...Tootsie Roll Charles M Mobley University of Phoenix Tootsie Roll Tootsie Roll Industries is a world leading candy company. The company began during 1896 in New York City ("Company Information," 2011). Leo Hirshfield began crafting the confections at his local shop. The delicious candy sold for one penny. The Tootsie Roll launched Hirshfield’s modest shop into a multinational corporation. The company headquartered in Chicago produces 62 million Tootsie Roll candies daily ("Company Information," 2011). The company has grown to include some of the world’s favorite candies. Tootsie Brand candies include the Tootsie Pop, Charms Blow Pop, Sugar Daddy, Dubble Bubble, and Junior Mints. The company has 22 candy brands ("Company Information," 2011). Tootsie Roll has annual sales of nearly 500 million dollars ("Company Information," 2011). The company is one of the leading candy producers in the world. Tootsie Roll Industries believes a family culture and progressive management will produce a leading company within the candy industry. Forbes Magazine has recognized the company as one of “Americas 200 Best Small Companies.” Business Ethics Magazine calls Tootsie Roll Industries on of the “100 Best Corporate Citizens” ("Company Information," 2011). The company’s commitment to ethics and integrity carries over into communities and national interests. Tootsie Rolls’ are a part of the U.S. militaries rations. Tootsie Roll Industries product sales in 2007 were 493 million...
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...Tootsie Roll offers a combination of having a “family-run corporate culture with a progressive management style that embraces an entrepreneurial spirit, Tootsie sets the industry standard at delivering the highest quality product at the lowest possible price, a robust yet efficient operations model” (Tootsie.com) The Tootsie Roll has strong Business Conduct and Ethics to guide its employees and officers, and directors to obey the law and act ethically. The code principles of its Business Conducts and Ethics include: Compliance with the law, rules, and regulation, prohibition against insider trading, conflict of interest, corporate opportunities, confidentiality, fair dealing, safety and environment, protection and proper use of company assets,...
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...Tootsie Roll Industries, Inc. has been engaged in the manufacture and sale confectionery products since 1896 when Austrian-born Leo Hirshfield opened a tiny candy shop in New York City. Hirshfield handcrafted a variety of products, including an individually wrapped, oblong, chewy, chocolate candy that quickly became a customer favorite. The hand wrapping – believed to be an industry first – enabled Hirshfield’s product to stand out among the competitor’s candy-counter offerings, which were sold by the scoop from jars (St. James Press, 1996). Sold at a penny apiece and affectionately named after Hirshfield’s five-year old daughter, Clara, whose nickname was “Tootsie,” Tootsie Rolls propelled Hirshfield’s modest corner store into burgeoning candy enterprise that has evolved in little more than a century into the multinational corporation, Tootsie Roll Industries. The Tootsie Roll Industry main head quarter and production plant is located in Chicago, Illinois. Its operations are also in Illinois; Massachusetts; Tennessee; Wisconsin; Mexico City, Mexico; and Concord, Ontario. Today they employee around 2200 employees. The company’s website is www.tootsie.com. Its three top competitors are listed as The Hershey Company (Ticker Symbol HSY), Nestle S.A. (shares are traded at SIX Swiss Exchange symbol NESN.VX (Nestle , 2011), and Mars Inc (privately held company). The board of Directors has appointed PricewaterhouseCoopers LLC as the independent registered public accounting firm for...
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...flavor of a tootsie pop” has been a popular phrase for years, a commercial jingle that reminds every one of the wonderful taste, a memory from childhood that brings people from miles around to local candy stores seeking Tootsie rolls, whether it is a lollipop or a tootsie roll chocolate, everyone one is familiar. Tootsie Roll Industries is a world leading Candy Company. The company began during 1896 in New York City ("Old Time Candy," 2014). Leo Hirshfield began crafting the confections at his local shop. The delicious candy sold for one penny. The Tootsie Roll launched Hirshfield’s modest shop into a multinational corporation. The company headquartered in Chicago produces 62 million Tootsie Roll candies daily ("Old Time Candy," 2014). The company has grown to include some of the world’s favorite candies. Tootsie Brand candies include the Tootsie Pop, Charms Blow Pop, Sugar Daddy, Dubble Bubble, and Junior Mints. The company has 22 candy brands ("Old Time Candy," 2014). Tootsie Roll has annual sales of nearly 500 million dollars ("Old Time Candy," 2014). The company is one of the leading candy producers in the world. There are numerous processes that contribute to the success of the company. An essential process for the company is the actual production of its staple candy the Tootsie Pop. The Process One way to categorize the process of the company is to whether it is a single stage process or a multiple stage process. The Tootsie Roll Company has...
