<PAGE>
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, 1993
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 Regulations 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.
<PAGE>
As of February 18, 1994, there were outstanding 90,639,703
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 $2,663,970,454. As of February
18, 1994, there were outstanding 25,760,786 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 February 18, 1994 (based
upon the closing price of the stock on the New York Stock
Exchange on such date) would have been approximately
$3,073,163,867. 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 8, 1994, for the March 8, 1994 Annual
Meeting of Stockholders and of the 1993 Annual Report to
Stockholders are incorporated by reference into portions of Parts
I, II, III and IV of this Report.
<PAGE>
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 and BIG RED, which account for a majority of the
Company's sales volume; FREEDENT, available in three
flavors, a specially formulated chewing gum which does not
stick to most types of dental work; 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, these six Wrigley brands are also commonly
available in many international markets in various flavors.
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 and BIG BOY, HUBBA BUBBA and BIG G, all
standard bubble gum products.
The Company's ten largest markets outside of the United
States in 1993 were Australia, Canada, China, France,
Germany, Mexico, Philippines, Russia, Taiwan and the United
Kingdom.
*NUTRASWEET is a registered trademark of The NutraSweet
Company for its brand of sweetening ingredient.
<PAGE>
Finished chewing gum is manufactured in four factories
in the United States and nine factories in other countries.
Three domestic wholly owned associated companies
manufacture products other than finished chewing gum. The
Amurol Products Company manufactures and markets primarily
children's bubble gum items including BIG LEAGUE CHEW,
BUBBLE TAPE and other uniquely packaged confections. Amurol
markets HUBBA BUBBA in the United States under a licensing
agreement with the parent company. Various non-gum items,
such as a line of suckers, dextrose candy, liquid gel candy
and hard roll candies are an important part of Amurol's
total business. REED'S individually wrapped hard roll
candies, first introduced in 1893, was acquired by Amurol
Products Company in 1989. Amurol is also more actively
developing export markets, 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 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 1993, EXTRA in chlorophyll and
menthol flavors was introduced in France and was introduced
in spearmint and peppermint flavors in Hong Kong. In
Australia and New Zealand, currant-flavored HUBBA BUBBA was
introduced.
(iii) Sources and availability of raw materials.
Natural gums and rosins and synthetic raw materials blended
to make chewing gum base are readily available from private
contractors and in the open market. The Company has also
developed high quality, totally synthetic bases, all the
components of which are readily available in the open
market.
Sugar, corn syrup, flavoring oils and aspartame are
obtained in the open market, or under contracts, from
suppliers in the United States. 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 2012.
<PAGE>
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 over 5,000 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 49%
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 121 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.
<PAGE>
(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 1993, the Company employed
approximately 6,700 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,
1993, 1992 and 1991 is hereby incorporated by reference from
the 1993 Annual Report to Stockholders, on page 16, under
the caption "Operations by Geographic Areas," and on page 21
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
factories listed below operated at least one full shift
throughout the year and most also operated a substantial second
shift. 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
Naperville, Illinois........................... 122,000
Asquith, N.S.W., Australia..................... 149,000
Salzburg, Austria.............................. 22,600
Don Mills, Ont., Canada........................ 138,800
Plymouth, England.............................. 302,000
Biesheim, France............................... 286,000
Nairobi, Kenya................................. 35,000
Guangzhou, China, P.R.C(a)..................... 69,800
Manila, Philippines(b)......................... 100,700
Taipei, Taiwan, R.O.C.......................... 62,300
<PAGE>
RAW MATERIALS PROCESSING FACTORIES
Edison, New Jersey............................. 536,000
West Chicago, Illinois......................... 40,300
Biesheim, France............................... 76,000
OFFICE BUILDING
Wrigley Building, Chicago, Illinois(c)......... 451,600
(a) 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.
(b) 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.
