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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, 1996
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, 1997, there were outstanding 92,047,710
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 $3,683,278,078. As of January 31,
1997, there were outstanding 24,129,664 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, 1997 (based upon the closing price of the stock on
the New York Stock Exchange on such date) would have been
approximately $4,160,831,567. 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 5, 1997, for the March 5, 1997 Annual Meeting of
Stockholders, and of the 1996 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. The 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, the above 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, 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 1996 were, in alphabetical order, Australia, Canada,
China, France, Germany, Philippines, Poland, Russia, Taiwan
and the United Kingdom.
Finished chewing gum is manufactured in three 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.
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, electronically, telephone or telefax 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. Although additional flavors were
introduced for some product lines in various markets, there
were no significant new product introductions during 1996.
(iii) Sources and availability of raw materials.
Natural and synthetic raw materials blended to make chewing
gum base are 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 and available
on the open market.
(iv) Patents and trademarks. The Company holds numerous
patents relating to packaging, manufacturing processes and
product formulas. Approximately two dozen 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 2016.
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 more than 4,000 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.
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 research and development 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 1996, the Company employed
approximately 7,800 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,
1996, 1995 and 1994 is hereby incorporated by reference from
the 1996 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 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)
FINISHED GUM FACTORIES
Chicago, Illinois............................. 1,255,700
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............................. 310,000
Biesheim, France.............................. 626,100
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.............................. 33,300
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.
(d) This building is the Company's principal
non-manufacturing property and houses the offices of the Company's
corporate headquarters. In 1996, 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 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 December 31, 1996. 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, 63 President and Chief Executive Officer since 1961
Douglas S. Barrie, 63 Group Vice President since 1996
Group Vice President-International 1984-1995
Ronald O. Cox, 58 Group Vice President since 1996
Group Vice President-Marketing 1985-1995
John F. Bard, 55 Senior Vice President since 1991
Martin J. Geraghty, 60 Senior Vice President-Manufacturing since 1989
William Wrigley, Jr., 33 Vice President since 1991
Assistant to the President 1985-1992
Donald E. Balster, 52 Vice President-Production since 1994
Senior Director-U.S. Production 1991-1994
Gary Bebee, 50 Vice President-Customer Marketing since 1993
Assistant Vice President-Marketing 1989-1993
David E. Boxell, 55 Vice President-Personnel since 1992
Assistant Vice President-Personnel 1980-1992
Susan S. Fox, 38 Vice President-Consumer Marketing since 1993
Assistant Vice President-Marketing 1989-1993
H. J. Kim, 53 Vice President-Engineering since 1994
Senior Director-Engineering 1988-1994
Dushan Petrovich, 43 Vice President-Controller since 1996
Vice President-Treasurer 1993-1995
Treasurer 1992
Wm. M. Piet, 53 Vice President-Corporate Affairs since 1988
Corporate Secretary since 1984
Assistant to the President Since 1995
John A. Schafer, 56 Vice President-Purchasing since 1991
Philip G. Schnell, 53 Vice President-Research & Development since 1994
Senior Director-Research &
Development 1988-1994
Christafor E. Sundstrom, 48 Vice President-Corporate Development since 1988
Jaime E. Dy-Liacco, 65 Vice President-International since 1980
President-Wrigley & Co., Ltd., Japan since 1981
President-Wrigley Philippines, Inc. since 1981
Philip G. Hamilton, 56 Vice President-International since 1993
Managing Director, The Wrigley
Company Limited, England since 1986
Jon Orving, 47 Vice President-International since 1993
Managing Director, Wrigley
Scandinavia AB, Sweden since 1983
Stefan Pfander, 53 Managing-Director-Europe since 1996
Vice President-International since 1992
Co-Managing Director of Wrigley
GmbH, Munich, Germany since 1981
Dennis R. Mally, 55 (a) Senior Director-Information Services since 1995
Director-Information Services 1993-1994
Philip C. Johnson, 51 Senior Director, Benefits &
Compensation since 1995
Assistant Vice President-Personnel 1991-1995
Alan J. Schneider, 51 (b) Treasurer since 1996
John H. Sutton, 65 General Manager-Converting Division since 1979
Dennis J. Yarbrough, 53 Controller-Corporate Accounting since 1996
Corporate Controller since 1981
(a) 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.
