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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, 1995
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
Midwest 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. [ ]
As of March 13, 1996, there were outstanding 91,616,728 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 such date) held by non-affiliates was
approximately $3,681,880,010. As of March 13, 1996, there were
outstanding 24,603,761 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 March 13, 1996 (based upon the closing price of the stock on the
New York Stock Exchange on such date) would have been approximately
$4,171,371,865. 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.
Certain sections of the Registrant's definitive Proxy
Statement, dated February 6, 1996, for the March 6, 1996 Annual
Meeting of Stockholders and of the 1995 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, and in October, 1927, was reincorporated under
Delaware law.
Throughout its history, the Company has concentrated on one
principal line of business: the manufacturing and marketing of
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.
(c) Narrative Description of Business.
(1) Business conducted. Following is a description of the
business conducted and intended to be conducted by the Company and
its wholly-owned associated companies (the Company):
(i) Principal products, markets and methods of
distribution. The Company's principal business is the
manufacture and sale of 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; and EXTRA sugarfree chewing gum,
containing NUTRASWEET brand sweetener, available in four
flavors and as bubble gum.
Except for BIG RED, which has limited availability
overseas, and WINTERFRESH, which is not distributed overseas
as a brand, these Wrigley brands are also commonly available
in many international markets. Additional brands manufactured
and marketed abroad are: ARROWMINT, COOL CRUNCH, DULCE 16,
JUICY FRUIT and P.K, chewing gums in sugar coated pellet form,
FREEDENT and ORBIT sugarfree gums in various flavors,
sugarfree WRIGLEY'S SPEARMINT, DOUBLEMINT AND JUICY FRUIT and
HUBBA BUBBA in various flavors, BIG BOY, and BIG G, all bubble
gum products.
The Company's ten largest markets outside of the United
States in 1995 were Australia, Canada, Czech and Slovak
Republics, China, France, Germany, Philippines, Russia, Taiwan
and the United Kingdom.
Finished chewing gum is manufactured in four factories in
the United States and eleven factories in other countries.
Three domestic wholly owned associated companies manufacture
products other than finished chewing gum. Amurol Confections
Company, in addition to manufacturing and marketing children's
bubble gum items including BIG LEAGUE CHEW, BUBBLE TAPE and
other uniquely packaged confections, 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, Brazil 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 and, as a small portion of its business,
also manufactures flavorings and other ingredients for
food-related industries.
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
35% of the Company's domestic printed and other wrapping
supplies.
The Company markets chewing gum primarily through
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 or telephone and are 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 overseas markets, a variety of
sugarfree products were introduced or added to existing
product lines in 1995. Sugarfree WRIGLEY'S SPEARMINT,
DOUBLEMINT AND JUICY FRUIT were introduced in Russia, Ukraine
and Croatia in stick form. In East Europe EXTRA in mentholmint
flavored tab form and ORBIT WINTERFRESH in stick form were
introduced in many markets. In Australia, New Zealand, the
Middle East and Egypt EXTRA in spearmint and peppermint
flavors in pellet form were introduced. EXTRA pellet in
chlorophyll, fruit and menthol flavors were added to the
product line in France, and in cherry and peach flavors in tab
form in Canada. EXTRA, in spearmint and peppermint flavors
and EXTRA WINTERFRESH in stick form were introduced in Taiwan
and in chlorophyll and menthol flavors in Belgium. ORBIT
pellets in peppermint and fruit flavors were introduced in
Scandinavia and Israel and in peppermint and menthol flavors
in Spain.
(iii) Sources and availability of raw materials.
Natural and synthetic raw materials blended to make chewing
gum base are readily available from private contractors and in
the open market.
Sugar, corn syrup, flavoring oils 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 on the open
market and are readily available.
(iv) Patents and trademarks. The Company holds numerous
patents relating to packaging, manufacturing processes and
product formulas. Approximately a dozen patents relating to
product formula and sweetener encapsulation, primarily for
sugarfree gum, are deemed of material significance to the
Company. Most of these patents expire in the countries in
which they are registered at various times through the year
2015.
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,
although the combined second and third quarters generally
contribute more than half of the Company's sales.
(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 approximately 4,500 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.
Wrigley brands are sold in over 120 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 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. During 1995, the Company employed
approximately 7,300 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,
1995, 1994 and 1993 is hereby incorporated by reference from
the 1995 Annual Report to Stockholders, on page 19, under the
caption "Operations by Geographic Areas," and on page 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 finished gum
factories listed below operated at least one full shift throughout
the year, all but one operated a substantial second shift and three
operated a third shift for much of the year. All properties are
owned in fee by the Company unless otherwise indicated. The
figures given in the table are approximate.