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...Tootsie Roll Industries Inc. Loan Request Patricia Duncan, Sean Duncan, Heidi Oppegard, and Michelle Rodriguez Accounting ACC/561 January 7, 2012 Jared Jones Tootsie Roll Industries Inc. Loan Request Tootsie Roll Industries is a confectionery products manufacturer that has been in business for 111 years. The company makes a variety of products including a) Tootsie Roll, b) Tootsie Roll Pops, c) Caramel Apple Pops, d) Charms, e) Blow Pops and a number of other sweet treats. The company believes in hiring and retaining quality personnel while maintaining a professional yet open family atmosphere. Tootsie Roll Industries is looking to expand the business; therefore, the business is requesting a loan to successfully implement the expansion. Discussed below is detailed information regarding Tootsie Roll Industries current financial position, how Tootsie Roll Industries plans to implement the funds from the loan, and how the funds will promote future company growth. Financial Statement Summary….Michelle (~375 words) (due Jan 7th) A General financial statement summary is important when requesting a loan for expansion or any other reason like inventory purchases or debt retirement. The Tootsie Roll Company has four important financial statements that reflect important information in order to obtain their loan. Ahead I will explain the details relevant to the Tootsie Roll Company in relation to their revenues, retained...
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...target market, Tootsie Roll Industries must have an understanding of their customer’s demographic traits and a defined market size included in the business plan. The company states that its brands resonate strongly among every age group, culture, and demographic; for every occasion and event (Tootsie Roll Industries, Inc., 2013). To further provide a visual for their targeted market, Tootsie has a picture on their website of a child who is excitedly holding an unopened bag of delicious candy ready to be eaten. As the company plans on continued expansion, the targeted market must include a broader demographic of people. The company must first understand the buying patterns of the targeted market. This includes if the product appeals to customers more at a certain time of the year, how affordable the product is, where the customer first heard of the product, and the customer’s motivation for continued purchases. According to Abrams, R. (2003), “When assessing the size of the market, you will find demographic and geographic information easiest to locate. Much of this data is available from U.S. Census Bureau reports, local governmental agencies, real estate brokerages, chambers of commerce, and business directories.” With a reachable and definable target market, Tootsie will continue to expand its customer base as well as the company itself. Competition Benchmarking, analysis of internal operations, and predicting future competition are all strategic steps that Tootsie Roll Industries...
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...Taffy is a soft, chewy, sweet candy. The texture of taffy is very similar to the texture of the inner part of a tootsie pop. Both textures are described as creamy, sticky, and stretchy. As well as having texture in common, these sweet treats both come in various flavors. Some taffy and tootsie pop come in the same flavors. Some of these flavors include chocolate, cherry, caramel, and strawberry. The consumption method for eating taffy is not compatible with the method of a tootsie pop. A tootsie pop has a stick for the consumer to hold onto. Taffy must be consumed by popping the candy out of the wax paper and into the consumer’s mouth. Although they have their differences, each sweet treat will leave you wanting more. Dum-Dum suckers are a hard, sweet, flavorful brand of...
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...Overview Tootsie Roll Industries, Inc. is America's most favorite candy company, manufacturing and selling some of the world's most popular confectionary brands. It started in a modest New York candy store with the Tootsie Roll's introduction in 1896. The company is based in Chicago Illinois. It has grown to become one of the country's largest candy companies, with operations throughout North America and with distribution channels in more than 75 countries. Tootsie Roll Industries, Inc. engages in the manufacture and sale of confectionery products primarily in the United States and Mexico. It primarily offers candy products. The company offers its products under the TOOTSIE ROLL, TOOTSIE ROLL POPS, CHILD’S PLAY, CARAMEL APPLE POPS, CHARMS, BLOW-POP, BLUE RAZZ, CHARMS MINI POPS, CELLA’S, MASON DOTS, MASON CROWS, JUNIOR MINTS, CHARLESTON CHEW, SUGAR DADDY, SUGAR BABIES, ANDES, FLUFFY STUFF, DUBBLE BUBBLE, RAZZLES, CRY BABY, and NIK-L-NIP trademarks. Tootsie Roll Industries, Inc. distributes its products through candy and grocery brokers to wholesale distributors of candy and groceries; supermarkets; variety stores; dollar stores; chain grocers; drug chains; discount chains; cooperative grocery associations; warehouse and membership club stores; vending machine operators; the United States military; and fund-raising charitable organizations. The company also exports its products to Canada and internationally. With annual sales approaching nearly half-a-billion dollars, Tootsie Roll...
