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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-K
[ X ] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 1999 Commission file
number 1-800
WM. WRIGLEY JR. COMPANY
(Exact name of registrant as specified in its charter)
Delaware 36-1988190
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
410 North Michigan Avenue
Chicago, Illinois 60611
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (312) 644-2121
Securities registered pursuant to Section 12(b) of the Act:
Name of each exchange on
Title of each class which registered
Common Stock, no par value New York Stock Exchange
Chicago Stock Exchange
Securities registered pursuant to Section 12(g) of the Act:
Title of each class
Class B Common Stock, no par value
Indicate by check mark whether the Registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such
shorter period that the Registrant was required to file such
reports), and (2) has been subject to such filing requirements for
the past 90 days. Yes X. No .
Indicate by check mark if disclosure of delinquent filers
pursuant to Item 405 of Regulation S-K (Section 229.405 of this
chapter) is not contained herein, and will not be contained, to the
best of registrant's knowledge, in definitive proxy or information
statements incorporated by reference in Part III of this Form 10-K or
any amendment to this Form 10-K. [X]
As of January 31, 2000, there were outstanding 91,865,823 shares
of Common Stock, no par value, and the aggregate market value of the
Common Stock (based upon the closing price of the stock on the New
York Stock Exchange on January 31, 2000) held by non-affiliates was
approximately $5,631,137,694. As of January 31, 2000 there were
outstanding 22,522,373 shares of Class B Common Stock, no par value.
Class B Common Stock is not traded on the exchanges, is restricted
as to transfer or other disposition, and is convertible into Common
Stock on a share-for-share basis. Upon such conversion, the
resulting shares of Common Stock are freely transferable and publicly
traded. Assuming all shares of outstanding Class B Common Stock were
converted into Common Stock, the aggregate market value of Common
Stock held by non-affiliates on January 31, 2000 (based upon the
closing price of the stock on the New York Stock Exchange on such
date) would have been approximately $6,422,599,248. Determination of
stock ownership by non-affiliates was made solely for the purpose of
this requirement, and the Registrant is not bound by these
determinations for any other purpose.
DOCUMENTS INCORPORATED BY REFERENCE
Portions of the Registrant's Definitive Proxy Statement, dated
February 4, 2000 for the March 6, 2000 Annual Meeting of
Stockholders, and of the 1999 Annual Report to Stockholders, are
incorporated by reference into portions of Parts I, II, III and IV of
this Report.
PART I
Item 1. Business
(a) General Development of Business.
(1) General information. From 1891 to 1903, the Company was
operated as a partnership until its incorporation in Illinois as Wm.
Wrigley, Jr. & Co. in December 1903. In November 1910, the Company
was reincorporated under West Virginia law as Wm. Wrigley Jr. Company
the ("Company"), and in October 1927, was reincorporated under the
same name under Delaware law.
Throughout its history, the Company has concentrated on one
principal line of business: manufacturing and marketing quality
chewing gum products.
(2) Not applicable.
(b) Financial Information About Industry Segments.
The Company's principal business of manufacturing and selling
chewing gum constitutes more than 90% of its consolidated worldwide
sales and revenues. All other businesses constitute less than 10% of
its consolidated revenues, operating profit and identifiable assets.
Financial information on segments, as defined under generally
accepted accounting principles, is set forth on pages 20 and 21 of
the Company's Annual Report to Stockholder's for the fiscal year
ended 1999, under the caption "Segment Information" which information
is incorporated herein by reference.
(c) Narrative Description of Business.
(1) Business conducted. The following is a description of the
business conducted and intended to be conducted by the Company and
its wholly-owned associated companies:
(i) Principal products, markets and methods of
distribution. The Company's principal business is manufacturing
and selling chewing gum, both in the United States and abroad.
The Company's brands manufactured and available in the
United States are: WRIGLEY'S SPEARMINT, DOUBLEMINT, JUICY
FRUIT, BIG RED and WINTERFRESH which account for a majority of
the Company's sales volume; FREEDENT, a specially formulated
chewing gum which does not stick to most types of dental work,
available in three flavors; EXTRA sugarfree chewing gum,
available in four flavors and as bubble gum; and ECLIPSE a
sugarfree pellet gum, available in two flavors.
