UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

x   Quarterly Report Pursuant to Section 13 or 15 (d) of the Securities
Exchange Act of 1934

For the quarterly period ended June 30, 2002

o   Transition Report Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934

For the transition period            to           

For the Quarter Ended June 30, 2002          Commission file number 1-800

WM. WRIGLEY JR. COMPANY

WM. WRIGLEY JR. COMPANY
INDEX TO FORM 10-Q

Page

PART I - FINANCIAL INFORMATION

Item 1 - Financial Statements

Consolidated Statement of Earnings (Condensed) for the Six and Three Months Ended June 30, 202 and 2001

2

Consolidated Statement of Cash Flows (Condensed) for the Six Months Ended June 30, 2002 and 2001

3

Consolidated Balance Sheet (Condensed) as of June 30, 2002 and December 31, 2001

4

Notes to Consolidated Financial Statements (Condensed)

5 - 7

Item 2 - Management's Discussion and Analysis of Results of Operations and Financial Condition

8 - 10

PART II - OTHER INFORMATION

Item 6 - Exhibits and Reports on Form 8-K

11

SIGNATURES

12

INDEX TO EXHIBITS

13

FORM 10-Q
PART I - FINANCIAL INFORMATION - ITEM 1
WM. WRIGLEY JR. COMPANY
CONSOLIDATED STATEMENT OF EARNINGS (CONDENSED)
(Unaudited)

Three Months Ended

Six Months Ended

June 30,

June 30,

2002

2001

2002

2001

Net sales

$

708,467

617,640

1,307,493

1,173,852

Cost of sales

286,854

251,096

536,253

479,491

Gross profit

421,613

366,544

771,240

694,361

Selling and general administrative

257,981

223,936

484,177

436,256

Operating income

163,632

142,608

287,063

258,105

Investment income

2,040

3,628

3,837

7,717

Other expense

(5,136)

(575)

(5,792)

(766)

Earnings before income taxes

160,536

145,661

285,108

265,056

Income taxes

50,569

45,628

89,809

83,493

Net earnings

$

109,967

100,033

195,299

181,563

Net earnings per average share

of common stock(basic and diluted)

$

0.49

0.44

0.87

0.80

Dividends declared per share

Of common stock

$

0.205

0.19

0.41

0.38

Average number of shares

Outstanding for the period

225,180

225,605

225,075

225,577

All amounts in thousands except for per share values.

Notes to financial statements beginning on page 5 are an integral part of these statements.

2

FORM 10-Q
PART I -- FINANCIAL INFORMATION -- ITEM 1 (Cont'd)
WM. WRIGLEY JR. COMPANY
CONSOLIDATED STATEMENT OF CASH FLOWS (CONDENSED)
(Unaudited)

Six Months Ended
June 30,

2002

2001

OPERATING ACTIVITIES

Net earnings

$

195,299

181,563

Adjustments to reconcile net earnings to net

cash provided by operating activities:

Depreciation

41,120

31,054

Gain /(loss) on sales of property, plant,

and equipment

(201)

212

(Increase) decrease in:

Accounts receivable

(40,855)

(65,729)

Inventories

(39,419)

(36,661)

Other current assets

(5,761)

(11,705)

Other assets and deferred charges

(11,642)

(3,917)

Increase (decrease) in:

Accounts payable

(7,165)

9,998

Accrued expenses

36,690

52,663

Income and other taxes payable

8,795

18,800

Deferred taxes

(791)

(165)

Other noncurrent liabilities

12,062

2,986

Net cash provided by operating activities

188,132

179,099

INVESTING ACTIVITIES

Additions to property, plant, and equipment

(90,315)

(57,649)

Proceeds from property retirements

2,536

1,300

Purchases of short-term investments

(24,518)

(14,482)

Maturities of short-term investments

27,120

17,341

Net cash used in investing activities

(85,177)

(53,490)

FINANCING ACTIVITIES

Dividends paid

(88,875)

(82,336)

Net purchases of common stock

(5,305)

(1,275)

Net cash used in financing activities

(94,180)

(83,611)

Effect of exchange rate changes on cash and

cash equivalents

9,884

(9,472)

Net increase in cash and cash equivalents

18,659

32,526

Cash and cash equivalents at beginning of period

307,785

300,599

Cash and cash equivalents at end of period

$

326,444

333,125

SUPPLEMENTAL CASH FLOW INFORMATION

Income taxes paid

$

84,666

68,637

Interest paid

$

818

373

Interest and dividends received

$

3,768

7,534

All amounts in thousands.

Notes to financial statements beginning on page 5 are an integral part of these statements.

