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    Jeffrey R. FreundZoe L. Palitz

    BREDHOFF & KAISER, P.L.L.C.

    805 Fifteenth Street N.W., 10th FloorWashington, D.C. 20005

    Telephone: (202) 842-2600Facsimile: (212) 842-1888

    Counsel to Bakery, Confectionery, Tobacco

    Workers and Grain Millers International Union and

    Affiliated Local Unions Representing Debtors

    Employees

    UNITED STATES BANKRUPTCY COURTSOUTHERN DISTRICT OF NEW YORK

    )

    In re: ) Chapter 11)

    HOSTESS BRANDS, INC., et al.,1 ) Case No. 12-22052 (RDD)

    )Debtors. ) Jointly Administered

    )

    MOTION OF THE BAKERY, CONFECTIONERY, TOBACCO WORKERS AND

    GRAIN MILLERS INTERNATIONAL UNION FOR AN ORDER DIRECTINGPAYMENT OF POST PETITION EMPLOYEE BENEFIT CONTRIBUTIONS ANDALLOWING AN ADMINISTRATIVE EXPENSE CLAIM FOR UNPAID AMOUNTS

    TO THE HONORABLE ROBERT D. DRAIN

    UNITED STATES BANKRUPTCY JUDGE:

    The Bakery, Confectionery, Tobacco Workers and Grain Millers International Union, on

    behalf of its thirty-five local unions who are the authorized representatives of certain of the

    Debtors employees and retirees (collectively, BCTGM), moves pursuant to 11 U.S.C.

    503(b)(1)(A), 507(a)(2), and 1113(f) for an order compelling immediate payment by the

    1The Debtors in these chapter 11 cases, along with the last four digits of each Debtors

    federal taxpayer identification number are as follows: (i) Hostess Brands, Inc. (0322); (ii) IBCSales Corporation (3634); (iii) IBC Services, LLC (3639); (iv) IBC Trucking, LLC (8328); (v)

    Interstate Brands Corporation (6705; and (vi) MCF Legacy, Inc. (0599).

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    1222052120509000000000001

    Docket #0863 Date Filed: 5/9/20

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    Debtors (collectively, Hostess or the Company) of all post-petition collectively bargained

    wage payments designated to have been made to the BCTGM pension funds (Pension Wage

    Deferrals) arising from post-petition work performed by BCTGM represented active

    employees.

    Preliminary Statement

    1. Since Hostess filed for chapter 11 protection, it has continued to benefit from thelabor of BCTGM represented employees. During this time, Hostess has refused to make

    approximately $14,000,000 in post-petition Pension Wage Deferrals required by its collective

    bargaining agreements (CBAs) with the BCTGM.

    2. Because the BCTGMs claim for Pension Wage Deferrals is based on post-petitionlabor, it is entitled to treatment as an administrative expense under section 503(b)(1)(A) of the

    Bankruptcy Code. Moreover, the BCTGM is entitled to immediate payment because Hostess

    failure to meet its collectively-bargained pension obligations constitutes an on-going violation of

    section 1113(f).

    Jurisdiction

    3. This Court has subject matter jurisdiction to hear this matter pursuant to 28 U.S.C. 1334. This is a core proceeding pursuant to 28 USC 157(b). Venue before this Court is

    proper pursuant to 28 U.S.C. 1408 and 1409.

    Relief Requested

    4. The BCTGM seeks an order (1) awarding administrative expense status to Hostesspost-petition Pension Wage Deferrals arising on account of post-petition work by active

    employees represented by the BCTGM; (2) compelling the Hostess to immediately make these

    Pension Wage Deferrals; and (3) requiring Hostess to make such future Pension Wage Deferrals

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    when they come due until and unless Hostess acts to reject the BCTGM CBAs pursuant to the

    Courts authorization.

