Blumenthal Brothers Chocolate Company

The Blumenthal Brothers Chocolate Company was a Philadelphia-based chocolate manufacturer that existed from 1911 to 1984. Its factory was located at Margaret and James Streets in the city's Frankford neighborhood.

"Blumenthal Brothers" redirects here. For other uses, see Blumenthal family.

The company was founded in 1909 and existed under Blumenthal family management until 1969 when it was sold to Ward Foods, a New York-based conglomerate best known for making Tip Top bread. The principal reason for the sale, reportedly, was that few of the third generation of Blumenthals were interested in managing the company.[1] After the sale, a new company, Ward Candy, was formed with Bernhard S. Blumenthal as its president.[2] Following the death of Al Ehrlich, one of the managers of the company, the company experienced financial difficulties, prompting the sale of the company's brand names to Nestle in early 1984.[3]

The legal difficulties noted in 1974 took place five years after the company was sold to Ward Foods; The Terson Company purchased Ward Foods in 1981 while Ward had a continuing loss of 7.2 million. The eventual sale of Ward Foods Candy Segment and its several brands happened 3 years later on January 9th 1984, when the company was under the expert management of the Terson Company, sold its brands to Nestle ensuring generations would continue to enjoy these historical candies.[4]

History

Founded in 1911, The Blumenthal Brothers produced many candies which are still popular today, as well as many chocolates that are no longer manufactured. The company's best-known products, Goobers, Sno Caps and Raisinets, were introduced in the late 1920s. By the late 1940s Blumenthal candies became popular snacks at movie theaters throughout the United States.

In 1968 Louis Perez, a Blumenthal employee, sued the company in the Supreme Court of Pennsylvania, claiming he was forced to work in exposure to a heavy concentration of dust and excessive heat in his employment.[5] The high court affirmed the lower court's decision in his favor, forcing the company to compensate him.

In 1974 the company was again taken to court, this time for falsification of its gross income by secretly manufacturing products outside the state of Pennsylvania, keeping on average $5 million a year from being disclosed.[6]

The court cases crippled the company financially and eventually led to bankruptcy. In 1984 Terson Company and its Ward brands, best known then for Chunky chocolate candy, divested the combined candy companies to Nestle and the rights to its products to ensure its legacy. Blumenthal’s flagship products, Goobers, Raisinets, and Sno-Caps. Most recently, Nestle sold them, along with other products, to Ferrero in January 2018 for $2.8 billion.[7]

Notable candies
This is a dynamic list and may never be able to satisfy particular standards for completeness. You can help by adding missing items with reliable sources.
  • Goobers, chocolate-coated peanuts introduced in 1925.[8]
  • Malteens, chocolate-covered malt balls
  • Fruit and Nut Bridge Mix
  • Milk Chocolate Treats, which were nearly identical to Hershey Kisses.
  • Chunky bars, trapezoidal chocolate bar with nuts and raisins
  • Sno Caps, semi-sweet chocolate candies covered with white nonpareils introduced in 1927.
  • Raisinets, chocolate-coated raisins introduced in 1927.[9]

References
  1. Bernhard S. Blumenthal, Executive - Philly.com
  2. https://timesmachine.nytimes.com/timesmachine/1969/04/20/170470962.pdf (registration required)
  3. (https://timesmachine.nytimes.com/timesmachine/1977/12/29/75705909.pdf)
  4. (https://timesmachine.nytimes.com/timesmachine/1980/08/20/111170797.pdf)
  5. "Archived copy". Archived from the original on 2012-04-22. Retrieved 2011-10-14.CS1 maint: archived copy as title (link)
  6. FindACase™ | COMMONWEALTH v. BLUMENTHAL BROTHERS CHOCOLATE COMPANY (07/01/74)
  7. "Health-conscious Nestle sells U.S. candy to Ferrero for $2.8 billion". Reuters. January 17, 2018. Retrieved 2018-02-05.
  8. Goobers Chocolate Covered Peanuts - Candy you ate as a kid® Archived November 9, 2011, at the Wayback Machine
  9. NostalgicCandy.com - Old-Fashioned Retro Candy - Store Offline
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