Pay someone to do my online math class

Pay someone to do my online math class
Pay someone to do my online math class

Pay someone to do my online math class

Are you wondering if you can pay someone to do my online math class? The answer is yes. Several sites can do your math homework at affordable prices. Speedwriters being one of the top-notch essay writing service, we offer all types of homework help.

Mathematics is one of the most challenging subjects in both high school and college. Very few students can complete math homework and pass with a good grade. If the idea of pay someone to do math homework has never crossed your mind? it should today.

With experts’ help, they will solve my finite math quiz before they are due and give you time to revise for other subjects that are not hard. Even though math’s genius cannot sit down in your class lectures, you can opt to take online classes because you can pay someone to take them online for you, and it will be confidential, nobody will realize.

Reasons why student’s hire professionals writers do their math’s homework 

1.Hard subject

Not every student is capable of completing math lab homework and get a good grade. It’s one of the most demanding subjects, and I think most  hated subject. With the help of professional academic writers, you can have all your algebra, calculus, geometry assignments completed for you.

Writing service will spare you a lot of time to do other subjects that you can complete. We understand that in schools’ math is mandatory; therefore, you don’t have to fail and have a bad grade because you can pay for someone to do MyMathLab homework.

2.Boost your grade

If you took your math online class and failed, you should not risk doing similar assignments yourself. Hiring an experienced homework writer will ensure you don’t fail  again and he will boost your overall grade.

3.Plagiarism free homework

It’s a hard task writing or doing homework from scratch. Most students copy their friend’s homework’s ending up getting punished for plagiarism. Most academic writing companies like Speedywriters.us do understand submitting plagiarized work is an unethical and punishable offense. Therefore, you can rest assured when you pay for any homework. It will be plagiarism-free.

Be free

Is your math the best subject? If the answer is no, you don’t have to stress yourself sitting all night tackling calculations that you don’t even understand.

Paying someone to do math homework for you will save you a lot of time.

4.Time

Most students, especially in the united states, are part-time scholars meaning they are employed people. Also, the full-time scholars have part-time jobs.

You will have a hard time doing your assignments and still prepare for the end-of-term exams. Finding a suitable academic help service and delegating all the homework to them will spare you more time for exam preparations.

Cost of hiring someone to do math homework and other subjects

1.Homework deadline

More urgent homework tends to cost more. Urgent paper means the expert has less time to complete the paper and this may require involving more than a professional writer; therefore, you are likely to pay more.

Submitting your paper to us on time will save you several bucks because it will cost you less than submitting the homework a few hours before it’s due.

2.Course and subject

The more advanced course you need to be done, the more it will cost you. Also, subjects like math, accounting, etc., will cost more because they require experienced experts who charge more. 

3.Number of questions or pages to be written

Price calculation is per page or tasks to be completed. The more the pages, the more the cost. As speedy writers, we usually like the client contacting us for math homework before submitting it so that we can give a quote before paying.

Subjects that you can get homework help from Speedwriters

We are ultimately the best and cheap essay writing service across the globe. For the past ten years, we have been helping students with all types of academic writing services. At our disposal is a team of experienced professional essay writers and math geniuses who you can hire to do your homework anytime, 24/7. Below is a list of subjects that we can do for you: –

Why trust us with your online math class

We are not blowing our own trumpet, but I should let you know a few things about our company. These are some of the benefits  that you will enjoy once you start using our service.

  1. Legit, secure, and confidential essay service-All payments are securely processed, and no client information is leaked to third parties. Completed orders are emailed to you, and nobody will be aware of your ordering essay services from us.
  2. Money-back guarantee –Unhappy customers have the right to demand their money back. We are best to deliver good papers to avoid the frustrations of refunding client money.
  3. 24/7 Support-You can contact or place any urgent order at any time of the day, and we will complete it. Our support will also respond to all your queries on time.
  4. Timely Delivery-We never misses deadlines. Our experts are fined for late papers, which shows how serious we are regarding homework deadlines.
  5. Quality papers-As Speedwriters team, we never compromise on paper qualities. Before we send the homework to the student, it’s given a team of proofreaders to check for mistakes, and then we get a plagiarism report.

Frequently asked questions 

How much should I pay someone to take my online class?

There is no constant amount that you are required to pay someone to take your online class. The cost of hiring homework writer depends on several factors. Most companies determine the cost by calculating the time given to complete the class, the subject at hand, and the amount of work, i.e., pages or questions to be done.

However, some companies are pricey, and it’s good to compare different writing companies and pick the one with a reasonable, affordable price.

What is taking an online class for someone else?

Taking an online class for you means that you will give your login details for the online dashboard, and we will assign an expert homework writer to complete all your tasks. The online class can be math homework or multi-choice assignment of any subject.

Can you take my online class for me at a cost?

Definitely yes. We, as Speedywriters we can take your online class at an affordable cost. Any student can afford to use our service because we are cheap. We understand most of the students are still in school and not working; therefore, we charge a considerable amount.

Is finish my math class legit?

