Ferrara's son Salvatore says he died Friday at his home in the Chicago suburb of River Forest surrounded by his family.
Nello Ferrara took over the family business when he became chairman of Ferrara Pan candy. His father founded the company in 1908.
Salvatore Ferrara says his father created the Lemonhead because he claimed his son's head was shaped like a lemon when he was born.
The Atomic Fire Ball came after Ferrara lived in Japan during World War II.
Ferrara Pan candy also makes Red Hots and Boston Baked Beans.
Ferrara is survived by his wife of 63 years, his son and two daughters, grandchildren and great-grandchildren.
