It isn’t every day a major new commercial bread brand is introduced in the United States. If you see Hostess bread or buns for sale at a Walgreens or other retail outlet, take a photo and send it to us at email@example.com. Be sure to include the name of the retailer and the city where you found it as well as your name if you’d like a photo credit. Selfies with Hostess Bread are invited!
OKEMOS, MICH. — Hostess Brands L.L.C., the largest manufacturer of snack cakes in the United States, is expanding into the bread and roll market.
According to trade sources, Hostess is selling bread and buns with shelf life of two months or longer targeted for sale in drug stores and convenience stores that have limited food selection and also are carrying the company’s Twinkies and other sweet goods. The bread and rolls are being sold under the Hostess brand.
While executives at Hostess declined to comment about the company’s entry into the bread market, Hostess brand bread and buns have been found at various outlets of The Walgreens Co.
The program is indicated to have been launched about two months ago. Customers other than Walgreens have not been confirmed.
Hostess Brands L.L.C. was created in 2013 by Apollo Global Management L.L.C. and C. Dean Metropoulos & Co. as a vehicle to acquire for $410 million the Hostess cake business sold as part of the Hostess Brands, Inc. bankruptcy liquidation. The larger bread and rolls business of Hostess, including numerous baking plants and leading brands such as Wonder and Home Pride, was sold to other buyers — principally to Flowers Foods, Inc.
The Walgreens Co.
Among numerous major changes made at Hostess under the oversight of C. Dean Metropoulos has been a conversion to a warehouse delivery model from direct-store-delivery. Industry sources indicated Hostess is targeting with its bread and rolls smaller retail outlets, like c-stores and drug stores, that are not efficiently served by D.S.D. delivery. The sources also indicated that the bread is being baked by regional bakers in the Midwest.
The launch of the bread comes amid indications that the private equity owners of Hostess are looking to sell the business.