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...Proceeds and Affects from the Loan The Tootsie Roll Industries, Inc. has chosen to allocate the funds from the loan to critical departments that will contribute to the growth of the company. The loan will permit Tootsie Roll to acquire new updated equipment for better production such as robotics to increase productivity. The allocation of these funds will open up research, and development, to produce healthier and cheaper ingredients for products. However, acquiring new robotic production machines or equipment will require a decrease in manpower, wages, and salaries. Approval of the loan will positively affect Tootsie Roll by the way products are manufactured and distributed. The loan acquisition will increase the productivity of the company because of the acquisition of new assets to benefit production. Through the downturn in the economy, Tootsie Roll Industries, Inc. has adjusted product prices or package weights to offset the higher costs (Kimmel, Weygandt, & Kieso, 2011). During the first quarter of 2009, the Tootsie Roll Industries, Inc. adopted the authoritative guidance for disclosures about hedging activities derivative instruments. It requires qualitative disclosures about objectives and strategies for using derivatives, quantitative disclosures about fair value amounts of derivative instruments, and related gains and losses (Kimmel, Weygandt, & Kieso, 2011). It also required disclosures about related credit-risk features in derivative agreements (Kimmel...
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...the sign next to me. Tootsie Roll Industries Company. What does that mean? In inhaled. The sensational smell of fruit and chocolate overwhelmed me. I seem to stretch for miles and miles. However, I was only three inches thick! Being stretched on the conveyer belt is relaxing, taking in the sights, smells, and noises. Although the Tootsie Roll Industries Company factory is musty, gray, and dirty, it is also very beautiful. There are endless rows of conveyor belts with other lollipops on it. Who cares about those pops? I’m about to turn into a Tootsie Pop! I inhaled again. Caramel! I thought. That must be my flavor! Down and down the conveyer belt, an endless line of machinery. I can see a turn...
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...Hershey’s and Tootsie Rolls Company with respect to Liquidity, Solvency and profitability, we will use data from the financial statements of both the company of the year end December 31st 2008. Among all the three ratios provided in the data sheet i.e. Liquidity, Solvency and Profitability, to invest in a company I will choose to see the profitability ratio of a company. According to 2008 financial statements of both the company and looking at the ratios I will choose Tootsie Rolls Corporation. I will invest in Tootsie Rolls Corporation I would like to answer the question, why did I select Tootsie Rolls Corporation and not Hershey Corporation. As you know and I know Hershey is a big company and over the year this company has proven its investors and creditors that its one of the big companies all over the world. Big don’t means better? Even a medium size company like Tootsie Rolls generate a good amount of money not in million but in thousands. So what it has a good return ratio? Yes. Liquidity Ratio Analysis: - What does Liquidity Ratios mean? A class of financial metrics that is used to determine a company's ability to pay off its short-terms debts obligations. Generally, the higher the value of the ratio, the larger the margin of safety that the company possesses to cover short-term debts. Comparing Tootsie Rolls and Hershey Corporation for the year end December 31st 2008. Looking at the Current Ratio of both the companies Tootsie Rolls has about 3.0...
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...Company & Tootsie Roll Company Company History Both the Hershey Company and the Tootsie Roll Company specialize in a wide variety of chocolate candy products. "The Hershey Company is a leading snack food company and the largest North American manufacturer of quality chocolate and non-chocolate confectionery products, with revenues of over $4 billion and more than 13,000 employees worldwide". The Hershey Company originated with the candy manufacturer Milton Hershey. In 1894 Milton Hershey wanted to design a sweet coating for his already existing caramels, thus his new enterprise, the Hershey Chocolate Company began. The Hershey Company went public on the New York Stock Exchange (NYSE) in 1922. The Tootsie Roll Industries, Inc. was established in 1896. "The round piece of chewy, chocolatey candy that delights Americans today still looks and tastes amazingly like the first Tootsie Roll, made over 109 years ago". The Tootsie Roll "still sells for one penny, the original price, even though the company now offers candy packages priced up to $6.99. The first penny candies to be individually wrapped in paper, Tootsie Rolls are protected today". The Tootsie Roll Industry produces more than 60 million Tootsie Rolls per day and is also the world's largest lollipop supplier, producing 20 million lollipops daily. The Tootsie Roll Industries, Inc. went public on the NYSE in 1927. New York Stock Exchange Company Information The Hershey Company (Hershey) and Tootsie Roll Industries...