(c) This building is the Company's principal
non-manufacturing property and houses the offices of the
Company's corporate headquarters. In 1993, the Company's offices
occupied approximately 118,000 of the 451,600 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, all of which are leased for
varying numbers of years.
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, 1993.
There were no arrangements or understandings between any of the
officers and any other person(s) pursuant to which such officers
were elected.
<PAGE>
<TABLE>
Effective
Name and Age Position(s) with Registrant Date(s)
<C> <C> <C>
William Wrigley, 60 President and Chief Executive Officer since 1961
R. Darrell Ewers, 60 Executive Vice President since 1984
Douglas S. Barrie, 60 Group Vice President-International since 1984
Ronald O. Cox, 55 Group Vice President-Marketing since 1985
John F. Bard, 52(a) Senior Vice President since 1991
Martin J. Geraghty, 57 Senior Vice President-Manufacturing since 1989
William Wrigley, Jr., 30 Vice President since 1991
Assistant to the President 1985-1992
Gary Bebee, 47 Vice President-Customer Marketing since 1993
Assistant Vice President-Marketing 1989-1992
David E. Boxell, 52 Vice President-Personnel since 1992
Assistant Vice President-Personnel 1980-1991
Susan S. Fox, 35 Vice President-Consumer Marketing since 1993
Assistant Vice President-Marketing 1989-1992
Dushan Petrovich, 40 Vice President-Treasurer since 1993
Treasurer 1992
Associate Treasurer 1991
Corporate Accounting and
Control Manager 1986-1990
Wm. M. Piet, 50 Vice President-Corporate Affairs since 1988
Corporate Secretary since 1984
John A. Schafer, 53 Vice President-Purchasing since 1991
Assistant Vice President-Purchasing 1985-1991
Christafor E. Sundstrom, 45 Vice President-Corporate Development since 1988
Jaime E. Dy-Liacco, 62 Vice President-International since 1980
President-Wrigley & Co., Ltd., Japan since 1981
President-Wrigley Philippines, Inc. since 1981
Philip G. Hamilton, 53 Vice President-International since 1993
Managing Director, The Wrigley
Company Limited, England since 1986
Jon Orving, 44 Vice President-International since 1993
Managing Director, Wrigley
Scandinavia AB, Sweden since 1983
Stefan Pfander, 50 Vice President-International since 1992
Co-Managing Director of Wrigley
GmbH, Munich, Germany since 1981
Donald E. Balster, 49 Senior Director-U.S. Production since 1991
Director-Manufacturing Administration 1990-1991
Factory Manager 1979-1990
H. J. Kim, 50 Senior Director-Engineering since 1988
Philip G. Schnell, 50 Senior Director-Research &
Development since 1988
John H. Sutton, 62 General Manager-Converting Division since 1979
Dennis J. Yarbrough, 50 Corporate Controller since 1981
</TABLE>
At the meeting of the Board of Directors immediately
following the annual stockholders' meeting of March 8, 1994, all
officers set forth in the schedule above were re-elected for a
one-year term to their positions in the Company, except Donald
E. Balster who was elected to the position of Vice President-
Production.
<PAGE>
(a) John F. 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.
PART II
Item 5. Market for Registrant's Common Stock and Related
Stockholder Matters
At December 31, 1993, 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 February 18, 1994, there were 15,646 stockholders of
record holding Common Stock and 5,132 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 1993 Annual Report
to Stockholders, on page 20, under the captions "Market Prices"
and "Dividends."
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
hereby incorporated by reference from the Company's 1993 Annual
Report to Stockholders under the following captions and page
numbers: "Operating Data" and "Other Financial Data", on page
19; "Income Taxes", on page 13; and "Postretirement Benefits", on
page 17.
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 1993 Annual Report to Stockholders,
on pages 21 and 22.