Except for BIG RED and WINTERFRESH, which have limited
availability overseas, and ECLIPSE, which is currently being
test marketed in Australia, the above Wrigley brands are also
commonly available in many international markets. Additional
brands manufactured and marketed abroad are: ORBIT, EXTRA and
FREEDENT sugarfree gums in both pellet and stick form in various
flavors, ARROWMINT, COOL CRUNCH, DULCE 16, EXCEL, JUICY FRUIT
and P.K chewing gums in sugar coated pellet form, sugarfree
WRIGLEY'S SPEARMINT, DOUBLEMINT, JUICY FRUIT, AIRWAVES in
sugarfree pellet form, ICEWHITE sugarfree stick gum and bubble
gums HUBBA BUBBA in various flavors, BIG BOY and BIG G.
The Company's ten largest markets, by shipments, outside of
the United States in 1999 were, in alphabetical order,
Australia, Canada, China, France, Germany, Philippines, Poland,
Russia, Taiwan and the United Kingdom.
Chewing gum is manufactured in three factories in the United
States and twelve factories in other countries. Three domestic wholly
owned associated companies also manufacture products other than
chewing gum. Amurol Confections Company, in addition to
manufacturing and marketing children's bubble gum items including
BUBBLE TAPE, BIG LEAGUE CHEW and other uniquely packaged confections,
and two adult chewing gum items, STAY ALERT caffeine gum and EVEREST
powerful mint gum, also has various non-gum items, such as a line of
suckers, dextrose candy, liquid gel candy and hard roll candies as an
important part of its total business. Amurol is also developing
export markets, currently the largest being Canada, Mexico and Japan.
The principal business of the L.A. Dreyfus Company is the production
of chewing gum base, at one domestic and one overseas factory, for
the parent and wholly owned associated companies, and for other
manufacturers of chewing gum and specialty gum products in the United
States and abroad. Northwestern Flavors, Inc. processes flavorings
and rectifies mint oil for the parent and associated companies.
In 1979, the Company organized its domestic converting
operations under the name of Wrico Packaging Division as a separate
operating unit of the Company. This division was created to help
further the Company's capability to produce improved packaging
materials. Currently, Wrico produces about 27% of the Company's
domestic printed and other wrapping supplies.
The Company markets chewing gum primarily through distributors
wholesalers, corporate chains and cooperative buying groups that
distribute the product through retail outlets. Additional direct
customers are vending distributors, concessionaires and other
established customers purchasing in wholesale quantities. Customer
orders are usually received by mail, electronically, telephone or
telefax and are generally shipped by truck from factory warehouses or
leased warehousing facilities. Consumer purchases at the retail
level are generated primarily through the Company's advertisements on
television and radio, and in newspapers and magazines.
(ii) New products. In Europe, EXTRA for Kids, ORBIT for Kids,
AIRWAVES and ICEWHITE were added to the product line. In the United
States, ECLIPSE, a sugarfree pellet product, was introduced in 1999.
Additional or improved flavors were also introduced for some product
lines in various markets.
(iii) Sources and availability of raw materials. Raw materials
blended to make chewing gum base are available from suppliers and in
the open market.
Sugar, corn syrup, flavoring oils, polyols and aspartame are
obtained in the open market, or under contracts, from suppliers in
various countries. All other ingredients and necessary packaging
materials are also purchased and available on the open market.
(iv) Patents and trademarks. The Company holds numerous
patents relating to packaging, manufacturing processes and product
formulas. Approximately fifty patents relating to product formula
and sweetener encapsulation, primarily for sugarfree gum and
continuous chewing gum manufacturing, are deemed of material
importance to the Company. Most of these patents expire in the
countries in which they are registered at various times through the
year 2017.
Trademarks are of material importance to the Company and are
registered and maintained for all brands of the Company's chewing gum
on a worldwide basis.
(v) Seasonality. On a consolidated basis, sales normally are
relatively consistent throughout the year.
(vi) Working capital items. Inventory requirements of the
Company are not materially affected by seasonal or other factors. In
general, the Company does not offer its customers extended payment
terms. The Company believes these conditions are not materially
different from those of its competitors.