    Factual Background

    5. For many years, Hostess and local unions affiliated with the BCTGM have beenparties to a series of CBAs governing the wages, benefits, and working conditions of thousands

    of employees at the companys bakeries, depots, and retail thrift stores. Currently, Hostess has

    117 CBAs with thirty-five local unions affiliated with the BCTGM. These CBAs were reached

    with each local union in and around October 2007, during the previous bankruptcy. See

    Declaration of Frank Hurt (Hurt Decl.), 2-4.

    6. Each CBA is a bi-lateral agreement between a BCTGM local union and Hostess thatrequires Hostess make contributions to the Bakery and Confectionery Union and Industry

    International Health Benefits and Pension Fund (B&C Fund) a third party beneficiary of the

    BCTGM CBAs in varying amounts based on hours of work performed by active Hostess

    employees covered by the CBA. Seeid., 5 & Exhibit A. Hostess is required to make these

    pension contributions on the tenth day of each month, based on the hours worked by BCTGM

    represented active employees during the previous month. These contributions are deferrals of

    amounts that would otherwise have been payable as wages to Hostess employees, but Hostess

    and the BCTGM local unions agreed that they would instead be paid to the B&C Fund to provide

    post-retirement pension benefits to Hostess employees. See Hurt Decl., 6.

    7. On August 12, 2011, Hostess informed the BCTGM, its local unions, and the B&CFund that it would no longer make these Pension Wage Deferral contributions for work

    performed by BCTGM represented active employees, as required by the various CBAs. Seeid.,

    7.

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    8. On January 11, 2012, Hostess filed a voluntary petition for reorganization underchapter 11 of the Bankruptcy Code. See Voluntary Petition, Dkt. No 1 (Jan. 11, 2012). Since the

    initiation of this chapter 11 proceeding, BCTGM represented active employees have continued to

    perform services for the Company pursuant to the CBAs. Hostess has made no Pension Wage

    Deferrals for this post-petition work. See Hurt Decl., 8-9.

    9. To date, Hostess owes approximately $14,000,000 in post-petition Pension WageDeferrals accruing under the BCTGM CBAs after January 11, 2012. Seeid., 10 & Exhibit B.2

    10. On May 4, 2012, the Court granted the Motion of Debtors and Debtors inPossession to (A) Reject Certain Collective Bargaining Agreements and (B) Modify Certain

    Retiree Benefit Obligations Pursuant to Sections 1113(c) and 1114(g) of the Bankruptcy Code

    (hereinafter, Debtors 1113/1114 Motion). See Order Re Motion to Reject, Dkt. No. 848 (May

    4, 2012). As of the date of this Motion, Hostess has not implemented the terms of the section

    1113/1114 proposal authorized by the Court. See Hurt Decl., 11.

    Argument

    11. Section 503(b)(1)(A) of the Bankruptcy Code allows, as administrative expenses,claims for the actual, necessary costs and expenses of preserving the estate, including- (i)

    wages, salaries, and commissions for services rendered after the commencement of the case[.]

    Pension contributions and other fringe benefits that complete a pay package,Howard Delivery

    Serv., Inc. v. Zurich Am. Ins. Co., 547 U.S. 651, 654 (2006), are part of wages, salaries, and

    commissions covered by section 503(b)(1)(A). See In re A.C.E. Elevator Co., Inc., 347 B.R.

    473, 480 (Bankr. S.D.N.Y. 2006) (Moreover, as noted by the Supreme Court inHoward

    2In December 2011, Hostess ceased providing monthly remittance reports to the B&C Fund

    containing the number of hours worked each month by active unit employees. The pensioncontribution estimate contained in this paragraph and Exhibit B is based on the average hours

    worked per month from July to November 2011.

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    Delivery Service, employer contributions to pension and welfare plans, . . . together with wages,

    remunerate employees for services rendered.).