<PAGE>
Item 8. Financial Statements and Supplementary Data
Consolidated financial statements of the Company at December
31, 1993 and 1992 and for each of the three years in the period
ended December 31, 1993, with the report of independent auditors,
and selected unaudited quarterly data -- consolidated results for
the years ended December 31, 1993 and 1992 are hereby
incorporated by reference from the Company's 1993 Annual Report
to Stockholders, on pages 6 through 18 and 20, 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 8, 1994, for
the Annual Meeting of Stockholders on March 8, 1994, on pages 2
through 4, 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 8,
1994, for the Annual Meeting of Stockholders on March 8, 1994, on
pages 17 and 18 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 8, 1994, for
the Annual Meeting of Stockholders on March 8, 1994, on pages 7,
8 and 9 through 17 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 8, 1994, for the
Annual Meeting of Stockholders on March 8, 1994, on pages 4
through 6 under the captions "Security Ownership of Directors and
Executive Officers" and "Security Ownership of Certain Beneficial
Owners."
<PAGE>
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 8, 1994, for
the Annual Meeting of Stockholders on March 8, 1994 under the
following captions and page numbers: "Election of Directors", on
page 4, regarding Mr. William Wrigley and Mr. William Wrigley,
Jr.; "Security Ownership of Certain Beneficial Owners", on page
6, regarding Mrs. Edna Jean Offield, Mr. James S. Offield and Mr.
Paxson H. Offield; "Compensation Committee Interlocks and Insider
Participation", on page 17, regarding Mr. Joseph H. Flom and Mr.
William Wrigley; and "Related Transactions", on page 17,
regarding the Company's purchase of stock from the Offield Family
Foundation.
PART IV
Item 14. Exhibits, Financial Statement Schedules, and Reports on
Form 8-K
(a) 1,2. Financial Statements and Financial Statement
Schedules
The data listed in the accompanying Index to Financial
Statements and Financial Statement Schedules, 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-8 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.
<PAGE>
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 29, 1994 WM. WRIGLEY JR. COMPANY
(Registrant)
By: /s/
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
Lee Phillip Bell
Director
Robert P. Billingsley
Director By /s/
R. Darrell Ewers Wm. M. Piet
Attorney-in-Fact
Director
Gary E. Gardner
Date: March 29, 1994
Director
Penny Sue Pritzker
Director
Richard K. Smucker
Director
William Wrigley, Jr.
<PAGE>
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 31, 1994, included in the 1993 Annual Report to
Stockholders of Wm. Wrigley Jr. Company.
Our audits also included the financial statement schedules
of Wm. Wrigley Jr. Company listed in item 14(a). These schedules
are the responsibility of the Company's management. Our
responsibility is to express an opinion based on our audits. In
our opinion, the financial statement schedules referred to above,
when considered in relation to the basic financial statements
taken as a whole, present 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 31, 1994, with respect to the consolidated financial
statements and consolidated financial statement schedules of Wm.
Wrigley Jr. Company included or incorporated by reference in this
Annual Report on Form 10-K for the year ended December 31, 1993.
/s/ ERNST & YOUNG
Ernst & Young
Chicago, Illinois
March 25, 1994
<PAGE>
<TABLE>
WM. WRIGLEY JR. COMPANY
AND WHOLLY OWNED ASSOCIATED COMPANIES
INDEX TO FINANCIAL STATEMENTS
AND FINANCIAL STATEMENT SCHEDULES
(Item 14(a))
<CAPTION>
Reference
Form Annual Report
10-K to
Report Stockholders
<S> <C> <C>
Data incorporated by reference from the attached 1993 Annual Report
to Stockholders of Wm. Wrigley Jr. Company and wholly owned
associated companies:
Consolidated balance sheet at December 31, 1993 and 1992........ 8-9
For the years ended December 31, 1993, 1992 and 1991:
Statement of consolidated earnings and retained earnings.... 6
Statement of consolidated cash flows........................ 7
Accounting policies and notes to consolidated financial
statements................................................. 10-17
Consolidated financial statement schedules at December 31, 1993
or for the years ended December 31, 1993, 1992 and 1991:
I. Marketable securities-other investments.................... F-2
II. Amounts receivable from related parties and underwriters,
promoters, and employees other than related parties........ F-3
V. Property, plant and equipment.............................. F-4
VI. Accumulated depreciation, depletion and amortization of
property, plant and equipment.............................. F-5
VIII. Valuation and qualifying accounts.......................... F-6
X. Supplementary income statement information................. F-7
</TABLE>
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 1993 Annual Report to Stockholders is not to be
deemed filed as part of this report.