(vii) Customers. The Company's products are distributed
through more than 3,000 customers throughout the United States alone.
No single domestic or foreign customer accounts for as much as 10%
of consolidated sales or revenues.
(viii) Orders. It is the general custom of the wholesale trade
to purchase chewing gum requirements at intervals of approximately
ten days to two weeks to assure fresh stocks and good turnover.
Therefore, an order backlog is of no significance to the chewing gum
business.
(ix) Government business. The Company has no material portion
of its business which may be subject to renegotiation of profits or
termination of contracts at the election of the Government.
(x) Competitive conditions. The chewing gum market is an
intensely competitive one in the United States and in most
international markets. Though detailed figures are not available,
there are approximately 14 chewing gum manufacturers in the United
States. Outside sources estimate that Wrigley brands account for
approximately 50% of the total chewing gum product unit sales in the
United States. The Company's principal competitors in the United
States are the Warner-Lambert Company and RJR Nabisco Holdings Corp.
Wrigley brands are sold in over 140 countries and territories,
although in some cases these markets are relatively small. In most
international markets, there are two or three major competitors and
generally a half dozen or more other companies competing for a share
of the gum market in each instance.
In all markets in which the Company distributes its products,
principal methods of competition are a combination of competitive
profit margins to the trade, superior quality, brand recognition,
product benefit and a fair consumer price.
(xi) Research and development. The Company has for many years
maintained an active in-house research and development program, and
has also contracted outside services for developing and improving
Wrigley products, machinery and operations. In relation to the
Company's consolidated assets, revenues and aggregate operating
expenses, amounts expended in these areas during the last three
fiscal years have not been material.
(xii) Compliance with environmental laws. Compliance with
federal, state and local laws regulating the discharge of materials
into the environment, or otherwise relating to the protection of the
environment, has no material effect on capital expenditures, earnings
or the competitive position of the Company.
(xiii) Employees. As of December 31, 1999, the Company employed
approximately 9,300 persons worldwide.
(d) Financial Information About Foreign and Domestic Operations and
Export Sales.
Information concerning the Company's operations in different
geographic areas for the years ended December 31, 1999, 1998 and 1997
is hereby incorporated by reference from the 1999 Annual Report to
Stockholders, on pages 20 and 21, under the caption "Segment
Information," and on pages 24 and 25 under the caption "Results of
Operations."
Item 2. Properties
The information below relates to the principal properties of the
Company which are primarily devoted to chewing gum production or raw
materials processing. The Company considers the properties listed
below to be in good condition, well maintained and suitable to carry
out the Company's business. All of the chewing gum factories listed
below operated at least one full shift throughout the year, all but
two operated a substantial second shift and eight operated a third
shift for much of the year. All properties are owned by the Company
unless otherwise indicated. The figures given in the table are
approximate.
Floor Area
Property and Location (Square Feet)
CHEWING GUM FACTORIES
Chicago, Illinois 1,279,000
Gainesville, Georgia 495,300
Yorkville, Illinois 225,000(a)
Asquith, N.S.W., Australia 116,700
Salzburg, Austria 22,800
Don Mills, Ont., Canada 135,200
Plymouth, England 282,000
Biesheim, France 417,100
Bangalore, India 40,100
Nairobi, Kenya 79,600
Guangzhou, China, P.R.C. 199,400(b)
Antipolo, Philippines 105,700
Poznan, Poland 215,600
Taipei, Taiwan, R.O.C. 70,500
St. Petersburg, Russia 111,000
RAW MATERIALS PROCESSING FACTORIES
West Chicago, Illinois 40,300
Edison, New Jersey 536,000
Biesheim, France 72,000
OFFICE BUILDING
Wrigley Building, Chicago, Illinois 453,400(c)
(a) Does not include a 170,000 square foot leased warehouse
facility located in Naperville, Illinois.
(b) In China, the Company has a 50 year lease with the Guangzhou
Economic Technological Development Zone for the land upon which the
factory is located.
(c) This building is the Company's principal non-manufacturing
property and houses the offices of the Company's corporate
headquarters. In 1999, the Company's offices occupied approximately
159,000 of the 453,400 square feet of rentable space in the building.