    12. When claims for pension obligations are based on post-petition labor, they aretreated as administrative expenses. See, e.g.,In re Finley, Kumble, Wagner, Heine, Underberg,

    Manly, Myerson & Casey, 160 B.R. 882, 891 (Bankr. S.D.N.Y. 1993) (To the extent that the

    Minimum Funding Claim arose postpetition from the postpetition labor of Debtors remaining

    thirty-eight employees, the Minimum Funding Claim merits priority treatment. Postpetition

    premiums due may be entitled to an administrative priority for the same reason); cf.In re

    Ionosphere Clubs, Inc., 22 F.3d 403, 408 (2d Cir. 1994) (referencing the established rule in this

    Circuit that vacation pay claims are accorded first-priority status as administrative expenses only

    to the extent the vacation pay is attributable to post-petition work);In re Spectrum Info. Techs.,

    Inc., 193 B.R. 400, 405 (Bankr. E.D.N.Y. 1996) (employmentrelated benefits . . . have been

    deemed to be forms of wages which may be entitled to administrative expense priority if

    incurred during the administration of a bankruptcy case.).3

    13. Here, Debtors collectively-bargained Pension Wage Deferral obligations aremeasured by the labor of active BCTGM represented employees. These active employees have

    continued to provide services to the Debtors post-petition and have continued to earn Pension

    Wage Deferrals. The Companys failure to pay them, therefore, is a violation of the respective

    BCTGM CBAs.

    3The cases are unanimous in this regard. Those courts that have refused to accord

    administrative expense status to pension contributions have done so only where the contributions

    were based on pre-petition labor. See, e.g., A.C.E. Elevator, 347 B.R. at 478 (rejectingadministrative claim for delinquent contributions that were based on its Union employees

    hours worked prepetition).

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    14. Moreover, Hostess was prohibited by section 1113(f) of the Bankruptcy Code fromunilaterally terminat[ing] or alter[ing] any provision of a collective bargaining agreement prior

    to compliance with the provisions of this section. See also 7 Alan N. Resnick & Henry J.

    Sommer, Collier on Bankruptcy 1113.02 (16th ed. 2011) (debtors remain obligated to pay

    postpetition wages and benefits as they become due in accordance with the collective bargaining

    agreement, and the failure to do so has been held to be a unilateral alteration of the agreement in

    violation of section 1113(f), and not merely a breach of the agreement). Despite the fact that

    the Court did not authorize rejection until May 4, 2012, Debtors have made no Pension Wage

    Deferral payments during the pendency of this chapter 11 proceeding.

    15. The fact that the Court has now authorized rejection of the BCTGM CBAs is of nomoment. First, while the Court has authorized that action, Hostess has not yet acted on that

    authorization. Second, even if Debtors had acted, rejection pursuant to 1113(c) is prospective

    only; it does not magically absolve a debtor from its pre-rejection obligations. See, e.g.,In re

    Hoffman Bros. Packing Co., Inc., 173 B.R. 177, 186 (B.A.P. 9th Cir. 1994) (explaining that the

    procedure prescribed by 1113, . . .provides for prospective, not retroactive relief[,] so the

    unions may be permitted to file administrative claims for their members postpetition unpaid

    benefits accruing prior to entry of the court-ordered modification);In re Manor Oak Skilled

    Nursing Facilities, Inc., 201 B.R. 348, 350 (Bankr. W.D.N.Y. 1996) ([A]ll aspects of a

    collective bargaining agreement remain in effect and binding until rejection occurs.). Thus,

    even if Hostess had acted on the Courts order authorizing rejection of the BCTGM CBAs on

    May 4, 2012, it would still have been in violation of section 1113(f) prior to that date.

    16. We expect that the Debtors will argue that because the B&C Fund terminatedHostess on December 10, 2011, no Pension Wage Deferral payments are due for any post-

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    petition period thereafter. Rather than respond to this as yet unformed argument now, we await

    Hostess articulation of its position to which we will respond in our Reply. For now it is

    sufficient to observe that (1) Hostess promised to make these payments in its CBAs with the

    BCTGM, not the B&C Fund; (2) the payments are an integral part of the compensation Hostess

    promised it would pay its workers and cannot be disaggregated from the economic bargain the

    parties stuck; (3) in any event, it was the B&C Fund, not the BCTGM, that terminated Hostess;

    (4) the B&C Fund terminated Hostess only to protect itself from the obligation of awarding

    pension accruals for periods during which it might not receive contributions; (5) it is our

    understanding that if the B&C Fund receives these payments from Hostess, as required by the

    BCTGM CBAs, it will accept them and award pension accruals to covered participants. But if it

    does not accept them, the payments would be paid to the individual employees who earned them

    by working for Hostess post-petition.

