Money Matters: Hostess going out of business

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November 16, 2012, 7:40 am
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(NECN) – This morning, the company that makes Twinkies is officially out of business leaving 18,000 workers out of a job.     
     
Hostess Brands had threatened to liquidate the company if striking employees weren't back at work by five p.m. Thursday night.

The union claims the company turned up the pressure by cutting health insurance and is claiming that it will be returned to employees who cross the picket line.

But still, the more than 300 workers on strike in Biddeford, Maine didn't budge.

Billions of dollars in losses for the U.S. Postal Service tops our look at business this morning.

The cash-strapped agency reports a loss of 15.9 billion dollars, so far this year.

That's triple what it lost last year.
     
Officials warn if the post office does not receive legislative help from congress, annual losses could exceed 21-billion dollars by 2016.  

Mortgage rates have hit yet another all-time low.  
     
Freddie Mac says the average rate on a 30-year loan has dropped to 3.34-percent.

Rates have been low all year but this is the lowest on records dating back to 1971.

The average rate on a 15-year fixed mortgage also hit a new record low, dropping to 2.65-percent.

A major settlement in 2010 Gulf Oil spill. BP agreed to pay the U.S. government 4.5-billion dollars in damages.

It's the largest criminal settlement in U.S. history.

The company is also pleading guilty to felony counts related to the deaths of eleven workers and lying to congress.     
    
At least three BP employees will also face charges.

Tags: BP, Gulf oil spill, USPS, Freddie Mac, mortgage rates, Twinkies, Money Matters, hostess, united states postal service, ding dongs, wonder break, ho hos, criminal settlement
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