We cannot tell you if  finish my math class legit. However, there are vital things that you can look out for in a legit essay writing company. One the company should have contacts that you can directly text or chat or call them. Another thing is live support. Does the company have live support where clients can contact the admin.? All these features are available in Speedywriters; therefore, you should consider using our service.

Criminal Justice

Criminal Justice

Introduction

All over the world, the evolution and the gradual, rapid, and inevitable change that occurs in human life and experiences has influenced a lot of things. The only way to handle humanity is to bring order and sanity among individuals. With this at stake, the different authorities and governments have gone forth to put in place the necessary machinery that will overlook the provision of justice and ensure that the laws implemented will punish criminals. Well, a good question to ask you would be why governments need to put in place systems and machinery and boards to handle criminal justice? This is with no doubt that with such in place, order, peace, harmony and the well-being of individuals is achieved.

When criminal justice is upheld, then it means crime would not go unpunished as criminals will be tried before law corps and detained in criminal facilities. While justice is enhanced, then the activities and livelihood of people in a location, district or even a state will be with order. However, the system of law must be able to take care of the citizens interests (Berk, 2021). This comes after a requirement that the system of law should clearly and properly spell out the rights and freedoms of the people. To add on this, it means that the government should always be there for the people, by the people and democratically functioning.

Similarly, scholars of law and criminologists have gone forward to look in depth about criminal justice and how its functions should be interpreted (Nowotny, 2020). Therefore, different governments have also invested highly on ways by which criminal justice has to be effectively presented. Again, to be a part of the criminal justice body, it means that individuals have a requirement of following up with all the study processes in this field. To this point, I can confidently state that it does not come from a silver platter to attain such. Therefore, learners in this field have to put up with intense learning and critically analyze different situations to attain certification to enable them work with this body.

In this paper, the discussion follows a sequence in which the justice is offered and how criminals are handled. More so, the context at which criminology has been associated with criminal justice is also discussed at large.

Related:  history assignment help

Definition

Criminal justice class

In a learning context, a class that is brought up to get educated on issues to deal with justice and crime is the criminal justice class. Also, to join such a class is a surety that one has decided to take criminal justice as a program of learning that has been accredited for by a given college. As mentioned earlier, learning or being knowledgeable about criminal justice is not that simple and has to be taken seriously.  Additionally, quite a number of topics are included in the program so that the learner should be well prepared to handle whatever things that come with the career to say (Ram, 2017). While tackling all these, this paper suggests that criminal justice students should be prepared to undertake the different programs in this field to facilitate their careers.

Criminal justice course

While talking of the different career choices, this paper addresses criminal justice. Therefore, this suggests that such assignments are directed to students undertaking programs in criminal justice. Also, while critically looking into this, as a career choice, criminal justice demands for the best as the skills being trained under this course demand proper abilities to look into situations, analyze and draw conclusions from such. Therefore, it is wise to recognize the fact that such programs like criminal justice are with no doubt pointed to practitioners of law and crime. This has to be with the example of the federal board of investigators, the lawyers, the judges, private or hired investigators and the forensics just by mentioning a few.

Relationship between criminology and criminal justice

While looking into crime and justice, this paper also fulfills the discussion of how criminal justice is associated or rather related to criminology. Describing criminology, it involves acquiring knowledge about crime. More so, considerations have it that criminology is a science in sociology too as it takes care of the social well-being of the society with all perspectives. On the other hand, criminal justice dis deep into how crime is responded to by the society at large (Završnik, 2019). Again, the composition of the system of criminal justice is the key components that build up the law and its enforcements. Additionally, the investigation of crimes, how criminals are to be punished, and how correctional facilities will change the behaviors of wrong doers.

In such cases, it is easy to recognise the fact that under criminal justice there are a number of different job types under this sector. Most likely, under this sector quite a number of careers correlate with each other say for example a psychologist in forensics being able to take work from both criminology and the justice and crime sectors. This comes as a result of the psychologist being able to evaluate the behaviours of the various criminals and at the same time taking part in the selection of the jury to handle a case.

Conclusion

In conclusion, the components of an integral system of justice will include those who detect crime, those who investigate into crimes and those who take part in conducting arrests on criminal activities. This therefore implies that in a criminal and justice system, jobs can be able to range as seen from different angles.

Also, while undertaking this program, the learner has to be able to have familiarized with the importance of getting knowledgeable about crime and justice. Well, the first thing that comes in mind is getting a career choice that pays best. However, there are other important considerations such as the desire to be of good help to others, being environmental flexible, and having the knowledge to identify with the rights and freedoms and the punishment of crime as spelt by the law.

Related:

Criminal Justice Homework Help

References

Berk, R., Heidari, H., Jabbari, S., Kearns, M., & Roth, A. (2021). Fairness in criminal justice risk assessments: The state of the art. Sociological Methods & Research, 50(1), 3-44.

Huq, A. Z. (2018). Racial equity in algorithmic criminal justice. Duke LJ, 68, 1043.

