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Consumer Defensive

Tootsie Roll Industries, Inc. (TR)

Consumer Defensive $2.9B market cap

Data as of July 17, 2026

Environment
60.00
People
75.00
Leadership
65.00

Environment story

Tootsie Roll discloses minimal environmental data and lacks quantified Scope 1, 2, or 3 emissions reporting. No net-zero target year is disclosed. The 10-K Risk Factors section acknowledges climate change, environmental regulation, and packaging/recycling mandates as material risks, but the company has not published a dedicated sustainability report or disclosed concrete decarbonization initiatives. The company acknowledges FDA phaseout of synthetic dyes (announced April 2025) as a regulatory risk, indicating reactivity rather than proactive environmental leadership. Deductions applied: -15 for undisclosed Scope 3 emissions; -15 for absent net-zero target; -10 for lack of verified decarbonization infrastructure investments. No controversies over toxic waste or localized water issues are disclosed in the 10-K.

Criticisms on file

  • FDA Synthetic Dyes Phaseout Risk
    Source: TR 10-K Item 1A Risk Factors: 'in April 2025, it was announced that the FDA intends to phase out the approved use of certain synthetic dyes in food products, which the Company uses in some of its products.'
  • State-Level Synthetic Dye Bans
    Source: TR 10-K Item 1A Risk Factors: 'Many states, including West Virginia, have passed, or are in the process of passing, legislation that prohibits or restricts the sales of products with certain synthetic dyes within their respective states.'
  • Environmental Regulation Risks
    Source: TR 10-K Item 1A Risk Factors: 'Risks related to environmental matters - Increased government environmental regulation, including packaging and recycling mandates, or legislation, including at the state and local level, could adversely impact the Company's profitability.'

Disclosed initiatives

  • Manufacturing Process Modernization
    Company statement in 10-K: 'improves and modernizes production processes, and develops and implements new technologies to improve quality and efficiencies.' No quantified impact or timeline disclosed.
  • Product Quality and Efficiency Improvements
    Company conducts R&D for product quality and operational efficiency but 'does not expend material amounts of money on research or development activities.'

Social story

Tootsie Roll employs approximately 2,100 full-time employees and maintains union labor agreements at Chicago and Canadian facilities (expiring 2027 and 2029 respectively). The 10-K states the company 'pay[s] employees competitively and offer[s] a broad range of company-paid benefits' and requires adherence to a Code of Conduct. However, no quantified CEO-to-median-worker pay ratio, workforce diversity metrics, turnover rate, or supply-chain labor audit data are disclosed in the filing. The company does not disclose EEO-1 data, gender/racial pay gap analysis, or supplier diversity programs. Union standing appears neutral; no active union-suppression activities or recent strikes are disclosed. The 10-K acknowledges multi-employer pension plan 'critical and declining status' risk. Deductions applied: -15 for absence of disclosed leadership diversity metrics; -10 for lack of supply-chain human-rights audit data. No CEO pay ratio disclosure permits conservative scoring.

Criticisms on file

  • Multi-Employer Pension Plan 'Critical and Declining Status'
    Source: TR 10-K Item 1A Risk Factors and Note 7: 'the Company participates in a multi-employer union pension plan (Plan) which is currently in "critical and declining status", as defined by applicable law. A designation of "critical and declining status" implies that the Plan is expected to become insolvent within the next 20 years.'

Disclosed initiatives

  • Competitive Employee Compensation
    10-K states: 'We pay our employees competitively and offer a broad range of company-paid benefits, which we believe are competitive with others in our industry.'
  • Code of Conduct
    All employees required to adhere to Code of Conduct promoting 'honest, ethical and respectful conduct in the workplace.' Available at www.tootsie.com.
  • Seasonal Workforce Management
    Company brings on 'additional employees to meet seasonal production demands principally in advance of the Halloween selling season.' Workforce varies with Christmas, Easter, Valentine's Day demand.

Governance story

Tootsie Roll exhibits a dual-class share structure with Class A (common) and Class B common stock, with Class B non-publicly traded and convertible 1:1. The Gordon family holds majority combined voting power over all classes, enabling them to elect directors and approve shareholder actions—a supermajority control structure that impairs independent board oversight. The 10-K discloses no board independence percentage or committee composition in the provided text. Lobbying expenditures are not disclosed. No antitrust proceedings, consumer-safety consent decrees, or financial-fraud regulatory actions are mentioned in the 10-K. No evidence of shareholder proposal litigation or blocking of climate proposals. Deductions applied: -20 for Gordon family supermajority voting control via dual-class structure; -15 for absence of disclosed board independence metrics (unable to verify ≥75% threshold); -10 for lack of lobbying disclosure transparency. No greenwashing litigation detected.

Criticisms on file

  • Gordon Family Supermajority Control via Dual-Class Share Structure
    Source: TR 10-K Item 1A Risk Factors: 'The Company is a controlled company due to the common stock holdings of the Gordon family. The Gordon family's (including family members) share ownership represents a majority of the combined voting power of all classes of the Company's common stock as of December 31, 2025. As a result, the Gordon family has the power to elect the Company's directors and approve actions requiring the approval of the shareholders of the Company.'
  • Minimal Board Independence Disclosure
    Source: TR 10-K Form structure: Board composition, independence, and committee details are incorporated by reference from Proxy Statement (not provided in source documents), preventing quantitative governance audit.

Disclosed initiatives

  • Internal Controls over Financial Reporting
    Company filed attestation to management's assessment of internal control effectiveness under Sarbanes-Oxley Section 404(b). Large accelerated filer status indicates compliance with enhanced disclosure requirements.
  • Cybersecurity Program
    Company states: 'The Company has a cybersecurity program in place for assessing, identifying and managing cybersecurity risks.' Includes incident response plan, external consultants, security firm engagement, and cyber-insurance. Director of IT with 10+ years security leadership oversees program. Audit Committee receives periodic reports.

These are Missionomics' own editorial scores — directional signals built from disclosed facts under a published method, not certifications or definitive ratings of Tootsie Roll Industries, Inc.. Coverage and confidence vary by data point, and figures can lag real-world changes. Read the full Methodology for sourcing, scoring, and correction details — or open Tootsie Roll Industries, Inc. in the app for interactive charts and portfolio building.

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