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...Tootsie Roll Industries, Inc. and its subsidiaries manufacture and sell confectionery products in the United States, Canada, and Mexico. It sells its products under various names. The company markets its products to wholesale distributors of candy and groceries, supermarkets, variety stores, dollar stores, chain grocers, drug chains, discount chains, cooperative grocery associations, warehouse and membership club stores, vending machine operators, and the U. S. military and fund-raising charitable organizations. Tootsie Roll Industries was founded in 1896 and is based in Chicago, Illinois. The Hershey Company, together with its subsidiaries, engages in manufacturing, marketing, selling, and distributing various chocolate and confectionery products, pantry items, and gum and mint refreshment products worldwide. It offers various chocolate and confectionery products as well as various snack products, a line of refreshment products, such as mints, chewing gum, and bubble gum, and a line of pantry items. It sells its products through sales representatives and food brokers, primarily to wholesale distributors, chain grocery stores, mass merchandisers, chain drug stores, vending companies, wholesale clubs, convenience stores, dollar stores, concessionaires, department stores, and natural food stores. The company was founded in 1893 and is based in Hershey, Pennsylvania. Tootsie Roll Industries Ratios Hershey Foods Corporation Ratios Interpretation and Comparison between the...
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...bond or long term notes that should be paid with in one year. A bond is something issues by the government or corporation that is and interest bearing note. 8. Contrast these types of bonds: (a) Secured and unsecured. Secured bonds are backed by collateral unsecured bonds are based on trust of re-payment. (b) Convertible and callable Callable bonds mean you can take funds before the maturity date of the bond. Convertible bonds are mixture debt that can be used for stock. And can’t be used until maturity date. 19. Valentine Zukovsky says that liquidity and solvency is the same thing. Is he correct? If not, how do they differ? No they are not the same thing. Liquidity means you have a year to pay with solvency you can pay when ever. BE10-1 Kananga Company has these obligations at December 31: A note payable for $100,000 due in 2 years. That would be long term Liability. A 10-year mortgage payable of $200,000 payable in ten $20,000 annual payments. This is liquidity for the 20,00 due in a year. Interest payable of $15,000 on the mortgage. Current asset Accounts payable of $60,000. For each obligation, indicate whether it should be classified as a current liability. Current liability for the year. Financial Reporting and Analysis FINANCIAL REPORTING PROBLEM: Tootsie Roll Industries BYP10-1 Refer to the financial statements of Tootsie Roll Industries and the Notes to Consolidated Financial Statements in Appendix A. Instructions Answer the following...
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...Ratio Analysis is an important factor for shareholders of a corporation. Ratio analysis is one-way decisions are made for the well being of a company. Ratioanalysis.org states, “Ratio analysis is the broad method by which financial data is converted into simple mathematic ratios for comparison. Since the data is widely available, calculating ratio analysis numbers can be accomplished by anyone with access to public financial statements. Calculations created from these formulas provide crucial information for decision-making” (Ratioanalysis.org, 2013). Reviewing financial statements of a company and managers making sound decisions makes merchandise pricing decisions such as investing, employee layoffs, employee hiring. There are three types of ratios that are commonly used to make sound decisions. The three ratios are liquidity ratios, solvency ratios, and profitability ratios. Liquidity ratios “measure the short-term ability of the company to pay its maturing obligations and meet unexpected needs for cash” (Kimmel, Weygandt, & Kieso, 2009, p. 673). The liquidity of Tootsie Roll Industries has a positive amount of working capital and a favoring current ratio in both 2006 and 2007. The Tootsie Roll Company has the ability to pay off its liabilities. When a manager views the liquidity of the Tootsie Roll Company, the current ratio shows that for every dollar of liabilities in 2007, there was $3.45 worth of current assets. Liquidity 2007 2006 2005 ...
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