    Conclusion

    17. For the reasons stated, this Court should accord the BCTGM an administrativeclaim for Pension Wage Deferrals arising from post-petition work performed by BCTGM

    represented active employees; and direct the Debtors to immediately make these payments.

    Notice

    18. Notice of this Motion will be provided to: (a) the Office of the United States Trusteefor the Southern District of New York; and (b) counsel to Hostess, Interstate Brands

    Corporation-International Brotherhood of Teamsters National Negotiating Committee, BBU,

    Inc., Schwebel Baking Company, Klosterman Baking Company, Pan-O-Gold Baking Company,

    United States Bakery, Amorosos Baking Company, Northeast Foods, Inc., ConAgra Foods, Inc.,

    Alpha Baking Co., Inc., Lewis Brothers Bakeries Incorporated and Chicago Baking Company,

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    CERTIFICATE OF SERVICE

    I, Jeffrey R. Freund, certify that I am over 18 years of age and that on this the ninth day

    of May 2012, I caused to be served, (i) on chambers via hand delivery (ii) on all counsel of

    record by ECF and (iii) upon the parties listed below by email and USPS First Class Mail, a true

    and correct copy of the following:

    Motion of the Bakery, Confectionery, Tobacco Workers and Grain Millers InternationalUnion for an Order Directing Payment of Post Petition Employee Benefit Contributions

    and Allowing an Administrative Expense Claim for Unpaid Amounts

    .

    Paul K. Schwartzberg, Esq.33 Whitehall Street, 21st Fl.

    New York, NY [email protected]

    Office of the United States Trustee

    Hostess Brands, Inc.12 E. Armour Blvd.

    Kansas City, MO 64111

    Attn: Kent Magill, Esq. ([email protected])Jolyn Sebree ([email protected])

    Debtors

    Jones Day222 East 41st Street

    New York, NY 10017

    Attn: Corinne Ball, Esq. ([email protected])Heather Lennox, Esq. ([email protected])

    Lisa Laukitis, Esq. ([email protected])

    Veerle Roovers, Esq. ([email protected])-and-

    North Point

    901 Lakeside Avenue

    Cleveland, OH 44114Attn: Ryan T. Routh, Esq. ([email protected])

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    Thompson & Knight, LLP900 Third Avenue, 20th Floor

    New York, NY 10022

    Attn: Ira L. Herman, Esq. ([email protected])

    Stinson Morrison Hecker LLP1201 Walnut, Suite 2900Kansas City, MO 64106

    Attn: Paul M. Hoffmann, Esq. ([email protected])

    Counsel to Debtors

    Kramer Levin Naftalis & Frankel, LLP

    1177 Avenue of the Americas

    New York, NY 10036Attn: Joshua K. Brody, Esq. ([email protected])

    Thomas Moers Mayer, Esq. ([email protected])

    Counsel to the Official Committee of Unsecured Creditors

    Paul Hastings Janofsky & Walker LLP

    75 E 55th StNew York, NY 10022

    Attn: Rick Denhup, Esq. ([email protected])

    Leslie Plaskon, Esq. ([email protected])

    -and-600 Peachtree St NE Ste 2400

    Atlanta, GA 30308Attn: Cassie Coppage, Esq. ([email protected])

    Jesse H. Austin III, Esq. ([email protected])

    Counsel to General Electric Capital Corporation, as Agent

    Paul Weiss Rifkind Wharton & Garrison LLP

    1285 Ave of AmericasNew York, NY 10019-6064

    Attn: Alan Kornberg, Esq. ([email protected])

    Brian Hermann, Esq. ([email protected])Diane Meyers, Esq. ([email protected])

    -and-

    2001 K St NW

    Washington, DC 20006Attn: Craig Benson, Esq. ([email protected])

