Apollo Global Management and Metropoulos & Co. Sign Agreement to Acquire Certain Hostess Snack Brands and Bakeries

  Apollo Global Management and Metropoulos & Co. Sign Agreement to Acquire
  Certain Hostess Snack Brands and Bakeries

Business Wire

NEW YORK & GREENWICH, Conn. -- January 30, 2013

Affiliates of Apollo Global Management, LLC (NYSE: APO) (collectively with its
subsidiaries “Apollo”) and Metropoulos & Co. (“Metropoulos”) today announced
that they have entered into a “stalking horse” asset purchase agreement to
acquire certain assets of Hostess Brands, Inc.’s baked snack foods business
(“Hostess Snacks”) for $410 million in cash.

Per the terms of the agreement, Apollo and Metropoulos will acquire certain
Hostess Snacks brands, including, among others, Twinkies, Mini Muffins, Cup
Cakes, Ho Hos, Zingers and Suzy Q’s, and five Hostess Snacks bakeries located
throughout the United States. The agreement provides for the acquisition of
the assets of Hostess Snacks free and clear and does not require Apollo and
Metropoulos to assume any of Hostess Snacks’ liabilities or other obligations.

The asset purchase agreement constitutes a “stalking horse bid” in a sale
process being conducted under Section 363 of Chapter 11 of the U.S. Bankruptcy
Code. As such, the acquisition of Hostess Snacks by Apollo and Metropoulos
remains subject to approval by the United States Bankruptcy Court for the
Southern District of New York and a subsequent auction process in which other
interested buyers may submit competing bids for the assets of Hostess Snacks.
Completion of the transaction, which is expected to occur prior to the end of
April 2013, remains subject to competing offers, approval by the United States
Bankruptcy Court, and customary closing conditions.

C. Dean Metropoulos, Founder and Chief Executive Officer of Metropoulos & Co.
said, “We are pleased to be partnered with Apollo as we seek to resurrect
Hostess Snacks and return these legendary products to the American consumer.
For more than 25 years we have had the opportunity to acquire and grow some of
the world’s most widely recognized consumer food and beverage brands, and I
look forward to working with Apollo in rebuilding these heritage brands and
ensuring their long term availability to their loyal consumers. Never before
have we seen such a groundswell of support and desire for a brand’s return and

Andy Jhawar, a Senior Partner of Apollo and Head of Apollo’s Consumer and Food
Retail Industry Group added, “Today’s approval of the stalking horse agreement
is a positive step toward saving some of America’s most well-recognized and
iconic brands. We believe the Hostess Snacks brands we agreed to acquire offer
significant potential for renewed growth and expansion into additional
channels of distribution. We are confident that the combined expertise and
capital of Apollo and C. Dean Metropoulos, who has an unparalleled track
record of value creation in the consumer packaged food and beverage industry,
will prove invaluable as we re-launch the Hostess Snacks business.”

AboutApollo Global Management, LLC

Apollo is a leading global alternative investment manager with offices inNew
York,Los Angeles, Houston, London, Frankfurt,Luxembourg,Singapore,
MumbaiandHong Kong. Apollo had assets under management ofapproximately $110
billion as of September 30, 2012 in private equity, credit and real estate
funds invested across a core group of nine industries where Apollo has
considerable knowledge and resources. For more information about Apollo,
please visitwww.agm.com.

AboutMetropoulos & Co.

Metropoulos & Co. is a merchant banking and management firm focused
principally on the food and consumer sectors in the United States and Europe.
In recent years, C. Dean Metropoulos and his management team partners have
been involved in more than 74 acquisitions with over $12 billion of aggregate
transaction value. Companies where Metropoulos & Co. has been an investor and
Metropoulos has been an executive include: Pabst Brewing Company, Pinnacle
Foods, Aurora Foods, Stella Foods, The Morningstar Group, International Home
Foods, Ghirardelli Chocolates, Mumm and Perrier Jouet Champagnes and Hillsdown
Holdings, PLC (Premier International Foods, Burtons Biscuits and Christie
Tyler Furniture), among others.


Apollo Global Management, LLC
For investor inquiries regarding Apollo:
Gary M. Stein, 212-822-0467
Head of Corporate Communications
For media inquiries regarding Apollo:
Rubenstein Associates, Inc. for Apollo Global Management, LLC
Charles Zehren, 212-843-8590
Metropoulos & Co.
For media inquiries regarding Metropoulos & Co.:
Kekst and Company
Mark Semer, 212-521-4802
Press spacebar to pause and continue. Press esc to stop.