Nowotny, K., Bailey, Z., Omori, M., & Brinkley-Rubinstein, L. (2020). COVID-19 exposes need for progressive criminal justice reform.

Ram, N. (2017). Innovating Criminal Justice. Nw. UL Rev., 112, 659.

Sugie, N. F., & Turney, K. (2017). Beyond incarceration: Criminal justice contact and mental health. American Sociological Review, 82(4), 719-743.

Wexler, R. (2018). Life, liberty, and trade secrets: Intellectual property in the criminal justice system. Stan. L. Rev., 70, 1343.

Završnik, A. (2019). Algorithmic justice: Algorithms and big data in criminal justice settings. European Journal of Criminology, 1477370819876762.

Do My Access Homework

Do My Access Homework
Do My Access Homework

Do My Access Homework

Every IT student must master database technologies to succeed in this course. With Microsoft Access, you can begin this journey with simple, guided steps that will gradually elevate you to Oracle SQL or MySQL. Access offers numerous basic and advanced capabilities of model databases alongside beginner-friendly structuring tools for databases, query design, form wizards, and reports. Our highly trained and qualified tutors can help you with any of the following Access assignments:

  • Importing and exporting various data formats
  • Filtering data
  • Visual Basic for Applicators (VBA)
  • Forms and reports
  • SQL query design
  • Entity Relationship Diagram (ERD) using draw.io or the more professional MS Visio
  • Business rule analysis and other complete projects
  • Database design and implementation

Are you stuck with an Access assignment that’s almost, and you’re wondering, “Who can help me with my homework?” You have come to the right place. Whether you are looking for academic or professional Microsoft Access assignment help, our tutors have your back.

We provide professional, high-value assignment help on our homework website for some of the best rates online. Since the program requires some technical expertise and years of experience to produce creative and correct solutions, especially for commercial and noncommercial databases, you need to entrust your homework to a reputable online assignment service. Our MS Access homework experts have helped students complete their college homework assignments globally and are eager to help you too.

Is your MS Access project uploaded on sam.cengage.com or another online platform? It might prove quite challenging to find homework help online that will not tip off your teacher that someone else is taking your assignment. Luckily, we use some of the most innovative paid VPN services to ensure our homework help is not detected, no matter which country you are in the world. You can trust us to log into your account, complete your weekly assignments, solve your final exams, and log out like we were never there. Our excellent tutors and Access experts guarantee complete anonymity.

Related Article :  Java Homework Help

How We Can Help You Understand Your MS Access Homework

Our in-house experts are qualified MS Access professionals who do this for a living and in real business. As such, you can rest assured that they know what they are doing. Additionally, they have years of challenging projects and SQL experience under their belts, making them your best bet at completing your Access homework successfully. We also offer MS Access homework as a premium service, ensuring that your assignment is completed with utmost care and guaranteeing impressive grades.

Even the brightest students struggle with meeting deadlines from time to time. However, it is understandable, especially with the pressure to maintain perfect grades, join sports, remain social and do your personal studies. If you feel overwhelmed by school work and need a little bailing out, we can help. We can comfortably tackle all MS Access assignments from basic level to more advanced projects, giving you ample time to catch up on other things and perfect your programming skills.

A good number of the students we have helped tell us that they find it far easier to write SQL code than create and manage tables with the MS Access interface. This may be especially true if you are still getting used to the ropes of this course. Not to worry, when those tables get too big and messy, your head starts to ache, you can reach out to us for MS Access homework help online. Do not hesitate to entrust us with your SQL code homework either. We cover all your Access bases so you can focus on horning your skills.

MS Access User Interface Components

The Microsoft, Access user interface, has the following main components:

  • Access Ribbon

This is the tabs line containing a group of commands situated across the top of the Access program window. These tabs include those that group related commonly used commands and contextual tabs that appear only when you use them. They also comprise a customizable toolbar with all your favorite commands and the Quick Access Toolbar.

  • The Backstage View

This is the collection of commands you see on the file tab on your Access ribbon. It contains all the commands and information applicable to a whole database and other commands on the File menu, such as Print.

  • The Navigation Pane

The navigation pane allows you to work on various database objects and is located on the left-hand side of your Access window. Its main function is changing or opening the design of the database. You can organize it using the categories and groups on the pane.

These three elements provide the environment to create and use various databases. They help you understand how to navigate the MS Access interface perfectly and easily. If you are still getting the hang of it, we can help you with your SQL coding and any other requirements to have more time to practice and get better at coding and specialized programming. Our highly qualified tutors can also help you with the following additional tasks:

  • SQL Query design
  • Data import and export
  • Database design and implementation
  • Data filtering

Let us help you solve your MS Access homework with the most personalized and intelligent approach. Now you can maintain perfect grades as you focus on your most prominent skills! Feel free to visit our website, and one of our tutors will be able 24/7 to help you out.

 

How Much Should I Pay Someone to Take My Online Class?