Floor Area
Property and Location (Square Feet)
FINISHED GUM FACTORIES
Chicago, Illinois............................... 1,255,700
Santa Cruz, California.......................... 385,500
Gainesville, Georgia............................ 461,000
Yorkville, Illinois............................. 225,000(a)
Asquith, N.S.W., Australia...................... 149,000
Salzburg, Austria............................... 22,600
Don Mills, Ont., Canada......................... 138,800
Plymouth, England............................... 302,000
Biesheim, France................................ 512,000
Nairobi, Kenya.................................. 35,000
Guangzhou, China, P.R.C ...................... 69,800(b)
Manila, Philippines .......................... 100,700(c)
Taipei, Taiwan, R.O.C........................... 62,300
Bangalore, India ............................... 30,700
Poznan, Poland ................................. 110,000
RAW MATERIALS PROCESSING FACTORIES
Edison, New Jersey.............................. 536,000
West Chicago, Illinois.......................... 40,300
Biesheim, France................................ 76,000
OFFICE BUILDING
Wrigley Building, Chicago, Illinois .......... 453,400(d)
(a) Does not include a 170,000 square foot warehouse facility
located in West 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) In the Philippines, the Laurel-Langley Agreement expired
on May 27, 1975 and, under the terms of the Philippine
Constitution, foreign firms were required to divest themselves of
their land sites (but not the structures or improvements thereon).
Consequently, in December, 1975, Wrigley Philippines, Inc. donated
its land site, but not the buildings thereon, by deed to the
Philippine Rural Reconstruction Movement, a non-stock, non-profit
organization with no government affiliation, on a lease-back
arrangement for a 25-year term with an option to renew for an
additional 25 years.
(d) This building is the Company's principal
non-manufacturing property and houses the offices of the Company's
corporate headquarters. In 1995, the Company's offices occupied
approximately 132,000 of the 453,400 square feet of rentable space
in the building.
In the case of each factory listed above, there are also
included some offices and warehouse facilities. Also, the Company
maintains 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 elected officer positions are held for a one-year term.
The positions and ages listed below are as of December 31, 1995.
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, 62 President and Chief Executive Officer since 1961
R. Darrell Ewers, 62(a) Executive Vice President 1984-1995
Douglas S. Barrie, 62 Group Vice President-International since 1984
Ronald O. Cox, 57 Group Vice President-Marketing since 1985
John F. Bard, 54(b) Senior Vice President since 1991
Martin J. Geraghty, 59 Senior Vice President-Manufacturing since 1989
William Wrigley, Jr., 32 Vice President since 1991
Assistant to the President 1985-1992
Donald E. Balster, 51 Vice President-Production since 1994
Senior Director-U.S. Production 1991- 1994
Director-Manufacturing Administration 1990-1991
Gary Bebee, 49 Vice President-Customer Marketing since 1993
Assistant Vice President-Marketing 1989-1993
David E. Boxell, 54 Vice President-Personnel since 1992
Assistant Vice President-Personnel 1980-1992
Susan S. Fox, 37 Vice President-Consumer Marketing since 1993
Assistant Vice President-Marketing 1989-1993
H. J. Shaun Kim, 52 Vice President-Engineering since 1994
Senior Director-Engineering 1988-1994
Dushan Petrovich, 42 Vice President-Treasurer since 1993
Treasurer 1992
Associate Treasurer 1991
Corporate Accounting and
Control Manager 1986-1990
Wm. M. Piet, 52 Vice President-Corporate Affairs since 1988
Corporate Secretary since 1984
Assistant to the President Since 1995
John A. Schafer, 55 Vice President-Purchasing since 1991
Assistant Vice President-Purchasing 1985-1991
Philip G. Schnell, 52 Vice President-Research & Development since 1994
Senior Director-Research &
Development 1988-1994
Christafor E. Sundstrom, 47 Vice President-Corporate Development since 1988
Jaime E. Dy-Liacco, 64 Vice President-International since 1980
President-Wrigley & Co., Ltd., Japan since 1981
President-Wrigley Philippines, Inc. since 1981
Philip G. Hamilton, 55 Vice President-International since 1993
Managing Director, The Wrigley
Company Limited, England since 1986
Jon Orving, 46 Vice President-International since 1993
Managing Director, Wrigley
Scandinavia AB, Sweden since 1983
Stefan Pfander, 52 Vice President-International since 1992
Co-Managing Director of Wrigley
GmbH, Munich, Germany since 1981
Dennis R. Mally, 54(c) Senior Director-Information Services since 1995
Director-Information Service s 1993-1994
Philip C. Johnson, 50 Senior Director, Benefits &
Compensation since 1995
Assistant Vice President-Personnel 1991-1995
John H. Sutton, 64 General Manager-Converting Division since 1979
Dennis J. Yarbrough, 52 Corporate Controller since 1981
At the meeting of the Board of Directors immediately following
the annual stockholders' meeting of March 6, 1996, all officers set
forth in the schedule above were re-elected for a one-year term to
their positions in the Company except Mr. Ewers. Additionally, the
titles of Messrs. Barrie and Cox were each changed to Group Vice
President from Group Vice President-International and Group Vice
President-Marketing, respectively.