In the case of each factory listed above, the information also
includes some office and warehouse facilities. Also, the Company
maintains primarily leased branch sales offices and warehouse
facilities in the United States and abroad.
Item 3. Legal Proceedings
None.
Item 4. Submission of Matters to a Vote of Security Holders
None.
Executive Officers of the Registrant
All officers are elected for a term which ordinarily expires on the date of the meeting of the Board of Directors following the
Annual Meeting of Stockholders. The positions and ages listed below are as of January 31, 2000. There were no arrangements or
understandings between any of the officers and any other person(s) pursuant to which such officers were elected.
Effective
Name and Age Position(s) with Registrant Date(s)
William Wrigley, Jr., 36 President and Chief Executive Officer since 1999
Vice President 1991-1999
Assistant to the President 1985-1992
John F. Bard, 58 Executive Vice President since 1999
Senior Vice President 1991-1999
Peter R. Hempstead, 48 (a) Senior Vice President-International since 1999
Ronald V. Waters, 47 (b) Senior Vice President and Chief Financial Officer since 1999
Martin J. Geraghty, 63 Group Vice President-Worldwide Manufacturing since 1999
Senior Vice President-Manufacturing 1989-1999
Donald E. Balster, 55 Vice President-Manufacturing since 1999
Vice President-Production 1994-1999
Senior Director-U.S. Production 1991-1994
Gary R. Bebee, 53 Vice President-Customer Marketing since 1993
Assistant Vice President-Marketing 1989-1993
David E. Boxell, 58 Vice President-Personnel since 1992
Shaun Kim, 56 Vice President-Engineering since 1994
Senior Director-Engineering 1988-1994
Dennis R. Mally, 57 Vice President-Information Services since 1995
Director-Information Services 1993-1994
Dushan Petrovich, 46 Vice President-Organizational Development since 1999
Vice President-Controller 1996-1999
Vice President-Treasurer 1993-1995
Treasurer 1992
Wm. M. Piet, 56 Vice President-Corporate Affairs since 1988
Corporate Secretary 1984-1998
Assistant to the President since 1995
John A. Schafer, 58 Vice President-Purchasing since 1991
Philip G. Schnell, 55 Vice President-Research & Development since 1994
Senior Director-Research & Development 1988-1994
Christafor E. Sundstrom, 51 Vice President-Product and Technical Development since 1999
Vice President-Corporate Development 1988-1999
Philip G. Hamilton, 59 Vice President-International since 1993
Managing Director, The Wrigley
Company Limited, England since 1986
Jon Orving, 50 Vice President-International since 1993
Managing Director, Wrigley
Scandinavia AB, Sweden since 1983
Stefan Pfander, 56 Managing Director-Europe since 1996
Vice President-International since 1992
Co-Managing Director of Wrigley
GmbH, Munich, Germany since 1981
Reuben Gamoran, 39 (c) Controller since 1999
Controller-International 1996-1999
Philip C. Johnson, 54 Senior Director, Benefits & Compensation since 1995
Assistant Vice President-Personnel 1991-1995
Howard Malovany, 49 (d) Secretary and General Counsel since 1998
Alan J. Schneider, 54 (e) Treasurer since 1996
(a) Mr. Hempstead joined the Company in 1999 as Senior Vice
President-International assuming responsibility for the international
sales and marketing organization. Before joining the Company, Mr.
Hempstead had a 23 year tenure at Procter & Gamble Company, most
recently as Vice President of their European pharmaceutical
operations in the U.K., Ireland, Holland, Italy and Spain.
(b) Mr. Waters joined the Company in 1999 as Senior Vice
President and Chief Financial Officer assuming responsibility for the
Company's accounting, treasury, tax, internal audit and strategic
planning functions. Before joining the Company, Mr. Waters spent the
last seven years with The Gillette Company, most recently as
Corporate Controller.
(c) Mr. Gamoran was elected Controller in 1999 with
responsibility for the Company's accounting function. Prior to being
elected Controller, he held various positions during his 14 years
with the Company, most recently as Controller-International.
(d) Mr. Malovany joined the Company in 1996 assuming
responsibility for the Company's legal function. Before joining the
Company, from 1993-1996 Mr. Malovany was Secretary and Senior Counsel
of Outboard Marine Corporation, a manufacturer and distributor of
recreational marine products.