The amount of money you pay an online tutor depends on the following factors:

  • Workload: Most online classes comprise research papers, discussions, exams, quizzes, projects, essays, and homework assignments. Some have more work than others, and a tutor will most probably inquire about this workload beforehand. More workload calls for a higher payment.
  • Type of Online Class Help You Need: For instance, 500-word college homework assignments will cost less than hiring a tutor to complete an entire discussion board.
  • You may also have to pay more if your homework help online needs to be completed within 24 hours or less.
  • A homework website that promises high grades may charge more, but you’ll certainly get value for your money.

Can You Pay Someone to Take Your Online Class?

Yes, you can. If you are having trouble completing your assignments before the deadline, you could benefit from paying someone to do your homework. All you need to do is find a reliable homework website online, request a tutor, and negotiate the terms of your agreement. You’ll have to part with some money, but it will be worth your while.

HSA-5175 Health Care Finance Assignment 2

HSA-5175 Health Care Finance Assignment 2

Critical Reflection Paper: Chapters 3, 4 & 5

ObjectiveTo critically reflect your understanding of the readings and your ability to apply them to your Health care Setting.

ASSIGNMENT GUIDELINES (10%):

Students will critically analyze the readings from Chapter 3, 4 & 5 in your textbook. This assignment is designed to help you review, critique, and apply the readings to your Health Care setting as well as become the foundation for all of your remaining assignments.

You need to read the article (in the additional weekly reading resources localize in the Syllabus and also in the Lectures link) assigned for week 1 and develop a 2-3-page paper reflecting your understanding and ability to apply the readings to your Health Care Setting. Each paper must be typewritten with 12-point font and double-spaced with standard margins. Follow APA style 7thedition format when referring to the selected articles and include a reference page. Similarity safeAssign is required.

EACH PAPER SHOULD INCLUDE THE FOLLOWING:

1. Introduction (25%) Provide a brief synopsis of the meaning (not a description) of each Chapter and articles you read, in your own words.

2. Your Critique (50%)

What is your reaction to the content of the articles?

What did you learn about Assets, liability and net Worth?

What did you absorb about Healthcare Revenue, Planning and control?

How you can apply your new knowledges to the Disbursement for services?

What does the Health Care Administrator need to know about Grouping Expenses for Planning and Control?

Did these Chapter and articles change your thoughts about Revenue and Expenses? If so, how? If not, what remained the same?

3. Conclusion (15%)

Briefly summarize your thoughts & conclusion to your critique of the articles and Chapter you read. How did these articles and Chapters impact your thoughts on Healthcare Assets, Liability and Net Worth?

Evaluation will be based on how clearly you respond to the above, in particular:

a) The clarity with which you critique the articles;

b) The depth, scope, and organization of your paper; and,

c) Your conclusions, including a description of the impact of these articles and Chapters on any Health Care Setting.

Write two (2) paragraphs explaining what you learned and your experience/reflexion from watching the videos.

Students, this assignment consists on:

1). Watch the Videos below and

2). Write two (2) paragraphs explaining what you learned and your experience/reflexion from watching the videos.

3). Student may watch the Series of “Babies” on Netflix (if the student prefers) to complete this assignment.

https://youtu.be/0gAsdEUNUJY

https://youtu.be/WH9ZJu4wRUE

Run the t-Test: Two-Sample Assuming Unequal Variances for the Data File Golf (Chapter 10) using the video How to Add Excel’s Data Analysis ToolPak (Links to an external site.) for assistance.

Step 2: Do:

In a managerial report, use the methods of hypothesis testing to

  • Formulate and present the rationale for a hypothesis test that Par could use to compare the driving distances of the current and new golf balls.
  • Analyze the data to provide the hypothesis testing conclusion. What is the p-value for your test? What is your recommendation for Par, Inc.?
  • Provide descriptive statistical summaries of the data for each model.
  • Explain what the 95% confidence interval is for the population mean driving distance of each model, and explain what the 95% confidence interval is for the difference between the means of the two populations.
  • Discuss whether you see a need for larger sample sizes and more testing with the golf balls.

Step 3: Discuss

Based on your hypothesis testing conclusion, what are your recommendations for Par, Inc? Support your recommendations with findings from your managerial report.

Managing Organizational Communication

Managing Organizational Communication

Communication is a vital management component to any organization. Whether the purpose is to update employees on new policies, to prepare for a weather disaster, to ensure safety throughout the organization or to listen to the attitudes. To be successful, organizations should have comprehensive policies and strategies for communicating.

The impact of effective communication

Effective communication may contribute to organizational success in many ways. It:

· Builds employee morale, satisfaction and engagement.

· Helps employees understand terms and conditions of their employment and drives their commitment and loyalty.

· Educates employees on the merits of remaining union-free (if that is the organization’s goal).

· Gives employees a voice—an increasingly meaningful component of improving employees’ satisfaction with their employer.

· Helps to lessen the chances for misunderstandings and potentially reduces grievances and lawsuits.

· Improves processes and procedures and ultimately creates greater efficiencies and reduces costs.

