Hostess used diverted from wages from pension funds to company operations

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    Dec 11, 2012 1:51 AM GMT
    More shared sacrifice. icon_mad.gif
    http://finance.yahoo.com/news/hostess-maneuver-deprived-pension-051400720.htmlHostess Brands Inc. said it used wages that were supposed to help fund employee pensions for the company's operations as it sank toward bankruptcy.

    It isn't clear how many of the Irving, Texas, company's workers were affected by the move or how much money never wound up in their pension plans as promised.

    After the company said in August 2011 that it would stop making pension contributions, the foregone wages weren't put toward the pension. Nor were they restored.
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    Dec 11, 2012 5:47 PM GMT
    Profit sharing takes on a whole new meaning.
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    Dec 12, 2012 1:40 AM GMT
    There's got to be something illegal in all this.
    Alternatively, imagine the outcry if Lehman Brothers stopped contributing to 401k accounts of their employees 1 year before they declared bankruptcy.
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    Dec 12, 2012 2:09 AM GMT
    When are they going to prison?