploading their photo's.

  Edited January 24, 2012 by Merlin of Flyote  

[Larks2242 251]

This is not all that concerning, Kodak never got with the times and people seem to have chosen to make more healthy eating decisions, just part of the business cycle, I hope Obama doesn't plan on bailing them out too.

[A Nonny Moose 8,261]

Let us be perfectly clear here. In the United States, entering Chapter 11 is simply being sheltered from actions by your creditors while you reorganize your company and decide on what kind of a debt recovery proposal you are going to make to your creditors. Corporate death only occurs if you decide you can never pay out your debts and go into receivership or apply to surrender your charter.

It is possible for companies in this condition to emerge leaner and meaner, and with a new set of principles.

[Easy Bakes 253]

I don't think Kodak will recover.

they were to late into the small digital point and Shoot camera market and its now flooded with good inexpensive cameras you don't throw away even if the best of them are Kodak's their just very pricy.And entering the inkjet printing market in force at this time was a very bad decision.

their in store photo printing was probably the best idea they had recently.

lots of people want their pictures printed but don't want to spend the money for the high end printers and inks needed to get quality prints.

[hamsterTK 93]

If Hostess ever went away, does anyone think that their Twinkie brand property would get bought out by someone else?

Just like the company that used to make those frosted circus cookies and animal crackers. It went out of business, but like a month later a competitor picked up the brand. The product hasn't really changed at all.

[A Nonny Moose 8,261]

Hostess' products may survive because of consumer demand. Their inept management is for the scrap heap.

[Easy Bakes 253]

Some one will buy out Hostess. if only to obtain the brand names they own.

Hows Nabisco or Beatrice foods doing?

[A Nonny Moose 8,261]

I am sure you are quite capable of looking up the performance of these companies, but if you want to know about Nabisco, you should look under Post foods. I guess you don't buy "Nabisco" Shredded Wheat. That good ol' Post seal has been on the box for several years now.

[Easy Bakes 253]

I am sure you are quite capable of looking up the performance of these companies, but if you want to know about Nabisco, you should look under Post foods. I guess you don't buy "Nabisco" Shredded Wheat. That good ol' Post seal has been on the box for several years now.

I buy the in house version in the spoon sized version.Its a nice healthy snack food right out of the box.

Nabisco is also part of the Kraft foods/RJ Renyolds/Philip Morris.

Beatrice Foods is Defunct in the US. bought out by Con agra and their brand names sold to the highest bidder.

Both were the victim's of these guys

KRR&Co

[A Nonny Moose 8,261]

I am sure you are quite capable of looking up the performance of these companies, but if you want to know about Nabisco, you should look under Post foods. I guess you don't buy "Nabisco" Shredded Wheat. That good ol' Post seal has been on the box for several years now.

I buy the in house version in the spoon sized version.Its a nice healthy snack food right out of the box.

Nabisco is also part of the Kraft foods/RJ Renyolds/Philip Morris.

Beatrice Foods is Defunct in the US. bought out by Con agra and their brand names sold to the highest bidder.

Both were the victim's of these guys

KRR&Co

The right word for these guys is corporate buccaneers. Note the definition includes leveraged operation. Which means some consortium of lenders backs them. If you allow your company to get into a serious deficit position, you attract sharks like these guys. They can smell red ink like a shark senses blood in the water.

[Merlin of Flyote 8]

I am sure you are quite capable of looking up the performance of these companies, but if you want to know about Nabisco, you should look under Post foods. I guess you don't buy "Nabisco" Shredded Wheat. That good ol' Post seal has been on the box for several years now.

I buy the in house version in the spoon sized version.Its a nice healthy snack food right out of the box.

Nabisco is also part of the Kraft foods/RJ Renyolds/Philip Morris.

Beatrice Foods is Defunct in the US. bought out by Con agra and their brand names sold to the highest bidder.

Both were the victim's of these guys

KRR&Co

The right word for these guys is corporate buccaneers. Note the definition includes leveraged operation. Which means some consortium of lenders backs them. If you allow your company to get into a serious deficit position, you attract sharks like these guys. They can smell red ink like a shark senses blood in the water.

Better name is Asset Strippers

[A Nonny Moose 8,261]

I am sure you are quite capable of looking up the performance of these companies, but if you want to know about Nabisco, you should look under Post foods. I guess you don't buy "Nabisco" Shredded Wheat. That good ol' Post seal has been on the box for several years now.

I buy the in house version in the spoon sized version.Its a nice healthy snack food right out of the box.

Nabisco is also part of the Kraft foods/RJ Renyolds/Philip Morris.

Beatrice Foods is Defunct in the US. bought out by Con agra and their brand names sold to the highest bidder.

Both were the victim's of these guys

KRR&Co

The right word for these guys is corporate buccaneers. Note the definition includes leveraged operation. Which means some consortium of lenders backs them. If you allow your company to get into a serious deficit position, you attract sharks like these guys. They can smell red ink like a shark senses blood in the water.

Better name is Asset Strippers

Possibly, but I don't hear 'The Entertainer' being played in the background. You know, the real test is the debt to asset ratio. So these guys borrow enough to get control of the stock through the market then take the company over and clean it out. If there is anything left, it is a shell. Reminds me of something i saw happen when a star fish attacks a clam.

