Deadline For Tastykake
PHILADELPHIA (CBS) – The maker of Tastykakes has a financial deadline Friday, as an already-late loan payment comes due.
Financially-troubled Tasty Baking Company faces a due date Friday on a loan payment that should have been made on the first of the month.
According to the Philadelphia Inquirer, Tasty faces a 2 p.m. deadline to make the payment, or cut a deal for more time.
Industry experts tell the paper one scenario would have the banks grant the company a 30-day extension, giving Tastykake time to refinance, or find a buyer.
Tasty last week said fourth-quarter earnings were below expectations, partly because production efficiencies at its new Navy Yard plant hadn’t materialized.
“Operation Save Tastykake” Web sites are cropping up with online petitions from Philadelphians who think fondly of butterscotch krimpets and chocolate juniors. And Governor Rendell says the state would lend the company $1 million if need be.
Tastykake has called Philadelphia home since 1914.
Reported by Mike DeNardo, KYW Newsradio; Dray Clark, CBS 3