The impact of ineffective communication

Ineffective communication may increase the chances for misunderstandings, damage relationships, break trust, and increase anger and hostility. Ineffective communication may stem from a poorly aligned strategy, a failure to execute the strategy, use of the wrong communication vehicle, bad timing, and even nuances such as word choice or tone of voice.

All communication is either up, down or horizontal. Downward communication – this would be your boss telling you something, or your line manager’s line manager passing something down the chain to you. Upward communication – this would be you talking to your line manager, for example, a shop assistant passing a customer complaint to a store manager.

Lateral or horizontal communication: This type of communication can be seen taking place between persons operating at the same level or working under the same executive. Functional managers operating at the same level, in different departments, through their communication, present a good example of lateral communication. The main use of this dimension of communication is to maintain coordination and review activities assigned to various subordinates.

Communicating “up”

While much of a communication strategy is focused on imparting information to employees, another central component is permitting employees to have a voice with members of senior management. Having a voice is a critical employee relations issue that affects satisfaction and engagement.

Vehicles and Approaches 

With so many choices, such as face-to-face communication, electronic media, meetings, printed materials and webinars, the decision becomes quite complex.

When selecting the best communication vehicle, organizational leaders should consider:

· Timing. The timing of the information may be imperative, such as in emergency situations.

· Location. Employees’ location may affect this selection. Are all employees in one building, at multiple sites or situated globally? Do they work virtually?

· Message. Another issue that affects the decision is the sensitivity of the information. For layoff or termination information, most professionals agree that face-to-face meetings trump any other means of communication, but some issues may make these meetings impossible due to the geographic location of the employees, the number of employees affected and other factors.

Organizational leaders have many options, including the following, when selecting a communication vehicle.

E-mail

Electronic communication is a fast and easy way to reach many employees at once. It may be best used when information is urgent, such as in emergencies. E-mail communication presents some difficulties because the tone of voice and inflection are absent, making an ironic or sarcastic remark appear rude or harsh, which may not be the intended message.

Face-to-face meetings

Face-to-face meetings with employees are one of the best ways to relay sensitive information. During layoffs or restructurings or when handling employee performance issues, face-to-face communication is generally preferred.

Telephone

The telephone is another way to communicate information to employees. Whether it is used in the traditional sense when face-to-face communication is not physically possible or in more state-of-the-art communication via webinars or voice mail blasts, the telephone is a staple in communication vehicles.

Surveys/polls

Two-way communication is vital to any effective communication strategy, and developing formal tactics to listen to employees is essential. Employers can elicit fast feedback through surveys and polls about specific issues (like a new benefit or policy) or general concerns.

Virtual team meetings

Organizations may have employees located across the city or across the globe and may need to rely on virtual team meetings to get work done. Setting expectations and establishing protocols are vital steps in ensuring that communication will be effective. Since written communication, whether in print or in electronic format, can hide the tone of voice, inflection and other nuances of communication, many work teams rely on videoconferences and Internet-based technologies to make virtual meetings more productive.

The “grapevine”

One of the most used and undermanaged tools for employee communication is the proverbial grapevine. Watercooler discussions are still a mechanism for employees to hear the latest news unfiltered by management, and they continue to be a source for employees in learning the inside story. Employers must be mindful that whatever formal communication strategy is used, the grapevine still exists and will be tapped by employees at all levels.

Read the article above.  To respond to my questions below, select the Forum link, then click on Create Thread and type in your posting.  You are required to respond to a minimum of 2 classmates’ posts. To reply, to another student first click on one of their postings, read it, and then select REPLY.

1. Managing organizational communication encompasses UpwardDownward, and Horizontal communication the importance of a communication strategy, the role of different communicators within the organization, types of messages and vehicles, training for better communication, and methods for measuring results. What form of communication works best for you toward others in the workplace; what form do you prefer to receive communication from others?  Explain why?

2. Grapevine is informal. an example Give an example of grapevine communication you have received in the workplace? Do you rely on and believe grapevine information at work? Why or why not? What is a Gossip Chain or Cluster Chain?

3. What Constructive Feedback and tips can you share that have worked for you when communicating with others?

4. What type of “messaging ” do they use most in the companies you have experienced?  What type of messaging works best for you and why? Give an example.

Why is the concept of time value of money important in the corporate context?

Why is the concept of time value of money important in the corporate context? Justify your answer. A complete post includes an explanation supported by examples and a minimum of 2 research sources. Your post must be substantive and demonstrate insight gained from the course material. A substantial post accomplishes one or more of the following:

  1. discusses the application of time value of money in the corporate setting
  2. offers additional research or examples, in support of the original answer
  3. describes implications of the time value of money concept for capital project financing
  4. compares and contrasts management practices in relation to corporate funds

[Your initial post should be at least 450+ words and in APA format (including Times New Roman with font size 12 and double spaced). Post the actual body of your paper in the discussion thread then attach a Word version of the paper for APA review]

A common example is an employer restricting the use of social media both with the content shared by employees and access to social media through work computers. 

