Mother's Cookies

Mother's Cookies is a brand that originally had a bakery based in Oakland, California, that operated from 1914 to 2008.[1][2] A sister company, Archway Cookies of Battle Creek, Michigan, was founded in 1936. Both Mother's Cookies and Archway declared bankruptcy in 2008.[3] At its height, the company distributed cookies throughout the United States, and was one of the leading cookie makers in the country.[4] The Kellogg Company acquired the Mother's Cookies trademark and recipes in December 2008 and brought the brand back to West Coast grocery store shelves on May 14, 2009.[5][6]

Contents

History

Mother's was founded in 1914 when Woodrow Wilson declared that Mother's Day would be a national holiday in the USA.[7] The founder was N.M. Wheatley, a newspaper vendor.[1] The company was sold to Artal NV, a Belgian company, then bought by Specialty Foods Corp., a conglomerate formed by the Bass Brothers.[8]

Archway was founded in 1936 by the Swansons, a husband-and-wife team who baked soft-batch cookies in their garage. The Swansons expanded their company nationwide in the 1940s, changing its name to Archway to avoid conflict with Swanson, a maker of frozen dinners. In 1962 the founders sold the company to their vice president, George Markham, who bought most of the franchises back over the next several years.[4] Markham in turn sold the company to two employees, who operated it from 1983 to 1996. The company was sold to Specialty Foods in 1998, reportedly for $100 million.[9][10] The transaction made Specialty Foods the third largest cookie maker in the United States[4][11] after Keebler and Nabisco.[12]

The two companies then went through a succession of owners. Specialty Foods sold Mother's and Archway to an Italian firm, Parmalat Finanziaria in 2000 for $250 million. As of 2002 Mother's was baking 17.5 million cookies per day.[13] Cookie sales began to decline after 2000 due to low-fat and low carb diet trends, although sales improved when the company introduced low fat cookies, and accounted for 10% of the United States cookie market as of late 2004.[11] Parmalat filed for bankruptcy[11] amidst a scandal involving illegal sale of corporate bonds. Parmalat in turn sold the companies to Catterton Partners, a private equity firm in Greenwich, Connecticut, in 2005,[1] The new operators closed the Oakland factory in 2006, laid off all 230 workers without warning,[14] and moved baking operations to Ohio and Canada. The company suffered an accounting scandal in 2008[15] and in October 2008, the company became a victim of the financial crisis of 2007–2010 when the company filed Chapter 11 bankruptcy and laid off all of its workers.[1]

Brand and product returns

In December, 2008, Lance Inc. bought the assets of Archway,[16] and soon reopened the former Archway factory in Ashland, Ohio.[17] Also, the same month Kelloggs was approved to buy the assets of Mother's Cookies with plans to return the products to the shelves in mid-2009. In May 2009, Mother's Cookies returned to store shelves, including Kellogg's launch of a website for the product.[18]

Products

Mother's is known for pink and white iced "Circus Animal Cookies", "Taffy Sandwich Cookies", "Peanut Butter Gauchos", and iced oatmeal raisin cookies.[19][20] Archway's most popular product was Ruth's Oatmeal Cookies, based on a recipe found by one of its franchisees at a county fair, which made up 40% of all sales.[4]

Promotions

The company included collectable baseball cards in their packs of cookies, featuring the Pacific Coast League.[21]

References

  1. ^ a b c d Goerge Raine (2008-10-09). "Mother's Cookies abruptly shut down". San Francisco Chronicle (Hearts). http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/10/09/BU6413DQQO.DTL. 
  2. ^ "Mother's Cookies, O'Boisie Corporation sign distribution agreement". Business Wire (press release). 1996-05-13. http://www.allbusiness.com/food-beverage/food-industry-food-mfg-baked-goods-cookie/7229342-1.html. 
  3. ^ Mike Nolan (2008-10-09). "Operations Halted:Michigan company has distribution center in Mokena". Chicago Sun Times (Sun-Times). http://www.suntimes.com/business/1211866,CST-FIN-cookie09.article. 
  4. ^ a b c d "Archway Cookies, Inc.". Funding Universe. http://www.fundinguniverse.com/company-histories/Archway-Cookies-Inc-Company-History.html. 
  5. ^ Kellogg Company Acquiring Trademarks and Recipes of Mother's Cake & Cookie Co. Retrieved Dec 3, 2008
  6. ^ Mother's Cookies After Kellogg's Purchase
  7. ^ Linda Civitello (2007). Cuisine and Culture. pp. 282. ISBN 9780471741725. http://books.google.com/?id=JCmLY7aAqWgC 
  8. ^ "Bass tied to buyout of food companies". Associated Press. 1993-07-28. 
  9. ^ "Archway Cookies closing in Battle Creek". WOOD TV 8. 2008-10-03. http://www.woodtv.com/global/story.asp?s=9122573. 
  10. ^ "Specialty Foods to Pay $100 Million for Two Companies". New York Times. 1998-10-15. http://query.nytimes.com/gst/fullpage.html?res=9B02EEDD133AF936A25753C1A96E958260. 
  11. ^ a b c Robin Sidel (2003-12-31). "Appetite Is Growing For Parmalat's Archway Cookie Unit". Wall Street Journal. 
  12. ^ Kevin McCoy (2004-01-13). "Parmalat's American workers uneasy, while investors are angry". USA Today. http://www.usatoday.com/money/industries/food/2004-01-14-parmalat_x.htm. 
  13. ^ Alec Rosenberg (2002-06-05). "Mother's Facelift: Cookie firm not crumbling in face of competition". Oakland Tribune. http://nl.newsbank.com/nl-search/we/Archives?p_product=OKTB&p_theme=oktb&p_action=search&p_maxdocs=200&p_topdoc=1&p_text_direct-0=0F993512672E1CF3&p_field_direct-0=document_id&p_perpage=10&p_sort=YMD_date:D&s_trackval=GooglePM. 
  14. ^ Tom Abate (2006-04-04). "Oakland bakery abandoning area where it was born". San Francisco Chronicle. http://www.sfgate.com/cgi-bin/article.cgi?file=/chronicle/archive/2006/04/04/BUGQRI2OAK1.DTL&type=business. 
  15. ^ New York Times
  16. ^ Ginger Christ (2008-12-03). "Lance, Inc. approved to buy Archway Cookies, Kelloggs approved by the bankruptcy court to buy Mother's Cookies". Ashland Times-Gazette. http://www.times-gazette.com/news/article/4478881. 
  17. ^ John King (2008-12-23). "Shuttered bakery reopens, rehires workers". CNN. http://www.cnn.com/2008/US/12/23/cookie.factory.reopens/index.html. 
  18. ^ Mother's Cookies website
  19. ^ David Morrill (2008-10-09). "Mother's Cookies closes down". Contra Costa Times. http://www.contracostatimes.com/ci_10678906?source=most_emailed. 
  20. ^ Jane Irene Kelly (1998-03-09). "Mother's Cookies Gets Giddy With KB&P West". Adweek. http://www.allbusiness.com/marketing-advertising/4169320-1.html. 
  21. ^ Gary Land (2004). Growing Up with Baseball. ISBN 9780803229754. http://books.google.com/?id=7a7biOTfZ5oC 

External links