Favorite Brands International facts for kids
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| Industry | Confections |
|---|---|
| Successor | Nabisco |
| Founded | July 1, 1995 |
| Defunct | November 19, 1999 |
| Headquarters |
,
United States
|
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Number of locations
|
11 plants |
|
Area served
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North America |
|
Key people
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| Products |
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| Brands | Jet-Puffed Marshmallows |
| Revenue |
|
| Owner | Texas Pacific Group |
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Number of employees
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4,000 |
Favorite Brands International was a company that made yummy candies and snacks. It was started in 1995. The company was created when a group called Texas Pacific Group bought the candy-making part of Kraft Foods, Inc..
How the Company Started
In 1995, a big food company called Kraft Foods, Inc. decided to sell off its candy division. This part of Kraft made popular treats like Jet-Puffed Marshmallows and Kraft Caramels. It also included a factory in Kendallville, Indiana, and special equipment for making marshmallows from other Kraft factories.
On July 1, 1995, two investment groups, Texas Pacific Group and InterWest Partners, bought these candy businesses. This is how Favorite Brands International officially began. At the time, these candy businesses were making about $150 million in sales each year.
Growing Bigger and Bigger
After starting, Favorite Brands International wanted to grow quickly. Al Bono was the first president and chief executive officer of the new company.
In May 1996, Favorite Brands bought one of its main rivals, a company called Kidd & Co. Kidd & Co. had its main office close by in Ligonier, Indiana, and also a factory in Henderson, Nevada. Later that year, the Ligonier factory was turned into a warehouse, and all the candy making moved to the Henderson and Kendallville factories. Many employees also moved to the new locations.
Favorite Brands kept expanding! They bought Sathers, Inc., which was another candy company. Sathers was making about $200 million in sales every year.
Then, on August 31, 1996, Favorite Brands bought Farley Foods USA. Farley Foods was even bigger, with about $300 million in yearly sales and five factories. This helped Favorite Brands become a very large candy company.
However, there were some changes in leadership. Mark Upson, who was hired in March 1998 to help run the company, left just a few months later. Al Bono, the top boss, also resigned in July 1998. He said he had "differences" with the company's board of directors about how things should be run.
The End of Favorite Brands
Even though Favorite Brands grew very fast, it faced some challenges. On September 29, 1999, another well-known food company, Nabisco, announced that it would buy Favorite Brands. Nabisco paid $475 million for the company and also took on about $600 million of its debts. This meant that Favorite Brands International stopped existing as a separate company.
