Quaker Manufacturing Corp. history

Robert D. Stuart, Jr., became CEO in 1966.

Many of these acquisitions were eventually sold, but Fisher-Price Toy Company, purchased in 1969, was held for more than two decades and grew beyond expectations.

Late in 1970 Stuart restructured Quaker's organization around four decentralized businesses: grocery products, which now included cookies and candy; industrial and institutional foods, which contained the newly acquired Magic Pan Restaurants; toys and recreational products; and international.

A second toy company, Louis Marx Toys, was purchased in 1972.

Stuart had successfully lessened the company's dependence on grocery products, but profits also dropped, to a low of $31 million in 1975.

William D. Smithburg replaced Stuart as CEO in late 1979.

Anderson Clayton & Company, purchased in late 1986, gave Quaker a 15 percent share of the pet-food market with its Gaines brand, effectively challenging Ralston Purina's lead in that market.

By expanding Gatorade's geographic market, Quaker made the drink its top seller in 1987.

In response, the company announced in April 1989 that it would repurchase seven million of its nearly 80 million outstanding shares, and that July, Smithburg reassigned some managerial duties.

The buying spree continued through 1994 and into 1995 with the acquisitions of Proof & Bake frozen bagels, Maryland Club coffee, Arnie's Bagelicious Bagels, and Nile Spice Foods, a maker of dried soups, pasta, and beans. Its concentration was on healthful food brands, such as Near East rice and pasta products, Chico-San rice cakes, and Petrofsky's bagels, all acquired in 1993.

On the international front, Quaker continued its aggressive Gatorade marketing drive, and by 1994 the beverage was available in 25 countries across Latin America, Asia, and Europe.

Despite its record sales figures, Quaker's overall financial outlook was not so bright as it entered 1995.

Although lagging sales caused Quaker to sell the Snapple business in 1997, the company continued to expand the Gatorade brand by introducing nutritional drinks and snacks.

These and other moves led to $65 million in savings during 1998.

The desire to gain ownership of Gatorade led three of the largest beverage companies in the world to make bids for Quaker Oats during a rather wild couple of months in late 2000.

The company changed its name to Quaker Foods and Beverages after being acquired by PepsiCo, Inc., in 2001.

Revenues for this divested business totaled $27 million in 2002.

Morrison remained in charge of Quaker Foods (and the Gatorade and Tropicana businesses) until February 2003, when he retired.

The acquirer gained the right to temporarily use the Quaker name under license but converted the products to the Malt-O-Meal brand by early 2004.

In early 2005 Quaker Take Heart Instant Oatmeal debuted, with two features aimed at fighting heart disease: it included 50 percent more soluble fiber from whole-grain oats to help reduce cholesterol, and it supplied higher amounts of potassium to help lower blood pressure.