Governor Rendell may intercede to help Tasty
January 7, 2011
by Josh Sosland
HARRISBURG, PA. — Days after Tasty Baking Co. said it was exploring strategic options to deal with financial difficulties, the outgoing governor of Pennsylvania has expressed interest in helping the company weather its problems. The Philadelphia Inquirer on Jan. 7 said Governor Ed Rendell would like the state to loan additional money to Philadelphia-based Tasty. “We are trying to find a way to keep Tastykake on its feet,” Mr. Rendell told The Inquirer. “It’s an important Pennsylvania company and a significant employer. We’d like them to stay out of bankruptcy.” Mr. Rendell, who will only remain in office until Jan. 18, said he has held discussions with Charles P. Pizzi, Tasty’s chief executive officer. On Jan. 5, Tasty disclosed that fourth-quarter financial results would not meet expectations and that the company was meeting with its lender in an effort to secure additional credit. The company also has engaged Janney Montgomery Scott to explore strategic options, including a possible merger or sale.