[Larks2242 251]

Some one will buy out Hostess. if only to obtain the brand names they own.

McKee Foods Corp, best known for the little Debbie label seems like a good fit, they could add stuff like twinkles to their product lineup.

[Ocram's Razr 963]

Well, the USA government would feel obligated to bail Kodak out. The thing is that they are damned if they do and damned if they don't. What measure is too big to fail?

[Easy Bakes 253]

Well, the USA government would feel obligated to bail Kodak out. The thing is that they are damned if they do and damned if they don't. What measure is too big to fail?

No, as big as Kodak was, Cannon is a much bigger player in every market Kodak is in right now.

[A Nonny Moose 8,261]

Well, the USA government would feel obligated to bail Kodak out. The thing is that they are damned if they do and damned if they don't. What measure is too big to fail?

No, as big as Kodak was, Cannon is a much bigger player in every market Kodak is in right now.

So what? Canon is also off-shore. Nothing is too big to fail, not even Goldman-Sachs, nor GM, and especially not Chrysler. Several big mistakes, Obama.

[Ocram's Razr 963]

But a Kodak Moment is not always canon.

[A Nonny Moose 8,261]

But a Kodak Moment is not always canon.

We seem to be in a pundit situation. A canon may be a firm name 'Canon' or a standard or rubric 'canon', and of course the homonym 'cannon' produces a deafening report. We must be careful not to commit ourselves to 2/3 of a pun (PU).

In any case, the capitalist rule is that the 'weak go to the wall'.

[Easy Bakes 253]

Well, the USA government would feel obligated to bail Kodak out. The thing is that they are damned if they do and damned if they don't. What measure is too big to fail?

No, as big as Kodak was, Cannon is a much bigger player in every market Kodak is in right now.

So what? Canon is also off-shore. Nothing is too big to fail, not even Goldman-Sachs, nor GM, and especially not Chrysler. Several big mistakes, Obama.

Just saying Kodak could go away and there would be no shortage of what they do and the products they make.Could say the same of the others you mentioned as well as well as Hostess.

we would be better off with out Twinkies and Ding Dongs anyway.

[Ocram's Razr 963]

I think a hostile takeover would be better than complete dissolution.

[A Nonny Moose 8,261]

I think a hostile takeover would be better than complete dissolution.

Surrendering the charter would be preferable to a hostile takeover by some corporate buccaneer who would only be interested in harvesting any cash that could be found. The capital distribution to the shareholders by the receiver, if any, would be better than being stuck with some dicey paper in another outfit. Often death is better than continuance.

  Edited February 1, 2012 by A Nonny Moose  

[hym 358]

Kodak and Hostess are not being dissolved, nor are they eligible for a hostile takeover either. They are going through Chapter 11 bankruptcy proceedings, the whole purpose of which is to allow the company to shed debts and restructure itself so that it can continue operations.

[Ocram's Razr 963]

In this economy, low profits precede losses, precede Chapter 11 precede Chapter 9, precede bail-outs, mergers, or dissolutions.

[hym 358]

In this economy, low profits precede losses, precede Chapter 11 precede Chapter 9, precede bail-outs, mergers, or dissolutions.

This is not necessarily true. Sustained losses do precede Chapter 11 bankruptcy, but going through Chapter 11 bankruptcy is not a sign that the company is only going to head down from there. Remember, Chapter 11 is all about restructuring a company so that it can come through the proceedings in a position to continue operations. GM is a perfect example of this. When GM went into Chapter 11 bankruptcy proceedings, the company was in the worst financial shape of its life, encumbered by debts and union obligations that it had absolutely no hope of ever satisfying. Post-bankruptcy, the company has shed most of it's crushing financial burdens and has been able to restructure itself into a much leaner company. GM is arguably in the best shape it has been in for 20 years.

Also, corporations do not go into Chapter 9 bankruptcy proceedings. Only municipalities do that. Corporations either file Chapter 7 or Chapter 11 bankruptcy.

[A Nonny Moose 8,261]

Yes, it is a long haul from shelter from creditor action during a restructure to final receivership which may never occur. The whole idea is to get some breathing room from the day-to-day debt crisis. You'll notice that GM divested several things and closed a division or two. However, the behavior of GM's management lately looks like the same old, same old. One wonders if they learned anything, or still have solid engine block metal from ear to ear.

  Edited February 2, 2012 by A Nonny Moose  

[Equinox 1,209]

If Hostess ever went away, does anyone think that their Twinkie brand property would get bought out by someone else?

Just like the company that used to make those frosted circus cookies and animal crackers. It went out of business, but like a month later a competitor picked up the brand. The product hasn't really changed at all.

Gosh, I hope so because both those frosted cookies and those powdered donuts are DELICIOUS.

As for Kodak, yes, I would agree that the in-store printing kiosks are pretty much the best decision those guys have made in a while. Other than that... yep, it's effectively been said.

[A Nonny Moose 8,261]

Other fallout.

Of course any sponsorship deals fall apart when this happens.

[Easy Bakes 253]

Yes no surprise there,same thing happened to the to Enron Field in Houston.