Enron with a Cream Filling.

[limpyhobbler]

1. sounds like a gigantic Bain Capital kind of deal.

A venture capital buys a struggling company, takes out loans in it's name, runs it into deep debt, while enriching the capitalists. Then they sell everything off, close up shop and throw people out of work.

I haven't heard the Hostess bankruptcy discussed in those terms very much but it seems like it might have been a factor.