(e) Mr. Schneider joined the Company in August 1996 as
Treasurer with responsibility for treasury and tax functions. He
previously served CBI Industries, Inc. of Oak Brook, Illinois, an
international manufacturer of industrial gases and metal plate
surfaces, as Vice President-Finance and Chief Financial Officer,
having joined that company in 1987 and serving in various financial
capacities over the years, including Controller and Vice President.
At the meeting of the Board of Directors immediately following
the annual stockholders meeting of March 6, 2000, all officers set
forth in the schedule above were re-elected for a one-year term to
their positions in the Company.
PART II
Item 5. Market for Registrant's Common Stock, Dividend and
Stockholder
Information
At December 31, 1999, the Company had two classes of stock
outstanding: Common Stock, listed on both the New York and Chicago
Stock Exchanges, and Class B Common Stock, for which there is no
trading market. Shares of the Class B Common Stock were issued by
the Company on April 11, 1986 to stockholders of record on April 4,
1986. Class B Common Stock is entitled to ten votes per share, is
subject to restrictions on transfer or other disposition and is at
all times convertible, on a share-for-share basis, into shares of
Common Stock.
As of January 31, 2000, there were 38,138 stockholders of record
holding Common Stock and 3,594 stockholders of record holding Class
B Common Stock. Regular quarterly dividends and any extra cash
dividends as may be deemed appropriate, which are identical on both
Common Stock and Class B Common Stock, are declared at scheduled
meetings of the Board of Directors and announced immediately upon
declaration. Information regarding the high and low quarterly sales
prices for the Common Stock on the New York Stock Exchange, and
dividends declared per share on a quarterly basis for both classes of
stock, for the two-year period ended December 31, 1999, is set forth
in the Company's 1999 Annual Report to Stockholders, on page 27,
under the captions "Market Prices" and "Dividends" and is
incorporated herein by reference.
Item 6. Selected Financial Data
An eleven-year summary of selected financial data for the
Company is set forth in the Company's 1999 Annual Report to
Stockholders under the following captions and page numbers:
"Operating Data" and "Other Financial Data", on pages 28 and 29, and
is incorporated herein by reference.
Item 7. Management's Discussion and Analysis of Financial Condition
and Results of Operations
Management's discussion and analysis of results of operations
and financial condition, including a discussion of liquidity and
capital resources, is set forth in the Company's 1999 Annual Report
to Stockholders on pages 24 through 26 and is incorporated herein by
reference.
Item 7A. Quantitative and Qualitative Disclosures About Market Risk
Disclosure about market risk is set forth on page 26 of the
Company's 1999 Annual Report to Stockholders under the heading
"Market Risk" and is incorporated herein by reference.
Item 8. Financial Statements and Supplementary Data
The Company's audited consolidated financial statements,
accounting policies and notes to consolidated financial statements,
with the report of independent auditors, at December 31, 1999 and
1998 and for each of the three years in the period ended December 31,
1999 are set forth in the Company's 1999 Annual Report to
Stockholders on pages 9 through 23 and selected unaudited quarterly
data-consolidated results, for the years ended December 31, 1999 and
1998 are set forth in the Company's 1999 Annual Report to
Stockholders on page 27, and all such pages are incorporated herein
by reference.
Item 9. Changes in and Disagreements with Accountants on Accounting
and
Financial Disclosure
None.
PART III
Item 10. Directors and Executive Officers of the Registrant
Information regarding directors and nominees for directorship is
set forth in the Company's definitive Proxy Statement, dated February
4, 2000, for the Annual Meeting of Stockholders on March 6, 2000, on
pages 2 and 3, under the caption "Election of Directors" and is
incorporated herein by reference. For information concerning the
Company's executive officers, see "Executive Officers of the
Registrant" set forth in Part I hereof.
Item 11. Executive Compensation
Information regarding the compensation of directors and
executive officers is set forth in the Company's definitive Proxy
Statement, dated February 4, 2000, for the Annual Meeting of
Stockholders on March 6, 2000, on pages 6 and 7, and 11 through 18
under the general captions "Compensation of Directors" and "Executive
Compensation", respectively, and is incorporated herein by reference.