Primary Response: Within the Discussion Board area, write 200–250 words that respond to the following questions with your thoughts, ideas, and comments. This will be the foundation for future discussions by your classmates. Be substantive and clear, and use examples to reinforce your ideas.

For this Discussion Board, please complete the following:

This week you will learn about Social Media and the liabilities and risks from a legal perspective. Social media is defined as electronic communication (including the Internet or network systems) where participants communicate and share ideas, information, personal messages and other content (i.e., music or videos).

A common example is an employer restricting the use of social media both with the content shared by employees and access to social media through work computers.

Jamal works from home almost every day and decides to log into his social media platform on his work computer. He comments and likes some posts and pictures while logged in. The HR handbook states that employees are not allowed to use company computers for social media use. Are there any liabilities to Jamal or the employer from his actions? Why or why not?

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

This case was prepared by Sean Carr (MBA ’03) and Gustavo Rodriguez (MBA ’03), under the supervision of Professors Kenneth M. Eades, Chris Muscarella (Penn State University), and Samuel C. Weaver (Lehigh University). It was written as a basis for class discussion rather than to illustrate effective or ineffective handling of an administrative situation. Copyright 2004 by the University of Virginia Darden School Foundation, Charlottesville, VA. All rights reserved. To order copies, send an e-mail to sales@dardenbusinesspublishing.com. No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means—electronic, mechanical, photocopying, recording, or otherwise—without the permission of the Darden School Foundation.

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Hershey’s chocolate. Like baseball and apple pie, it was an American icon. So when Hershey’s largest shareholder proposed selling the company in early 2002, the residents of Hershey, Pennsylvania, the state attorney general, legislators, and current and former Hershey employees reacted with alarm. For them, the idea of selling the “Great American Chocolate Bar” was an insult to a beloved American institution and a threat to the principles on which Milton Hershey had built his company.

Unlike most large corporations, Hershey Foods’ majority shareholder was not a corporate raider, institutional investor, or multinational, but rather the Hershey Trust Company, which owned 77% of its voting stock. The trust had been endowed by a gift, in 1918, by Milton Hershey himself, with the objective of supporting the Milton Hershey School, an institution for orphans in Hershey, Pennsylvania. Nevertheless, in March 2002, the Hershey Trust’s board of trustees decided that the school would be better served if its holdings were less concentrated in Hershey stock. Therefore, the Hershey Trust announced its decision to sell its entire stake in Hershey Foods, which effectively put the corporation up for sale.

Six months after making its decision to explore a potential sale, the board of the Hershey Trust Company was examining two serious offers: a joint bid from Cadbury Schweppes PLC and Nestlé S.A. and an independent bid from the Wm. Wrigley Jr. Company. The primary question for the board’s 17 members was whether the bidders had accurately valued Hershey and, if so, whether the economic value created through the deal was consistent with the board’s obligation to safeguard Hershey’s legacy of community involvement.

The Confectionary Industry

In 2001, the U.S. confectionary industry was worth $24 billion. Chocolate products accounted for 55% of that market; gum, 12%; and nonchocolate candy, 32%. The consumption of all confectionery had stagnated in the United States during the past four years, and the consumption of chocolate, in particular, had declined during the previous year. Despite the disappointing trend in the U.S. market, several factors had helped a few key industry players grow during this period:

· Developing innovative products with high consumer appeal and price per pound

· Identifying and acquiring target companies to execute expansion strategies

· Developing operations and/or distribution systems in new countries

With a market share of 30%, Hershey led the U.S. market for candy and gum in 2001, followed by M&M Mars, Inc. (Masterfoods Corp.) at 17.1%, Wm. Wrigley Jr. Co. at 6.6%, and Nestlé at 6.5%. The other players sharing the remaining 40% of the market included Cadbury Schweppes, World’s Finest Chocolate, Inc., and Tootsie Roll Industries, Inc.

With its aggressive introduction of new products, Wrigley posted a 12.3% growth in revenues over the previous year. Wrigley, the largest producer of chewing gum in the world, had recently introduced Wrigley Eclipse Flash Strips, which accounted for some of the company’s impressive performance and moved it from fourth to third place in U.S. rankings. Nestlé showed 6.5% sales growth, and Mars and Hershey each showed 1.4% growth.

Milton Snavely Hershey: Entrepreneur

Milton Snavely Hershey was born to a German-Mennonite family in south-central Pennsylvania, on September 13, 1857, shortly before the outbreak of the American Civil War. In his youth, Hershey was a poor student, and after transferring among seven different schools, he dropped out before reaching the fourth grade. As a young adult, Hershey developed an interest in becoming a confectioner, and in 1886, he opened the Lancaster Caramel Company in Lancaster, Pennsylvania, which specialized in caramels made with fresh milk.