    Counsel to Silver Point Finance LLC, as Agent

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    Thompson & Knight, LLP900 Third Avenue, 20th Floor

    New York, NY 10022

    Attn: Ira L. Herman, Esq. ([email protected])Jennifer A. Christian, Esq. ([email protected])

    Counsel to BNY Mellon, as Trustee

    Debevoise & Plimpton LLP

    919 Third Ave

    New York, NY 10022

    Attn: George Maguire, Esq. ([email protected])Steven Gross, Esq. ([email protected])

    Joseph P Moodhe, Esq. ([email protected])

    Counsel to Investors I, LLC, IBC Investors II, LLC and IBC Investors III, LLC

    Cohen, Weiss and Simon, LLP

    330 West 42nd Street - 25th FloorNew York, NY 10036

    Attn: Richard M. Seltzer, Esq. ([email protected])

    Counsel to Interstate Bakeries Corporation-International Brotherhood of Teamsters Negotiating

    Committee

    Willkie Farr & Gallagher LLP

    787 Seventh AveNew York, NY 10019

    Attn: Matthew Feldman, Esq. ([email protected])Paul Shalhoub, Esq. ([email protected])

    Counsel to the International Brotherhood of Teamsters

    Morgan, Lewis & Bockius LLP

    101 Park Avenue

    New York, New York 10178-0600Attn: James L. Garrity, Jr., Esq. ([email protected])

    -and-

    1701 Market StreetPhiladelphia, Pennsylvania 19103

    Attn: John C. Goodchild, III, Esq. ([email protected])

    Rachel Jaffe Mauceri, Esq. ([email protected])

    Counsel to Klosterman Baking Company, Pan-O-Gold Baking Company, BBU, Inc., United

    States Bakery, Northeast Foods, Inc., Schwebel Baking Company, Alpha Baking Co., Inc.,

    Interbake Foods, LLC

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    Eckert Seamans Cherin & Mellott LLC10 Bank Street, Suite 700

    White Plains, NY 10606

    Attn: Riyaz G. Bhimani, Esq. ([email protected])-and-

    300 Delaware Avenue, Suite 1210Wilmington, DE 19801Attn: Ronald S. Gellert, Esq. ([email protected])

    McGrath North Mullin & Kratz, PC LLO

    Suite 3700, First National Tower1601 Dodge Street

    Omaha, Nebraska 68102-1627

    Attn: Robert P. Diederich, Esq. ([email protected])

    Counsel to ConAgra Foods

    Loizides, P.A.1225 King Street, Suite 800

    Wilmington, DE 19801

    Attn: Christopher D. Loizides, Esq. ([email protected])

    Beckman Lawson LLP

    201 W. Wayne Street

    Fort Wayne, IN 46802Attn: Adam L. Hand, Esq. ([email protected])

    Counsel to Perfection Bakeries, Inc.

    Buchanan Ingersoll & Rooney PC

    1290 Avenue of the Americas, 30th FloorNew York, NY 10104-3001

    Attn: Robert S. Hawkins, Esq. ([email protected])

    Tanya D. Bosi, Esq. ([email protected])

    Counsel to Amorosos Baking Company

    Schiff Hardin LLP666 Fifth Avenue, 17th Floor

    New York, NY 10103

    Attn: Keith N. Costa, Esq. ([email protected])

    Alyson M. Fiedler, Esq. ([email protected])-and-

    233 S. Wacker Drive, Suite 6600

    Chicago, IL 60606Attn: Eugene J. Geekie, Jr., Esq. ([email protected])

    Jeffrey D. Eaton, Esq. ([email protected])

    Counsel to Lewis Brothers Bakeries Incorporated and Chicago Baking Company

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    Lowenstein Sandler PC1251 Avenue of the Americas, 18th Floor

    New York, New York 10020

    -and-65 Livingston Avenue

    Roseland, New Jersey 07068Attn: Sharon L. Levine, Esq. ([email protected])Philip J. Gross, Esq. ([email protected])

    Counsel to I.A.M. National Pension Fund, Bakery & Confectionery Union & Industry

    International Pension Fund

    Wick Streiff Meyer Oboyle & Szeligo PC

    1450 Two Chathem Center

    Pittsburgh, PA 15219Attn: Vincent P. Szeligo, Esq. ([email protected])

    Counsel to The Western Pennsylvania Teamsters and Employers Pension Fund

    Dated: Washington, DC

    May 9, 2012/s/ Jeffrey R. Freund

    Jeffrey R. Freund

    BREDHOFF & KAISER, P.L.L.C.