Item 12. Security Ownership of Certain Beneficial Owners and
Management
Information regarding security ownership of certain beneficial
owners, of all directors and nominees, of the named executive
officers, and of directors and executive officers as a group, is set
forth in the Company's definitive Proxy Statement, dated February 4,
2000, for the Annual Meeting of Stockholders on March 6, 2000, on
pages 4 through 6 under the captions "Security Ownership of Directors
and Executive Officers" and "Security Ownership of Certain Beneficial
Owners" and is incorporated herein by reference.
Item 13. Certain Relationships and Related Transactions
Information regarding certain relationships and related
transactions is hereby incorporated by reference from the Company's
definitive Proxy Statement, dated February 4, 2000, for the Annual
Meeting of Stockholders on March 6, 2000 under the following caption
and page number: "Security Ownership of Certain Beneficial Owners",
on page 5, regarding the Offield family and Mr. Wrigley, Jr.
PART IV
Item 14. Exhibits, Financial Statement Schedule, and Reports on Form
8-K
(1) 1,2. Financial Statements and Financial Statement Schedule
The data listed in the accompanying Index to Financial
Statements and Financial Statement Schedule, on page F-1 hereof, is
filed as part of this Report.
3. Exhibits
The exhibits listed in the accompanying Index to Exhibits, on
page F-3 hereof, are filed as part of this Report or are incorporated
by reference herein as indicated thereon.
(b) Not Applicable.
(c) Exhibits are attached hereto.
(d) See (a) 1, 2 above.
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the
Securities Exchange Act of 1934, as amended, the Registrant has duly
caused this Form 10-K Report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Date: March 24, 2000 WM. WRIGLEY JR. COMPANY
(Registrant)
By: /s/ RONALD V. WATERS
Ronald V. Waters
Senior Vice President and
Chief Financial Officer
Pursuant to the requirements of the Securities Exchange Act of
1934, as amended, this Report on Form 10-K has been signed below by
the following persons on behalf of the Registrant and in the
capacities and on the dates indicated.
Signature Title
* President, Chief
William Wrigley, Jr. Executive Officer,
Director
/s/ RONALD V. WATERS Senior Vice President and
Ronald V. Waters Chief Financial Officer
/s/ REUBEN GAMORAN Controller
Reuben Gamoran (Principal Accounting Officer)
* Director
Thomas A. Knowlton
* Director
Penny Pritzker
* Director
Melinda R. Rich
* Director *By /s/ HOWARD MALOVANY
Steven B. Sample Howard Malovany
Attorney-in-Fact
* Director
Alex Shumate Date: March 24, 2000
* Director
Richard K. Smucker
Exhibit 23.
CONSENT OF INDEPENDENT AUDITORS
We consent to the incorporation by reference in this Annual Report on
Form 10-K of Wm. Wrigley Jr. Company of our report dated January 24,
2000, included in the 1999 Annual Report to Stockholders of Wm.
Wrigley Jr. Company.
Our audits also included the financial statement schedule of Wm.
Wrigley Jr. Company listed in Item 14(a). This schedule is the
responsibility of the Company's management. Our responsibility is to
express an opinion based on our audits. In our opinion, the
financial statement schedule referred to above, when considered in
relation to the basic financial statements taken as a whole, presents
fairly in all material respects the information set forth therein.
We also consent to the incorporation by reference in the Registration
Statements pertaining to the Special Investment and Savings Plan for
Wrigley Employees (33-15061 (1987) and 33-43738 (1991)), the Wm.
Wrigley Jr. Company Management Incentive Plan (33-22788 (1988)) and
the 1997 Management Incentive Plan (333-48715 (1998)), respectively,
of our report dated January 24, 2000, with respect to the
consolidated financial statements and consolidated financial
statement schedule of Wm. Wrigley Jr. Company included or
incorporated by reference in this Annual Report on Form 10-K for the
year ended December 31, 1999.