<PAGE>
<TABLE>
WM. WRIGLEY JR. COMPANY AND WHOLLY OWNED ASSOCIATED COMPANIES
SCHEDULE I-MARKETABLE SECURITIES-OTHER INVESTMENTS
December 31, 1993
(Dollar Amounts In Thousands)
<CAPTION>
Column A Column B Column C Column D Column E
Amount at which
Name of Issuer Number Market Security is Carried
and Title of Issue of Shares Cost Value on Balance Sheet
<S> <C> <C> <C> <C>
Short-term investments:
Municipal Obligations............... $92,978 $92,978 $92,978
Commercial Paper.................... 2,688 2,688 2,688
Other short-term investments........ 7,890 7,890 7,890
$103,556 103,556 103,556
Marketable equity securities:
Texaco-common stock.................. 124,796 $ 350 $8,080 $8,080
-preferred stock............... 2,496 7 128 128
Amoco-common stock................... 55,715 47 2,946 2,946
AT&T-common stock.................... 80,848 570 4,245 4,245
Other communications companies-
common stock................... 1,419 12,435 12,435
Other companies-common stock......... 852 3,583 3,583
$ 3,245 $31,417 $31,417
</TABLE>
<PAGE>
<TABLE>
WM. WRIGLEY JR. COMPANY AND WHOLLY OWNED ASSOCIATED COMPANIES
SCHEDULE II--AMOUNTS RECEIVABLE FROM RELATED PARTIES AND
UNDERWRITERS, PROMOTERS, AND EMPLOYEES OTHER THAN RELATED PARTIES
Years ended December 31, 1993, 1992 and 1991
(In Thousands)
<CAPTION>
Column A Column B Column C Column D Column E
Balance at Balance at
Beginning Amounts End of Period
Debtor of Period Additions Collected Current Noncurrent
<S> <C> <C> <C> <C> <C>
1993:
Dustin Allred................. $117 - 7 8 $102(H)
John Bard..................... 206 - 14 14 178(I)
Larry Carman.................. - 157 3 9 145(R)
Reuben Gamoran................ 115 - 8 7 100(K)
Dennis Mally.................. - 170 6 10 154(Q)
Michael H. McKean............. 115 - 12 8 95(F)
Jon Orving.................... 164 - 10 10 144(N)
Dushan Petrovich.............. 137 - 8 8 121(O)
Christafor E. Sundstrom....... 162 - 11 11 140(D)
Jaime Vizcaino................ 121 - 9 112 -(E)
Dennis J. Yarbrough........... - 100 4 6 90(P)
1992:
Dustin Allred................. 225 - 108 8 109(H)
Donald E. Balster............. 129 - 129 - - (B)
John Bard..................... 219 - 13 14 192(I)
Paul Dodman................... - 355 257 6 92(J)
Reuben Gamoran................ - 120 5 7 108(K)
Andrew Holynskyj.............. - 100 1 6 93(L)
James McDonald................ 102 - 7 7 88(C)
Michael H. McKean............. 136 - 21 8 107(F)
Mark Monroe................... - 100 4 6 90(M)
Jon Orving.................... - 165 1 10 154(N)
Dushan Petrovich.............. - 140 3 8 129(O)
Peter Reid.................... 109 - 17 7 85(G)
Christafor E. Sundstrom....... 173 - 11 11 151(D)
Jaime Vizcaino................ 130 - 9 9 112(E)
1991:
Dustin Allred................. - 225 - 108 117(H)
Donald E. Balster............. 138 - 9 9 120(B)
John Bard..................... - 225 6 14 205(I)
James McDonald................ 109 - 7 7 95(C)
Michael H. McKean............. 145 - 9 9 127(F)
William M. Piet............... 144 - 144 - - (A)
Peter Reid.................... 119 - 10 7 102(G)
Christafor E. Sundstrom....... 180 - 7 11 162(D)
Jaime Vizcaino................ 139 - 9 9 121(E)
- ----------------------------------------------
Notes:
Non-interest bearing note, secured by recorded interest in personal residence.