Because he believed there would be great demand for affordable, mass-produced chocolate, Hershey sold his caramel business for $1 million in 1900, but retained the firm’s chocolate-making machines. Attracted by central Pennsylvania’s ample supplies of water, dairy farms, and hard-working immigrants, Hershey used the proceeds from the sale to purchase 1,200 acres of farmland and to break ground for the Hershey factory on March 2, 1903. Upon its completion, in December 1904, Hershey had built the largest chocolate factory in the world, and the Hershey Chocolate Company was born.

Hershey, Pennsylvania: From Factory to Company to Town

Hershey enjoyed making money, but he “wanted it used for a purpose of enduring good.” (A sign on his office wall read “Business Is a Matter of Human Service.”) Influenced by utopian “manufacturing communities” of the time, Milton Hershey decided to surround his business enterprise with a model town. In the pastures surrounding his new factory, Hershey mapped out a village, with tree-lined streets whose names evoked the exotic lands of the cocoa bean, including Trinidad, Caracas, and Ceylon (Sri Lanka). Milton Hershey created the Hershey Improvement Company, a division of Hershey Chocolate, which built a complete infrastructure, including roads, sewers, utilities, houses, and public buildings. In 1906, the village of Derry Church, Pennsylvania, was renamed Hershey.

The development of Hershey, Pennsylvania, followed the ebb and flow of the company’s fortunes. Following financial difficulties in 1920, Milton Hershey reorganized and refinanced his company, creating three new entities:

· Hershey Chocolate Corporation, which acquired all the chocolate properties;

· Hershey Corporation, which acquired the company’s 65,000 acres of sugar-cane fields and eight sugar-processing plants in Cuba;

· Hershey Estates, which continued the work of the Hershey Improvement Company.

Through Hershey Estates, the Hershey Chocolate Company played an ever-larger role in the lives of Hershey’s citizens. By 1927, Hershey Estates had a hand in more than 30 nonchocolate interests, including the telephone company, a department store, the hospital, and the cemetery. See Exhibit 1 for a list of Hershey Estates’ enterprises.

Milton Hershey’s dedication to his employees and the residents of the town was steadfast. During the Great Depression, despite a 50% drop in sales, Hershey refused to lay off any local employees. Instead, between 1929 and 1939, he launched a series of massive building projects that resulted in the construction of most of Hershey’s major buildings, including the Hershey Community Center, the lavish Hotel Hershey, the high school, the Hershey Sports Arena, Hershey Stadium, and the Hershey Chocolate Corporation headquarters, at 19 East Chocolate Avenue.

Hershey Estates served the town well but operated at a financial loss. During Milton Hershey’s lifetime, profit for the Estates division was never a primary consideration. In fact, after 1927, Milton Hershey relied on profits from the company’s Cuban sugar operations to provide the capital for his many construction projects. Following Hershey’s death, in 1945, pressure grew to reduce Hershey Chocolate’s involvement in the town. In the 1960s, owing to increased regulation, competition for financing, and a poor business climate, Hershey Estates divested its electric, water, sewer, and telephone utilities. The lumberyard and creamery were also sold, the ballroom torn down, the pool filled in, and the community center turned over to Hershey Foods for office space.

In 1970, after years of benign neglect, Hershey Estates began to focus on Hersheypark, an amusement park, as a revenue generator, and approved a five-year plan to revitalize it. Later, Hershey Estates was renamed Hershey Entertainment and Resorts Company (HERCO), and committed itself to managing Hershey’s entertainment properties. See Exhibit 2 for a description of HERCO’s businesses.

Milton Hershey’s Commitment: The Milton Hershey School

In 1909, at the suggestion of his wife, Kitty, the unschooled Milton Hershey created a residence and school for homeless boys. In 1918, three years after his wife’s death, the childless Milton Hershey bequeathed his entire personal fortune to the Milton Hershey School, including thousands of acres of land and all his stock in the Hershey Chocolate Company. The Hersheys designated the newly created Hershey Trust Company as the sole trustee for the school. According to the deed of trust, the trustee was responsible for managing the trust’s considerable endowment and for reporting to the school’s managers. Ever since the bequest, the Hershey Trust Company had had a controlling interest in every major Hershey entity. Moreover, the school’s managers and the trust’s board comprised the same 17 individuals. Hershey Foods’ board, however, was, for the most part, an independent entity with only one of its nine members also serving on the trust’s board. See Exhibit 3 for an organizational chart.

By 2002, the Milton Hershey School (MHS) admitted both boys and girls without regard to race and provided instruction from kindergarten through the 12th grade. MHS enrolled 1,300 students, who lived on the school’s 1,400-acre campus. Annual spending per student was $96,000, which included housing, food, clothing, and medical care. MHS’s endowment, administered by the Hershey Trust Company, had grown from its initial bequest of $60 million to approximately $5.4 billion, making it one of the largest educational endowments in the United States. See Exhibit 4 for a comparison of private educational endowments.

Hershey Foods Corporation

Milton Hershey learned that the secret of mass production for his chocolate lay in the manufacture of huge quantities of one item, standardized in design, and with a continuity of streamlined output that held down costs. The plain milk-chocolate bar and the milk-chocolate bar with almonds were the bread and butter of the Hershey Chocolate Company. With this recipe, Hershey had generated sales of $5 million by 1911, more than eight times the company’s first-year revenues. By 1921, Hershey’s sales had soared to $20 million.