3

Table_Of_Contents

FORM 10-Q
PART I -- FINANCIAL INFORMATION -- ITEM 1 (Cont'd)
WM. WRIGLEY JR. COMPANY
CONSOLIDATED BALANCE SHEET (CONDENSED)
(Unaudited)

June 30,

December 31,

2002

2001

Current assets:

Cash and cash equivalents

$

326,444

307,785

Short-term investments, at amortized cost

26,639

25,450

Accounts receivable

(less allowance for doubtful accounts;

6/30/02 - $8,104; 12/31/01 - $7,712)

292,518

239,885

Inventories -

Finished goods

91,039

75,693

Raw materials and supplies

234,423

203,288

325,462

278,981

Other current assets

59,485

46,896

Deferred income taxes - current

17,832

14,846

Total current assets

1,048,380

913,843

Marketable equity securities at fair value

20,149

25,300

Deferred charges and other assets

134,991

115,745

Deferred income taxes - noncurrent

27,059

26,381

Property, plant, and equipment, at cost

1,363,638

1,256,096

Less accumulated depreciation

618,506

571,717

Net property, plant, and equipment

745,132

684,379

Total assets

$

1,975,711

1,765,648

Current liabilities:

Accounts payable

$

88,368

91,225

Accrued expenses

178,936

128,436

Dividends payable

46,195

42,741

Income and other taxes payable

68,467

Deferred income taxes - current

1,672

1,455

Total current liabilities

394,590

332,324

Deferred income taxes - noncurrent

41,950

43,206

Other noncurrent liabilities

128,993

113,921

Stockholders' equity:

Preferred stock (no par value)

Authorized - 20,000 shares

Issued -- None

Common stock (no par value)

Authorized - 400,000 shares

Issued -

190,100 shares at 6/30/02

189,800 shares at 12/31/01

12,666

12,646

Class B common stock (convertible)

Authorized - 80,000 shares

Issued and outstanding -

42,341   shares at 6/30/02

42,641   shares at 12/31/01

2,830

2,850

Additional paid-in capital

2,717

1,153

Retained earnings

1,788,182

1,684,337

Common stock in treasury, at cost -

(6/30/02;  7,099 shares; 12/31/01 -- 7,491 shares)

(280,716)

(289,799)

Accumulated other comprehensive income:

Foreign currency translation adjustment

(125,795)

(149,310)

(Loss)/gain on derivative contracts

(631)

46

Unrealized holding gains on marketable

equity securities

10,925

14,274

Total accumulated other comprehensive income

(115,501)

(134,990)

Total stockholders' equity

1,410,178

1,276,197

Total liabilities & stockholders' equity

$

1,975,711

1,765,648

All amounts in thousands.

Notes to financial statements beginning on page 5 are an integral part of these statements.

FORM 10-Q
PART I -- FINANCIAL INFORMATION -- ITEM 1 (Cont'd)
WM. WRIGLEY JR. COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONDENSED)
(Unaudited)

1.

The Consolidated Statement of Earnings (Condensed) for the three month and six month periods ended June 30, 2002 and 2001, respectively, the Consolidated Statement of Cash Flows (Condensed) for the six month periods ended June 30, 2002 and 2001, and the Consolidated Balance Sheet (Condensed) at June 30, 2002, are unaudited. In the Company's opinion, the accompanying financial statements reflect all adjustments necessary to present fairly the results for the periods and have been prepared on a basis consistent with the 2001 audited consolidated financial statements. These condensed financial statements should be read in conjunction with the 2001 consolidated financial statements and related notes which are an integral part thereof. Certain amounts recorded in 2001 have been reclassified to conform to the 2002 presentation.

2.

Conformity with generally accepted accounting principles requires management to make estimates and assumptions when preparing financial statements that affect assets, liabilities, revenues and expenses. Actual results may vary from those estimates.

3.

On January 1, 2002, the Company adopted the accounting rules for Emerging Issues Task Force Issues 00-14 and 00-25. In adopting these accounting rules, the Company began reporting certain consumer and trade sales promotion expenses such as coupon redemption costs, in-store display incentives, co-operative advertising and new product introduction fees, as deductions from sales rather than as selling and general administrative expense. The consumer and trade sales promotion expenses applicable to these Issues totaled $11,202 and $6,252 for the second quarter and $21,665 and $11,663 for the first six months of 2002 and 2001, respectively. The consumer and trade sales promotion expenses applicable to these Issues are reflected in net sales for all periods. Adoption of the accounting rules had no impact on the Company's financial position or net earnings.