Payable in monthly installments with final payment for the balance due:
(A) June 1991 (G) August 1995 (M) April 1997
(B) September 1994 (H) December 1996 (N) December 1997
(C) July 1994 (I) August 1996 (O) July 1997
(D) July 1995 (J) September 1997 (P) May 1998
(E) August 1994 (K) March 1997 (Q) June 1998
(F) April 1995 (L) November 1997 (R) September 1998
</TABLE>
<PAGE>
<TABLE>
WM. WRIGLEY JR. COMPANY AND WHOLLY OWNED ASSOCIATED COMPANIES
SCHEDULE V-PROPERTY, PLANT AND EQUIPMENT(A)
Years ended December 31, 1993, 1992, and 1991
(In Thousands)
<CAPTION>
Column A Column B Column C Column D Column E Column F
Balance at Other Changes- Balance
Beginning Additions Add(Deduct) at End
Classification of Period at Cost Retirements Describe(B) of Period
<S> <C> <C> <C> <C> <C>
1993:
Land............................. $ 17,010 $ 6,166 $ 170 $ (510) $ 22,496
Buildings and building equipment. 166,342 10,872 641 (3,170) 173,403
Machinery and equipment.......... 330,065 46,057 13,459 (7,685) 354,978
$513,417 $63,095 $ 14,270 $(11,365) $550,877
1992:
Land............................. $ 16,629 $ 1,370 $ 850 $ (139) $ 17,010
Buildings and building equipment. 157,044 14,270 2,040 (2,932) 166,342
Machinery and equipment.......... 312,848 51,042 22,831 (10,994) 330,065
$486,521 $66,682 $ 25,721 $(14,065) $513,417
1991:
Land............................. $ 15,995 $ 461 $ 80 $ 253 $ 16,629
Buildings and building equipment. 149,543 5,458 330 2,373 157,044
Machinery and equipment.......... 291,602 39,316 14,702 (3,368) 312,848
$457,140 $45,235 $ 15,112 $ (742) $486,521
</TABLE>
Notes:
(A) Depreciation is provided by the straight line and accelerated
methods over the estimated useful lives of the respective
assets (buildings and building equipment-12 to 50 years;
machinery and equipment-3 to 20 years).
(B) Foreign currency translation adjustment.
<PAGE>
<TABLE>
WM. WRIGLEY JR. COMPANY AND WHOLLY OWNED ASSOCIATED COMPANIES
SCHEDULE VI-ACCUMULATED DEPRECIATION, DEPLETION
AND AMORTIZATION OF PROPERTY, PLANT AND EQUIPMENT
Years ended December 31, 1993, 1992 and 1991
(In Thousands)
<CAPTION>
Column A Column B Column C Column D Column E Column F
Additions Other
Balance at Charged to Changes- Balance at
Beginning Costs and Add (Deduct) End of
Description of Period Expenses Retirements Describe(A) Period
<S> <C> <C> <C> <C> <C>
1993:
Buildings and building equipment..$ 94,968 $ 7,861 $ 410 $(1,006) $101,413
Machinery and equipment........... 196,312 26,704 10,624 (2,796) 209,596
$291,280 $34,565 $ 11,034 $(3,802) $311,009
1992:
Buildings and building equipment..$ 91,401 $ 6,949 $ 1,630 $(1,752) $ 94,968
Machinery and equipment........... 193,734 22,857 14,432 (5,847) 196,312
$285,135 $29,806 $ 16,062 $(7,599) $291,280
1991:
Buildings and building equipment..$ 85,150 $ 6,623 $ 303 $ (69) $ 91,401
Machinery and equipment........... 183,031 22,072 10,503 (866) 193,734
$268,181 $28,695 $ 10,806 $ (935) $285,135
</TABLE>
Note:
(A) Foreign currency translation adjustment.