    805 Fifteenth Street N.W., 10th FloorWashington, D.C. 20005

    Telephone: (202) 842-2600Facsimile: (212) 842-1888

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    12-22052-rdd Doc 863-1 Filed 05/09/12 Entered 05/09/12 09:57:04 Declarationof Frank Hurt Pg 1 of 3

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    12-22052-rdd Doc 863-1 Filed 05/09/12 Entered 05/09/12 09:57:04 Declarationof Frank Hurt Pg 2 of 3

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    EXHIBIT A

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    12-22052-rdd Doc 863-2 Filed 05/09/12 Entered 05/09/12 09:57:04 Exhibit APg 2 of 4

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    EXHIBIT B

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    ACCT

    LOCAL

    PENSION

    RATE

    JANUA

    RY

    HOURS**

    PENSION

    DUE

    FEBRUARY

    HOURS

    PENSIO

    N

    DUE

    MARCH

    HOURS

    PENSION

    DUE

    APRIL

    HOURS

    PENSION

    DUE

    MAY

    HOURS***

    PENSIONDUE

    TOTALPENSION

    DUE

    UNPAID

    PENSION

    CONTRIBUTIONSAFTER

    JANUARY11,2012*

    9747A

    103

    0.7100

    1,01

    0.28

    $717.30

    1,491.36

    $1,058.87

    1,491.36

    $1,058.87

    1,491.3

    6

    $1,058.87

    432.98

    $307.41

    $4,202.02

    9750A

    19

    5.2200

    1,78

    0.12

    $9,292.24

    2,627.80

    $13,717.12

    2,627.80

    $13,717.12

    2,627.8

    0

    $13,717.12

    762.91

    $3,982.39

    $54,431.20

    9766A

    57

    3.1500

    81

    3.21

    $2,561.61

    1,200.45

    $3,781.42

    1,200.45

    $3,781.42

    1,200.4

    5

    $3,781.42

    348.52

    $1,097.83

    $15,006.84

    9774A

    111

    0.5200

    23

    8.41

    $123.97

    351.94

    $

    183.01

    351.94

    $183.01

    351.94

    $183.01

    102.18

    $53.13

    $726.65

    9778A

    111

    0.2600

    8

    7.96

    $22.87

    129.85

    $33.76

    129.85

    $33.76

    129.85

    $33.76

    37.70

    $9.80

    $134.21

    9780A

    65

    0.1600

    26

    0.77

    $41.72

    384.95

    $61.59

    384.95

    $61.59

    384.95

    $61.59

    111.76

    $17.88

    $244.54

    9838A

    37

    0.3200

    13,23

    1.34

    $4,234.03

    19,531.98

    $6,250.23

    19,531.98

    $6,250.23

    19,531.9

    8

    $6,250.23

    5,670.57

    $1,814.58

    $24,799.63

    9840A

    25

    0.8700

    2,57

    1.50

    $2,237.21

    3,796.02

    $3,302.54

    3,796.02

    $3,302.54

    3,796.0

    2

    $3,302.54

    1,102.07

    $958.80

    $13,104.50

    9840A

    25

    0.8700

    1

    6.26

    $14.14

    24.00

    $20.88

    24.00

    $20.88

    24.00

    $20.88

    6.97

    $6.06

    $83.72

    9841A

    53

    0.4200

    29

    2.64

    $122.91

    431.99

    $

    181.44

    431.99

    $181.44

    431.99

    $181.44

    125.42

    $52.67

    $720.31

    9843A

    53

    0.4200

    27

    0.43

    $113.58

    399.20

    $

    167.66

    399.20

    $167.66

    399.20

    $167.66

    115.90

    $48.68

    $665.67

    $2,365,519.41

    $3,491,957.22

    $3,491,957.22

    $3,491,957.22

    $1,013,794.

