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Imagine a world without Twinkies

Twinkie The KidNext time anyone chows down on a $5 organic apple at Whole Foods Market Inc. (NASDAQ: WFMI) or counts carbs on the Atkins and South Beach diets, they should think about the consequences of their actions on the struggling maker of Twinkies.

ABC News is reporting that Interstate Bakeries Corp., which has been operating under Chapter 11 bankruptcy protection since 2004, is threatening to shut down unless the company's unionized workforce makes some major concessions by September 30. The Kansas City-based baker, which has already announced plans to exit the bread business in Southern California and lay off 1,300 workers, also makes other wholesome fare such as Wonder Bread.

Though the story argues that if Interstate Bakeries is liquidated, some buyer will be happy to take over the Twinkie business, I am not so certain.

Sancti-mommies and a few sancti-daddies now rule the world. Kids today think that carrot sticks are snacks to be washed down with organic juice made from fruit hand-picked by colonies of aging hippies living on a collective farm. They have driven out sugary sodas from the schools and are cracking down on childhood obesity through non-competitive cardio activities that do not include ducking from balls of any sort.

Twinkies need to continue for another generation because they also provide a valuable introduction to children to the world of investing. When I was a kid, the spongy, cream-filled snacks were like gold in the trading market in my elementary school lunchroom that could be traded for anything. Times probably haven't changed much, and I imagine kids trying to swap celery sticks continue to get a chilly reception from their peers.

Splenda vs. Equal: Battle of the Brands

This post is part of our Battle of the Brands feature. Let us know which brand you prefer, and check out other Battle of the Brands posts.

I never paid that much attention to the pink and yellow and blue packets on the table when my wife and I go out for breakfast a couple of times a week. I'm not a consumer of artificial sweeteners, so when I learned that we wanted to add one more match-up to our Battle of the Brands feature, this one focusing on Splenda and Equal, and that it was going to be up to me pull it together, I thought: Oh boy, what am I going to have to say about that?

But I've never been one to pass up an opportunity to learn something new. I began with what I did know, which wasn't much: the makers of Splenda and Equal were in the news recently -- something about misleading advertising and sour grapes. Besides, weren't these yellow and blue packets really second banana to the ubiquitous Sweet'N Low pink packets? Shows how much I know: turns out Sweet'N Low's virtual monopoly on the artificial sweetener market ended back in the 1980s, when Equal took the lead. Since Splenda was introduced in 1999, however, it has exploded, with sales of more than $200 million in 2006, or about 60% of the U.S. artificial sweetener market. Equal's sales have dropped about $30 million in that time, while sales of sugar have dropped $85 million. No wonder sugar producers and the makers of Equal have gone after the makers of Splenda in court.

For someone who doesn't know his blue packet from his yellow packet, what really is the difference between them?

Continue reading Splenda vs. Equal: Battle of the Brands

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Last updated: November 10, 2009: 12:12 PM

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