(a) Mr. Ewers retired as Executive Vice President on August
31, 1995.
(b) Mr. Bard joined the Company in January 1991. He
previously served as President and Chief Operating Officer and as
a Director of Tambrands, Inc. of Lake Success, New York, having
joined that company in 1985 as Executive Vice President.
(c) Mr. Mally joined the Company in 1993 assuming
responsibility for the Company's worldwide information systems.
Before joining the Company, from 1989 to 1991 Mr. Mally was Vice
President Business Operations with The Cross Company in Fraser,
Michigan, a manufacturer of metal cutting and assembly machines.
Following the 1991 acquisition of The Cross Company by Giddings &
Lewis, Mr. Mally served as Vice President Systems and Quality of
its Integrated Automation Division in Fraser, Michigan.
PART II
Item 5. Market for Registrant's Common Stock and Related
Stockholder Matters
At December 31, 1995, the Company had two classes of stock
outstanding: Common Stock, listed on both the New York and Midwest
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 March 13, 1996 there were 30,566 stockholders of record
holding Common Stock and 4,684 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, is hereby incorporated by reference from the
Company's 1995 Annual Report to Stockholders, on page 24, under the
captions "Market Prices" and "Dividends."
Item 6. Selected Financial Data
Summaries of selected financial data for the Company and
discussions of accounting changes which materially affect the
comparability of the selected financial data are hereby
incorporated by reference for the five-year period 1991 through
1995 from the Company's 1995 Annual Report to Stockholders under
the following captions and page numbers: "Operating Data" and
"Other Financial Data", on pages 22 and 23; "Income Taxes", on page
26; and "Postretirement Benefits", on page 18.
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 hereby incorporated by reference from the
Company's 1995 Annual Report to Stockholders, on pages 25 and 26.
Item 8. Financial Statements and Supplementary Data
Consolidated financial statements of the Company at December
31, 1995 and 1994 and for each of the three years in the period
ended December 31, 1995, accounting policies and notes to
consolidated financial statements, with the report of independent
auditors, and selected unaudited quarterly data -- consolidated
results for the years ended December 31, 1995 and 1994 are hereby
incorporated by reference from the Company's 1995 Annual Report to
Stockholders, on pages 8 through 21 and 24, respectively.
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 incorporated herein by reference from the Company's definitive
Proxy Statement, dated February 6, 1996, for the Annual Meeting of
Stockholders on March 6, 1996, on pages 3 through 5, under the
caption "Election of Directors". For information concerning the
Company's executive officers, see "Executive Officers of the
Registrant " set forth in Part I hereof.
Information regarding disclosure of late filers pursuant to
Item 405 of Regulation S-K is incorporated herein by reference from
the Company's definitive Proxy Statement dated February 6, 1996,
for the Annual Meeting of Stockholders on March 6, 1996, on page 22
under the caption "Compliance with Section 16(a) of the Exchange
Act."
Item 11. Executive Compensation
Information regarding the compensation of directors and
executive officers is incorporated herein by reference from the
Company's definitive Proxy Statement, dated February 6, 1996, for
the Annual Meeting of Stockholders on March 6, 1996, on pages 9,
and 13 through 21 under the general captions "Compensation of
Directors" and "Executive Compensation", respectively.
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
hereby incorporated by reference from the Company's definitive
Proxy Statement, dated February 6, 1996, for the Annual Meeting of
Stockholders on March 6, 1996, on pages 6, 7 and 8 under the
captions "Security Ownership of Directors and Executive Officers"
and "Security Ownership of Certain Beneficial Owners."