<PAGE>
<TABLE>
WM. WRIGLEY JR. COMPANY AND WHOLLY OWNED ASSOCIATED COMPANIES
Schedule VIII - Valuation and Qualifying Accounts
Years ended December 31, 1993, 1992 and 1991
(In Thousands)
<CAPTION>
Column A Column B Column C Column D Column E
Additions
Balance at Charged to Charged to Balance at
Beginning Costs and Other Accounts Deductions- End of
Description of Period Expenses Describe Describe(A) Period
<S> <C> <C> <C> <C> <C>
1993:
Allowance for
doubtful accounts... $2,357 $2,800 - $ 750 $4,407
1992:
Allowance for
doubtful accounts... $2,454 $1,339 - $1,436 $2,357
1991:
Allowance for
doubtful accounts... $3,046 $ 694 - $1,286 $2,454
(A) Uncollectable accounts written-off, net of recoveries.
</TABLE>
<PAGE>
<TABLE>
WM. WRIGLEY JR. COMPANY AND WHOLLY OWNED ASSOCIATED COMPANIES
SCHEDULE X-SUPPLEMENTARY INCOME STATEMENT INFORMATION
Years ended December 1993, 1992 and 1991
(In Thousands)
Column A Column B
Charged to
Item Costs and
Expenses
<S> <C>
1993:
Maintenance and repairs.......................................... $ 18,475
Taxes, other than payroll and income taxes....................... $ 8,557
Advertising costs................................................ $198,985
1992:
Maintenance and repairs.......................................... $ 21,647
Taxes, other than payroll and income taxes....................... $ 8,831
Advertising costs................................................ $178,557
1991:
Maintenance and repairs......................................... $ 19,801
Taxes, other than payroll and income taxes...................... $ 8,359
Advertising costs............................................... $159,480
</TABLE>
<PAGE>
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 8,
1994, for the March 8, 1994 Annual Meeting of
Stockholders, is hereby incorporated by reference.
3(a). Restated Certificate of Incorporation of the Registrant,
as amended. (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, as amended. (Incorporated by
reference to the Company's Form 10-K filed for the fiscal
year ended December 31, 1992.)
10(a). Senior Executive Insurance Plan. (Incorporated by
reference to the Company's Form 10-K filed for the fiscal
year ended December 31, 1991.)
10(b). Deferred Compensation Plan for Non-Employee Directors,
as amended.
10(c). Non-Employee Directors' Death Benefit Plan.
(Incorporated by reference to the Company's Form 10-K
filed for the fiscal year ended December 31, 1989.)
10(d). 1993 Executive Incentive Compensation Plan.
10(e). Supplemental Retirement Plan. (Incorporated by
reference to the Company's Form 10-K filed for fiscal
year ended December 31, 1990.)
10(f). Management Incentive Plan. (Incorporated by
reference to the Company's Form 10-K filed for fiscal
year ended December 31, 1990.)
10(g). Stock Retirement Plan for Non-Employee Directors.
(Incorporated by reference to the Company's Form 10-K
filed for fiscal year ended December 31, 1990.)
13. 1993 Annual Report to Stockholders of the Registrant.
21. Subsidiaries of the Registrant.
23. Consent of Independent Auditors. (See page 11.)
24. Power of Attorney.
- --------------------
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 $15.00 representing reproduction and
handling costs.
