U.S. Commercial Group to capitalize on Hershey's confectionery leadership and
build scale in U.S. snack market
International Commercial Group to pursue profitable growth opportunities in
the Americas and Asia
Global Growth and Innovation Group to build global brands and drive
broad-based innovation
HERSHEY, Pa., Nov. 21 /PRNewswire-FirstCall/ -- The Hershey Company
(NYSE: HSY) today announced a new organization structure to better leverage
its scale in the U.S. and accelerate the company's growth in key global
markets. The changes, which are effective immediately, are designed to further
strengthen the company's current performance while capitalizing on long-term
growth opportunities.
Highlights of the new structure include the formation of:
-- A U.S. Commercial Group, with responsibility for continuing to build
Hershey's confectionery leadership while capitalizing on its scale in
the U.S. snack market.
-- An International Commercial Group, with responsibility for pursuing
profitable growth opportunities in key markets in the Americas and
Asia.
-- A Global Growth and Innovation Group, with responsibility for building
global brands, developing benefit-driven growth platforms for the short
and long term, and strengthening marketing capabilities worldwide.
Commenting on the new organization structure, Richard H. Lenny, Chairman,
President and Chief Executive Officer, The Hershey Company, said, "We've made
great strides in executing Hershey's value-enhancing strategy in recent years,
delivering record sales, market share and earnings from operations. Now is the
right time, as we approach the close of what we expect will be another strong
year, to take steps to strengthen our performance in the near term and build a
structure that will continue our momentum for the long term.
"The organizational structure we announced today," continued Lenny, "will
allow Hershey to capture a larger share of the U.S. snack market while
broadening its international presence. Unifying our U.S. business, adding
much-needed global capabilities, and aligning selected international
opportunities with total company resources will ensure that we continue to
achieve top-tier performance."
Chris Baldwin, formerly Senior Vice President, Chief Global Customer
Officer, has been appointed Senior Vice President, President U.S. Commercial
Group. Michele Buck, formerly Senior Vice President, President U.S. Snacks,
has been appointed Senior Vice President, Chief Marketing Officer, U.S.
Commercial Group, reporting to Baldwin.
"Since joining Hershey in late 2004," Lenny said, "Chris has provided
commitment, leadership and broad industry knowledge resulting in record sales
and market share performance. Our customer initiatives reflect his keen
understanding of marketplace opportunities and the pragmatic allocation of
selling resources at both the headquarters and retail levels.
"In addition to building our confectionery leadership position," continued
Lenny, "Chris quickly and effectively has established Hershey's retail
presence in several high potential snack segments. His new role will ensure
that the streamlined U.S. Commercial Group delivers superior results from both
a consumer and customer standpoint."
In commenting on Michele Buck's appointment as Senior Vice President,
Chief Marketing Officer, U.S. Commercial Group, Lenny said, "Michele has
provided the strong leadership necessary to establish Hershey within new snack
segments. Our results to date are encouraging, with several platforms gaining
traction. Michele now will provide her insight and marketing expertise across
our entire portfolio to build our position within the total U.S. snack market.
By unifying our approach, we'll fully leverage Hershey's iconic brands and
advantaged business system."
John P. Bilbrey, formerly Senior Vice President, President Hershey
International, will continue in his present role and has been appointed Senior
Vice President, President International Commercial Group.
"During the past two years," said Lenny, "J.P. has delivered solid
performance at Hershey International. Now, with this foundation firmly in
place, we're better positioned to broaden our international presence both
within existing global markets and in selected new markets. Working with his
colleagues, J.P. will ensure a disciplined and collaborative approach to
building global brands and establishing the most cost-effective business
system based on the specific needs of each geographic region."
Thomas Hernquist, formerly Senior Vice President, President U.S.
Confectionery, has been appointed Senior Vice President, Global Chief Growth
Officer. Hernquist will be responsible for all major new platform and new
product development efforts across the company and around the globe, as well
as for brand positionings, portfolio strategy, Integrated Business
Intelligence, and such major corporate initiatives as Health & Wellness and
multi-cultural marketing.
"Tom's leadership has been instrumental in accelerating Hershey's new
product innovation over the past three years," said Lenny. "From limited
editions of existing products to entirely new platforms, the strategic
discipline established by Tom has driven superior marketplace performance and
has helped Hershey to consistently lead the market in new product innovation.
Tom will ensure that we develop superior capabilities across the company,
whether it is in consumer insights, new product development or innovative
marketing communications."
Dan Azzara, Vice President, Innovation & Quality, will report to
Hernquist. In this role, Dan will be responsible for creating global platforms
that simultaneously build Hershey's business in the U.S. and in select
international markets. In addition, he will ensure that the company's
innovation pipeline delivers new products in the near term while developing
platforms for several years out.
Commenting on Dan's role, Lenny said, "Under Dan's leadership, our R & D
group has delivered exceptional new product innovation within our core U.S.
confectionery business. Most recently, it has enabled us to effectively extend
our brands into selected snack market segments. Dan will bring this same level
of product innovation to all of our businesses, regardless of geographic
market."
About The Hershey Company
The Hershey Company (NYSE: HSY) is a leading snack food company and the
largest North American manufacturer of quality chocolate and non-chocolate
confectionery products. With revenues of over $4 billion and more than 13,000
employees worldwide, The Hershey Company markets such well-known brands as
Hershey's, Reese's, Hershey's Kisses, Kit Kat, Almond Joy, Mounds, Jolly
Rancher, Twizzlers, Ice Breakers, and Mauna Loa, as well as innovative new
products such as Take 5 and Hershey's Cookies. In addition to its traditional
confectionery products, Hershey offers a range of products specifically
developed to address the nutritional interests of today's health-conscious
consumer. These products include sugar-free Hershey's, Reese's and York
candies, and PayDay Pro. It also markets Hershey's cocoa, Hershey's syrup and
other branded baking ingredients, toppings and beverages.
In addition, Artisan Confections Company, a wholly owned subsidiary of The
Hershey Company, markets such premium chocolate offerings as Scharffen Berger,
known for its high-cacao dark chocolate products, and Joseph Schmidt,
recognized for its fine, handcrafted chocolate gifts. Visit us at
www.hersheynewsroom.com.
Safe Harbor Statement
This release contains statements which are forward-looking. These
statements are made based upon current expectations which are subject to risk
and uncertainty. Actual results may differ materially from those contained in
the forward-looking statements. Factors which could cause results to differ
materially include, but are not limited to: the Company's ability to implement
and generate expected ongoing annual savings from the program to advance its
value-enhancing strategy; changes in the Company's business environment,
including actions of competitors and changes in consumer preferences; customer
and consumer response to selling price increases; changes in governmental laws
and regulations, including taxes; market demand for new and existing products;
changes in raw material and other costs; pension cost factors such as
actuarial assumptions, market performance, and employee retirement decisions;
and the Company's ability to implement improvements to and reduce costs
associated with its supply chain, as discussed in the Company's Annual Report
on Form 10-K for 2004.
SOURCE The Hershey Company
-0- 11/21/2005
/CONTACT: Stephanie Moritz of The Hershey Company, +1-717-534-7641, or
smoritz@hersheys.com /
/Web site: http://www.hersheys.com
http://www.hersheynewsroom.com /
(HSY)
CO: The Hershey Company
ST: Pennsylvania
IN: FOD
SU: RCN
LH
-- NYM130 --
5123 11/21/2005 07:30 EST http://www.prnewswire.com
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