Tastykake has missed a filing deadline with the Securities and Exchange Commission–asking for an extension. The snack maker is trying to keep its business afloat or sell it.
Tastykake asked the SEC for an extension in filing its annual report so the company can pursue various options to deal with a cash crunch. Since the grocery store chain A and P filed for bankruptcy in January, Tastykake has had financial problems. The company has also not saved as much money as projected by moving to a new plant at the Navy Yard. Bruce Rader is a professor at Temple’s Fox School of Business.
“What they are trying to do is delay it so they can make sure everything goes according to plan, they may be working out something with their creditors ‘pre-done’ bankruptcy or something like that,” said Rader. “They are in pretty bad shape from my understanding of the company and looking at the financials.”
Tastykake is currently under an agreement with some of its creditors delaying payments until the end of June while they pursue a deal with a potential suitor. The company told the SEC it plans to file its report within the 15 day extension period.
It declined to comment for this report.