Tootsie Roll still taking a financial licking

Despite a storied history, Chicago-based Tootsie Roll Industries Inc. is experiencing a continued downward slide in worth that has some investors calling for a takeover, according to the Washington Post.

The 119-year-old, family-run business, most famous for its eponymous rolls and pops, has seen 10 years worth of melting market shares, flat or falling annual revenues and a decrease in sales growth from 50 to 35 percent since 2000.

The company’s woes have in part been caused by lower overall demand from health-conscious candy buyers and competition in the global marketplace. But a lack of acquisitions, new products or engagement on the part of the corporation’s executives isn’t helping Tootsie Roll stand up to confectionary competitors like The Hershey Co. or Mondelez International, the owner of Oreo and Cadbury.

The $2 billion company saw stocks soar briefly by 13 percent following the Jan. 20 death of CEO Melvin Gordon, but the gains were short-lived.

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