Rockwood & Company significant person Warren Buffett
Business
Wallace T. Jones and W. E. Rockwood founded Rockwood & Company in 1886 and originally operated a chocolate factory on Cherry Street in Manhattan until 1904, when it moved to Brooklyn. At the time, it was the second largest producer of chocolate in the country, next to Hershey's. It processed raw cocoa into chocolate and made coatings, bars, cocoa, baking chocolate, and other confections. Rockwood may have been the first to introduce chocolate sprinkles (marketed as "Decorettes") to the United States circa 1915, and in later years its bestselling product was chocolate chips (marketed as "Chocolate Bits").
The company's treasurer, William M. Evans, was elected president in 1923 and moved to the role of Chairman of the Board in 1933 until his death in 1944. Jones' son, Wallace Thaxter Jones, became president in 1933. The factory's 1,000 workers went on strike for eleven days in August 1937, after a Pennsylvania chocolate workers' strike earlier that year. A few months later, Rockwood was part of the industry's first resale price contracts when it ensured its product, Pecan Feast, would be sold for a minimum of 5 cents. Rockwood was one of the suppliers of military chocolate during World War II,  though Hershey's played a larger role. 
When the younger Jones died in 1946, H. Russell Burbank was promoted from executive vice president to president or Rockwood & Co. Among its marketing activities Rockwood awarded $1,000 scholarships to winners of the Pillsbury bake-off if they used Rockwood products. This tactic bore fruit when an entry for "Starlight Mint Surprise Cookies" won the $10,000 second prize at the 1949 contest, and the recipe was included in packages of both Pillsbury and Rockwood products. The New York Times reported on a string of cocoa bean thefts at the factory in 1954, and how the police followed a truck driver who was selling part of his cargo. Two hundred thousand dollars of cocoa beans were estimated to have been stolen, at the then-price of 54¢ a pound, dropped off at a Gowanus Canal warehouse while being transported to the Erie Basin.The company was affected by a global shortage and rise in the price of cocoa beans that year to more than 60¢ a pound. Spending more on beans, but unable to change the retail price, the company started losing money. As they looked to sell the company, Jay Pritzker purchased a controlling interest of Rockwood stock, stopping the production of cocoa butter in order to sell cocoa beans themselves through a loophole which would avoid paying tax on the sale. He traded the beans to shareholders for more of the company's stock. His pricing ensured shareholders would want to sell, and presented an opportunity for arbitrage that Graham-Newman took advantage of, buying shares and immediately trading them to Pritzker for more valuable beans. A young Warren Buffett, who worked at Graham-Newman, bought shares but did not participate in arbitrage, understanding from Pritzker's point of view that, in the end, the more profitable company would be worth more. The stock price more than quintupled in the end.There was another strike in 1957, when the workers, who were members of the Bakery and Confectionary Workers International Union, stopped work amid concerns over severance payments in case the company went out of business. The following month, April 1957, the Rockwood Chocolate division was sold to the Sweets Company of America (now Tootsie Roll Industries). As part of the deal, the union sacrificed half of their vacation pay.