(b) Mr. Schneider joined the Company in August, 1996 as
Treasurer with responsibility for treasury, tax and credit
functions. He previously served CBI Industries, Inc. of Oak Brook,
Illinois, an international manufacturer of gases and metal plate
surfaces, as Vice President-Finance and Chief Executive 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 5, 1997, all
officers set forth in the schedule above were re-elected for a one-
year term to their positions in the Company, except the title of
Mr. Mally was changed to Vice President-Information Services from
Senior Director-Information Services. On February 7, 1997, Mr.
Yarbrough, Controller-Corporate Accounting, announced he was taking
early retirement effective March 31, 1997.
PART II
Item 5. Market for Registrant's Common Stock, Dividend and
Stockholder Information
At December 31, 1996, 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, 1997, there were 34,756 stockholders of
record holding Common Stock and 4,450 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 five-year period
ended December 31, 1996, is set forth in the Company's 1996 Annual
Report to Stockholders, on page 24, under the captions "Market
Prices" and "Dividends" and is incorporated herein by reference.
Item 6. Selected Financial Data
Five-year summaries of selected financial data for the Company
and discussions of accounting changes which materially affect the
comparability of the selected financial data are set forth in the
Company's 1996 Annual Report to Stockholders under the following
captions and page numbers: "Operating Data" and "Other Financial
Data", on page 22; "Income Taxes", on page 26; and "Postretirement
Benefits", on page 18 and are 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 1996 Annual Report
to Stockholders, on pages 25 and 26 and is incorporated herein by
reference.
Item 8. Financial Statements and Supplementary Data
The Company's consolidated financial statements, 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, 1996
and 1995 are set forth in the Company's 1996 Annual Report to
Stockholders, on pages 7 through 21 and 24, respectively and 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 5, 1997, for the Annual Meeting of Stockholders on March
5, 1997, on pages 2 through 4, 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 5, 1997, for the Annual Meeting of
Stockholders on March 5, 1997, on pages 7, and 15 through 22 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 5, 1997, for the Annual Meeting of Stockholders on March
5, 1997, on pages 5, 6 and 7 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 5, 1997, for the Annual
Meeting of Stockholders on March 5, 1997 under the following
captions and page numbers: "Election of Directors", on page 2,
regarding Mr. William Wrigley and Mr. William Wrigley, Jr. and
"Security Ownership of Certain Beneficial Owners", on page 6,
regarding the Offield family and Mr. Wrigley.
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) 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 27, 1997 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)
Vice President-Controller
Dushan Petrovich (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
Thomas A. Knowlton Wm. M. Piet
Attorney-in-Fact
Director
Penny Pritzker Date: March 27, 1997
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, 1997, included in the 1996 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, 1997, 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, 1996.
/s/ ERNST & YOUNG LLP
Ernst & Young LLP
Chicago, Illinois
March 27, 1997
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 1996 Annual Report
to Stockholders of Wm. Wrigley Jr. Company:
Consolidated balance sheet at December 31, 1996 and 1995........ 8-9
For the years ended December 31, 1996, 1995 and 1994:
Consolidated statement of earnings.......................... 7
Consolidated statement of cash flows........................ 10
Consolidated statement of stockholders' equity.............. 11
Accounting policies and notes to consolidated financial 12-19
statements..................................................
Consolidated financial statement schedule for the years ended
December 31, 1996, 1995 and 1994:
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 1996 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, 1996, 1995 and 1994
(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
1996:
Allowance for
doubtful accounts... $9,060 2,080 2,602 8,538
1995:
Allowance for
doubtful accounts... $6,645 2,754 339 9,060
1994:
Allowance for
doubtful accounts... $4,407 2,578 340 6,645
(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 5, 1997,
for the March 5, 1997 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). 1996 Executive Incentive Compensation Plan.
10(g). Wm. Wrigley Jr. Company Management Incentive Plan and the
various programs thereunder. Incorporated by reference to
the Company's Form 10-K filed for the fiscal year ended
December 31, 1994, except for sub-item (i) to the Exhibit
10(g) which is incorporated by reference to the Company's
Form 10-K filed for the fiscal year ended December 31, 1995.
(i) Executive Incentive Compensation Deferral Program
(ii) Long-Term Stock Grant Program
(iii) Stock Award Program
(iv) Alternate Investment and Savings Program
(v) 1988 Stock Option Program
13. 1996 Annual Report to Stockholders of the Registrant.
21. Subsidiaries of the Registrant.
23. Consent of Independent Auditors. (See page 11.)
24. Power of Attorney.
99. Forward-Looking Statements.
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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.