Wm. Wrigley Jr. Company (WWY) Fourth Quarter and Full-Year 2000 Financial Results Stock Split Declaration Dividend Increase Declaration January 23, 2001 FOR IMMEDIATE RELEASE Consolidated Financial Results The Wm. Wrigley Jr. Company announced today full-year 2000 earnings of $2.90 a share, up 9% over the prior year. Annual sales rose 4%, but would have increased 10% without the negative effect of currency translation of foreign results into a strong U.S. dollar, on a healthy worldwide shipment volume gain of 6%. For the fourth quarter, earnings were $0.70 per share, up $0.06 or 9% from a year ago. Sales in the fourth quarter were flat compared to the year-ago figure, as sales in the Americas region declined slightly and overseas sales gains were substantially reduced in translation. In the absence of the currency effect, sales for the quarter would have been up 7% on a 2% shipment volume increase. Earnings For all of 2000, net earnings were up $21 million or 7% to $329 million. On a per share basis, earnings rose by $0.24 or 9% to $2.90 per share. Without the negative impact of currency translation, the full-year earnings per share gain would have been $0.41 or 15%. Consolidated fourth quarter net earnings of $78 million were up $5 million or 7%. On a per share basis, reflecting fewer average shares outstanding, earnings for the quarter rose by $0.06 or 9% to $0.70. Without the currency translation effect, earnings per share would have been $0.76, up $0.12 or 19%. European, Asian and Pacific regional operating profits combined, excluding currency, increased 24% in the fourth quarter versus the prior year. In Europe, the improvement was led by Eastern Europe, Germany and Scandinavia; while China, Australia and Taiwan drove the gains in the Asia/Pacific region. In the Americas region, fourth quarter operating profits grew by 9%, principally reflecting improved performance in Canada and Latin America as well as the positive volume and mix contributions from new products in the U.S. Sales For the 2000 fiscal year, global sales were just over $2.1 billion, up $84 million or 4% from 1999, reflecting a 6% sales gain in the Americas and a 3% gain in overseas markets. The full-year overseas sales gain was reduced by more than three-fourths in consolidation due to the strength of the U.S. dollar. Shipment volume for 2000 recorded a 6% increase worldwide. Global sales for the fourth quarter were $539 million, off less than $1 million on a shipment volume increase of 2%. Total company sales for the quarter would have been up $37 million or 7% in the absence of the negative currency translation effect. Sales in the Europe, Asia and Pacific regions combined, increased by 3% in the fourth quarter, but would have been up 15% without the effect of translating foreign currencies, especially the euro and the pound, to the stronger U.S. dollar. Fourth quarter sales in the Americas region declined by 4%, as gains at Amurol and across Latin America were not enough to offset difficult sales comparisons in the U.S. and Canada, although both those markets delivered improved operating profits. Consolidated gross margins for the full year and the quarter were 57.9% and 57.3% respectively, up from 56.1% and 55.4% for the same periods a year ago, reflecting cost controls and improved product mix. Stock Split At its meeting held today in Chicago, the Board of Directors of the Wrigley Company declared a 2-for-1 stock split for all stockholders of record as of the close of business on February 6, 2001 on presently issued shares of Common Stock and Class B Common Stock. Distribution of the split shares will begin on or about February 28, 2001. Dividend Rate Increase At today's meeting, the Board also raised the regular quarterly dividend 9% from $0.175 to $0.19 per share on a post-split basis ($0.35 to $0.38 pre-split). The higher quarterly dividend was declared on each share of Common Stock and each share of Class B Common Stock for the three-month period beginning May 1, 2001, and will be payable for the first time on May 1, 2001 to stockholders of record of each class of stock outstanding at the close of business on April 13, 2001. View Report FROM: WM. WRIGLEY JR. COMPANY Christopher J. Perille Director - Corporate Communications Phone: (312) 644-2121 To the extent that statements contained in this press release may be considered forward-looking statements, the following will be deemed to be the Company's meaningful cautionary disclosure regarding such statements. A variety of factors could cause actual results to differ materially from the anticipated results or expectations expressed. The important factors that could affect these outcomes are set forth in Exhibit 99 to the Company's Annual Report on Form 10-K for the year ended December 31, 2000. << Back