/s/ERNST & YOUNG LLP
Ernst & Young LLP
Chicago, Illinois
March 24, 2000
WM. WRIGLEY JR. COMPANY
INDEX TO FINANCIAL STATEMENTS
AND FINANCIAL STATEMENT SCHEDULES
(Item 14(a))
Reference
Form Annual Report
10-K to
Report Stockholders
Data incorporated by reference from the 1999 Annual Report
to Stockholders of Wm. Wrigley Jr. Company:
Consolidated balance sheet at December 31, 1999 and 1998...... 10-11
For the years ended December 31, 1999, 1998 and 1997:
Consolidated statement of earnings........................ 9
Consolidated statement of cash flows...................... 12
Consolidated statement of stockholders' equity
including comprehensive income.................... 13
Accounting policies and notes to consolidated financial
statements........................................ 14-21
Consolidated financial statement schedule for the years ended
December 31, 1999, 1998 and 1997:
Valuation and qualifying accounts.............................. F-2
All other schedules are omitted since the required information is not
present or is not present in amounts sufficient to require submission of the
schedule, or because the information required is included in the
consolidated financial statements or accounting policies and notes thereto.
With the exception of the pages listed in the above index and the Items
referred to in Items, 1,5,6,7, and 8 of this Form 10-K Report, the 1999
Annual Report to Stockholders is not to be deemed filed as part of this Form
10-K Report.
F-1
WM. WRIGLEY JR. COMPANY
Schedule II - Valuation and Qualifying Accounts
Years ended December 31, 1999, 1998 and 1997
(In Thousands)
Column A Column B Column C Column D Column E
Additions
Balance at Charged to
Beginning Costs and Charged to Balance at
Description of Period Expenses Other Accounts Deductions(A) End of Period
1999
Allowance for
doubtful accounts... $7,564 $4,685 -- $3,055 $9,194
1998:
Allowance for
doubtful accounts... $7,524 1,456 -- 1,416 7,564
1997:
Allowance for
doubtful accounts... $8,538 1,434 -- 2,448 7,524
(A) Uncollectable accounts written-off, net of recoveries.
F-2
WM. WRIGLEY JR. COMPANY AND WHOLLY OWNED ASSOCIATED COMPANIES
INDEX TO EXHIBITS
(Item 14(a))
Exhibit
Number Description of Exhibit
Proxy Statement of the Registrant, dated February 4, 2000,
for the March 6, 2000 Annual Meeting of Stockholders, is
hereby incorporated by reference.
3. Articles of Incorporation and By-laws.
3(a). Restated Certificate of Incorporation of the Registrant.
Incorporated by reference to Exhibit 3(a) of the Company's
Annual Report and Form 10-K filed for the fiscal year ended
December 31, 1992.
3(b). By-laws of the Registrant. Incorporated by reference to
Exhibit 3(a) of the Company's Form 10-K filed for the
fiscal year ended December 31, 1992.
10. Material Contracts
10(a). Non-Employee Directors' Death Benefit Plan. Incorporated
by reference to the Company's Form 10-K filed for the
fiscal year ended December 31, 1994.
10(b). Senior Executive Insurance Plan. Incorporated by reference
to the Company's Form 10-K filed for the fiscal year ended
December 31, 1995.
10(c). Supplemental Retirement Plan. Incorporated by reference to
the Company's Form 10-K filed for the fiscal year ended
December 31, 1994.
10(d). Deferred Compensation Plan for Non-Employee Directors.
Incorporated by reference to the Company's Form 10-K filed
for the fiscal year ended December 31, 1995.
10(e). Non-Employee Directors' Stock Retirement Plan.
Incorporated by reference to the Company's Form 10-K filed
for the fiscal year ended December 31, 1995.
10(f). Wm. Wrigley Jr. Company 1997 Management Incentive Plan.
Incorporated by reference to the Company's Quarterly Report
on Form 10-Q for the fiscal quarter ended September 30,
1997.
13. 1999 Annual Report to Stockholders of the Registrant.
21. Subsidiaries of the Registrant.
23. Consent of Independent Auditors. (See page 10)
24. Power of Attorney.
27. Financial Data Schedule.
99. Forward-Looking Statements.
Copies of Exhibits are not attached hereto, but the Registrant will
furnish them upon request and upon payment to the Registrant of a fee
in the amount of $20.00 representing reproduction and handling costs.
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