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Spangler, Chupa Chups Forge Strategic Alliance

June 1, 2004

Spangler, Chupa Chups Forge Strategic Alliance

Lollipop manufacturers Chupa Chups U.S.A. and Spangler Candy Co. have joined forces to strengthen their role in the North American candy market.
The partnership between Barcelona, Spain-based Chupa Chups and Bryan, Ohio-based Spangler will utilize the brands, global distribution systems, industrial and technology resources and best practices of both companies. The U.S. sales, marketing and distribution teams of both companies will be consolidated under the leadership of Spangler, while Chupa Chups will provide leadership in Mexico. Plans are underway for the companies to coordinate production efforts and resources among their various manufacturing facilities located in the U.S., Mexico, Russia, and Spain.
Beginning July 1, 2004, the Chupa Chups brand will be integrated into the Spangler Candy portfolio in the United States. Chupa Chups is the number one lollipop brand worldwide, with more than 4 billion produced each year in more than 40 flavors.
Spangler will also add Chupa Chups’ new healthier, vitamin-fortified lollipops and sugar-free Cremosa lollipops to their line.
Also effective on that date, Spangler brands will become part of the Chupa Chups portfolio in Mexico. Additionally, Chupa Chups will begin to market some Spangler items in other parts of the world. Spangler is one of the leading lollipop companies in the U.S., manufacturing 2 billion Dum Dum Pops every year.
NCA Seasonal Buying
Event Set for Dallas
The National Confectioners Association has announced plans for the first All Candy Marketplace to be held Feb. 8-10, 2005, in Dallas. The All Candy Marketplace is a collaborative strategic planning and buying event for confectionery manufacturers and retailers; it highlights seasonal candy buying opportunities.
The Marketplace format allows manufacturers to rent “Sweet Clubs,” private meeting rooms for strategic planning sessions with retail merchandising and buying teams for supermarkets, drug chains, mass merchants and warehouse clubs. NCA broker members also are invited to participate.
The All Candy Marketplace includes a variety of special features. Among them is a one-day Seasonal Candy Central, which is a display floor showcasing hundreds of seasonal confectionery items. In addition, NCA is currently in the development stages of new consumer buying and trends research that will be presented to attendees of the Marketplace.
Those interested in more information on the All Candy Marketplace may contact NCA’s Dave Klabunde or Jim Corcoran at (703) 790-5750.
How Sweet! Alpine to Re-Open 30 Fannie May Stores
Thirty shuttered Illinois and Indiana Fannie May retail candy stores will reopen in the fall of 2004, Salt Lake City, Utah-based Alpine Confections Inc. announced recently. In April, Alpine purchased the Fannie May and Fanny Farmer brands, intellectual property and 31 company-owned retail stores from Archibald Candy Corp. in a bankruptcy auction for approximately $38.9 million.
Most of the stores are located in suburban Chicago. Two are in the city, though none are downtown, two are in downstate Illinois and four are in Indiana. In addition, Alpine announced plans to open 10 more stores by the end of 2004, after it completes an evaluation of the Fannie May retail network. Until the stores open, some Fannie May candies will continue to be sold at local grocery and drug stores.
Joyco Acquired And Re-named
The management of South Miami, Fla.-based Joyco USA acquired the assets and shares of the company April 30, and immediately re-named it Richardson Brands Co. Pietro Fenu will serve as president. Terms of the agreement were not disclosed. The company, whose roots go back to 1893, offers mints, novelties, coated gums and Colombina brand hard candies and lollipops.
R. M. Palmer, Marvel Sign Licensing Agreement
R. M. Palmer Co., West Reading, Pa., has entered into a licensing agreement with Marvel Enterprises, Inc., New York, N.Y., to use a selection of Marvel’s popular Super Hero characters on novelty candies.
Plans call for R. M. Palmer to incorporate Spider-Man, The Incredible Hulk, The X-Men, The Fantastic Four, Captain America and Daredevil into its chocolate and non-chocolate candy and packaging.
Russell Stover to Test-Market Reduced-Calorie Chocolates
The candy maker has chosen its home, Kansas City, Mo., to test-market its new Calorie Smart candies, which contain at least 25 percent fewer calories than its regular products.
The calorie reductions are achieved through the use of a reformulated chocolate coating, according to Chuck Teater, Russell Stover’s vice president of quality.
Retail prices for Calorie Smart are roughly double those of other products, the company said, because the low-calorie versions are about twice as expensive to manufacture. A nationwide rollout is expected in the fall.

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