    03

    $13,855,185.10

    TOTALAMOUNTDUE

    *Debtorsceasedprovidinginformation

    totheBCTGMregardinghoursworkedbyactivemembersinDecember2011.Thehoursfiguresprovidedinthisentiredocumentare

    thereforeanestimate

    basedontheaveragehoursworkedbyactivemembersfromJulytoNovember.

    ***Thehoursfigureprovidedinthisco

    lumnhasbeenpro-ratedtoaccountonlyforlaborprovidedpriortothedateoffilingofthis

    MotiononMay9,2012.TheBCTGMreservestherightto

    supplementthisMotiontoclaimpensio

    ncontributionsowedforservicesperformed

    afterMay9,2012.

    **Thehoursfigureprovidedinthiscolumnhasbeenpro-ratedtoaccountonlyforla

    borprovidedaftertheDebtors'January11,2

    012chapter11filing.

    12-22052-rdd Doc 863-3 Filed 05/09/12 Entered 05/09/12 09:57:04 Exhibit BPg 6 of 6

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    UNITED STATES BANKRUPTCY COURT

    SOUTHERN DISTRICT OF NEW YORK

    )

    In re: ) Chapter 11)

    HOSTESS BRANDS, INC., et al.,1 ) Case No. 12-22052 (RDD)

    )Debtors. ) Jointly Administered

    )

    [PROPOSED] ORDER

    This matter coming before the Court on the Motion of the Bakery, Confectionery,

    Tobacco Workers and Grain Millers International Union for an Order Directing Payment of Post-

    Petition Employee Benefit Contributions and Allowing an Administrative Expense Claim for

    Unpaid Amounts. The Court having reviewed the BCTGMs Motion and any objections thereto,

    and having found good cause for the relief granted herein

    HEREBY ORDERS THAT:

    1.

    The Motion is GRANTED.

    2. Pursuant to sections 503(b)(1)(A), 507(a)(2) and 1113(f) of the Bankruptcy Code, theBCGTM is hereby allowed and awarded an administrative expense claim for Debtors

    unpaid post-petition Pension Wage Deferral obligations.

    3. The parties are directed to meet and confer within five (5) days of this Order regardingthe amount of this claim and Debtors shall furnish reports to the BCTGM regarding the

    1The Debtors in these chapter 11 cases, along with the last four digits of each Debtors

    federal taxpayer identification number are as follows: (i) Hostess Brands, Inc. (0322); (ii) IBCSales Corporation (3634); (iii) IBC Services, LLC (3639); (iv) IBC Trucking, LLC (8328); (v)

    Interstate Brands Corporation (6705; and (vi) MCF Legacy, Inc. (0599).

    12-22052-rdd Doc 863-4 Filed 05/09/12 Entered 05/09/12 09:57:04 ProposedOrder Pg 1 of 2

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    number of post-petition hours worked by BCTGM represented active employees to allow

    an accurate calculation.

    4. The Debtors are hereby directed to pay to the BCTGM the agreed upon amount of theirpost-petition Pension Wage Deferral obligations within fifteen (15) days of this Order.

    5. Absent further order of the Court, the Debtors are directed to remain current with respectto any post-petition Pension Wage Deferral obligations due and owing to the BCTGM

    unless and until any such obligations are modified in compliance with the Bankruptcy

    Code pursuant to further order of this Court.

    6.

    This Court shall retain jurisdiction over any and all matters arising from or related to the

    interpretation and/or implementation of this Order.

    Dated: ________________, 2012

    ___________________________________________UNITED STATES BANKRUPTCY JUDGE

    12-22052-rdd Doc 863-4 Filed 05/09/12 Entered 05/09/12 09:57:04 ProposedOrder Pg 2 of 2