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 6, 1996, for the Annual
Meeting of Stockholders on March 6, 1996 under the following
captions and page numbers: "Election of Directors", on page 5,
regarding Mr. William Wrigley and Mr. William Wrigley, Jr.;
"Security Ownership of Certain Beneficial Owners", on page 7 and 8,
regarding Mrs. Edna Jean Offield, Mr. James S. Offield and Mr.
Paxson H. Offield; "Compensation Committee Interlocks and Insider
Participation", on page 21, regarding Mr. William Wrigley; and
"Related Transactions", on page 21 and 22, regarding the Company's
purchase of stock from the Wrigley Memorial Garden Foundation.
PART IV
Item 14. Exhibits, Financial Statement Schedule, and Reports on
Form 8-K
(a) 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) See (a) 3 above.
(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 28, 1996 WM. WRIGLEY JR. COMPANY
(Registrant)
By: /s/ JOHN F. BARD
John F. Bard
Senior Vice President
(Principal 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 Executive Officer,
Director
Senior Vice President
John F. Bard (Principal Financial Officer)
Corporate Controller
Dennis J. Yarbrough (Principal Accounting Officer)
Director
Charles F. Allison III
Director
Douglas S. Barrie
Director
Lee Phillip Bell
Director
Robert P. Billingsley
Director By/s/ WM. M. PIET
Gary E. Gardner Wm. M. Piet
Attorney-in-Fact
Director
Penny Pritzker Date: March 28, 1996
Director
Richard K. Smucker
Director
William Wrigley, Jr.
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
30, 1996, included in the 1995 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 (Form S-8 Nos. 33-43738 and 33-22788)
pertaining to the Special Investment and Savings Plan for Wrigley
Employees and the Wm. Wrigley Jr. Company Management Incentive
Plan, and in the related Prospectuses, of our report dated January
30, 1996, 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, 1995.
/s/ ERNST & YOUNG LLP
Ernst & Young LLP
Chicago, Illinois
March 28, 1996
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 1995 Annual Report
to Stockholders of Wm. Wrigley Jr. Company:
Consolidated balance sheet at December 31, 1995 and 1994........ 10-11
For the years ended December 31, 1995, 1994 and 1993:
Consolidated statement of earnings and retained earnings.... 8
Consolidated statement of cash flows........................ 9
Accounting policies and notes to consolidated financial
statements.................................................. 12-19
Consolidated financial statement schedules for the years ended
December 31, 1995, 1994 and 1993:
II. 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 1995 Annual Report to Stockholders is not to be deemed
filed as part of this report.
WM. WRIGLEY JR. COMPANY
Schedule II - Valuation and Qualifying Accounts
Years ended December 31, 1995, 1994 and 1993
(In Thousands)
Column A Column B Column C Column D Column E
Additions
Balance at Charged to Charged to
Beginning Costs and Other Accounts Deductions- Balance at
Description of Period Expenses Describe Describe(A) End of Period
1995:
Allowance for
doubtful accounts... 6,645 2,754 - 339 9,060
1994:
Allowance for
doubtful accounts... 4,407 2,578 - 340 6,645
1993:
Allowance for
doubtful accounts... 2,357 2,800 - 750 4,407
(A) Uncollectable accounts written-off, net of recoveries.
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 6,
1996, for the March 6, 1996 Annual Meeting of
Stockholders, is hereby incorporatedby reference.
3(a). Restated Certificate of Incorporation of the Registrant.
(Incorporated by reference to the Company's Form 10-K
filed for the fiscal year ended December 31, 1992.)
3(b). By-laws of the Registrant. (Incorporated by reference to
the Company's Form 10-K filed for the fiscal year ended
December 31, 1992.)
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.
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, as
amended.
10(e)*. Non-Employee Directors' Stock Retirement Plan, as
amended.
10(f)*. 1995 Executive Incentive Compensation Plan.
10(g)*. Management Incentive Plan and the various programs
thereunder. (Incorporated by reference to the Company's
Form 10-K for the fiscal year ended December 31, 1994,
except for sub-item (i) to this Exhibit 10(g) which is
filed herewith, as amdended).
(i) Executive Incentive Compensation Deferral
Program, as amended.
(ii) Long-Term Stock Grant Program.
(iii) Stock Award Program.
(iv) Alternate Investment and Savings Program.
(v) 1988 Stock Option Program.
13. 1995 Annual Report to Stockholders of the Registrant.
21. Subsidiaries of the Registrant.
23. Consent of Independent Auditors. (See page 12.)
24. Power of Attorney.
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* Management contract or compensatory plan or arrangement
required to be filed as an exhibit pursuant to Item 14(c)
of the rules governing the filing of this Report.
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.