In 1937, the quartermaster of the United States Army asked the Hershey Chocolate Corporation to develop a military-ration bar that could meet the needs of soldiers in the field. The requirements for the bar were that it should weigh about four ounces, be able to withstand high temperatures, and taste “just a little better than a boiled potato.” The result was the Field Ration D. By the end of World War II, Hershey was producing 24 million units of Field Ration D per week.

And so, while other confectioners were forced to limit or even cease production during the war, the Hershey Chocolate Corporation was winning millions of loyal consumers, as well as a place in American history. Between 1940 and 1945, more than three billion units of Field Ration D bars were made and distributed to soldiers around the world.

Shortly after the end of World War II, Milton S. Hershey died at age 88, on October 13, 1945. Hershey’s passing, however, did not diminish the strength of his business. By 1951, sales had grown to $154 million, and by 1962, sales had reached $183 million. In 1963, the Hershey Chocolate Corporation undertook its first major acquisition when it purchased the H. B. Reese Candy Company, Inc., makers of Reese’s Peanut Butter Cups. This move began a string of acquisitions by Hershey that would continue for the next 25 years.

During the 1960s, Hershey diversified by acquiring several major pasta manufacturers, including San Giorgio Macaroni, Inc., and Delmonico Foods, Inc. By the 1980s, the company had become the largest pasta manufacturer in the United States. This diversification away from chocolate products led to a change in the company’s name to Hershey Foods Corporation in 1984. By 1999, however, the company had changed its strategy again and sold its U.S. pasta business, the Hershey Pasta Group, to New World Pasta, LLC, for $450 million plus equity.

By 2002, Hershey remained the number-one candy maker in the United States, with sales comprising roughly 80% chocolate and 20% nonchocolate foods. Its largest customer was Wal-Mart, which represented 17% of the company’s total sales. Other major Hershey customers included Kmart, Target, Albertsons, and CVS. Sales outside the United States accounted for 10% of total revenues. According to Money magazine, Hershey Foods’ stock ranked as the 28th-best performer of the last 30 years, with annualized returns of 17.4%.

The Hershey Trust Company Considers a Sale

Over the years, both the composition and the size of Hershey Trust’s board of directors had changed (see Exhibits 5 and 6). In particular, the trust’s board had expanded from 10 members, in 1990, to 17 members, in 2002, and the composition of the board had shifted toward education professionals, Hershey School alumni, and various public-sector leaders. The board’s mandate, however, remained that of serving the interests of the Milton Hershey School, the primary beneficiary of the trust’s endowment. The endowment had grown from Milton Hershey’s original gift of $60 million of Hershey stock to its current level of $5.4 billion. Beginning in the 1990s, Hershey Foods had reduced the concentration in Hershey shares through a share-repurchase program. In all, Hershey Foods repurchased $1.2 billion of its own shares so that, by 2002, only 58.6% of the endowment comprised Hershey Foods’ shares. The trust’s large holding amounted to 31% of Hershey Foods’ common shares and 77% of the stockholders’ votes.[footnoteRef:1] [1: In 1984, Hershey Foods introduced “super voting stock” (10 votes per share) for the trust, which consolidated its majority ownership of Hershey Foods Corporation. To compensate for the superior voting rights, the class B common stock received a 10% lower dividend than the regular common stock. If the trust’s stake in Hershey Foods ever dropped below 15%, its special voting stock reverted to common. With the exception of Hershey and a select group of other firms, the New York Stock Exchange did not allow companies to maintain dual classes of common stock.]

During the past 16 years, Hershey’s stock had shown variable performance, but had significantly outperformed Standard & Poor’s 500-stock index by an average of 6.8% per year (see Exhibit 7).[footnoteRef:2] Despite the overall strong investment performance of the trust and its gradual diversification away from Hershey shares, by early 2002 there was an increasing concern among board members that the trust was compromising its fiduciary responsibility by concentrating a disproportionate amount of the endowment fund in the shares of Hershey Foods Corporation. Therefore, during a meeting in March 2002, the trust’s board voted 15–2 to “explore a potential sale” of its holdings in Hershey Foods. [2: According to Money magazine, Hershey Foods ranked as the 28th-best-performing stock of the past 30 years.]

The board believed that a sale of the trust’s entire stake in Hershey Foods would garner a higher premium than if its shares were sold piecemeal; therefore, the decision to sell was tantamount to putting Hershey Foods Corporation on the block. According to Robert C. Vowler, president and CEO of the Hershey Trust Company, the trust planned to invest the profits from the sale in a variety of U.S. equities and fixed-income and international securities to provide more “straight lines of return and not the volatility of one stock.”

Following the March board meeting, a delegation from the trust told the chairman and CEO of Hershey Foods Corporation, Richard H. Lenny, to begin the process of finding suitable bidders for the company. But Lenny opposed the idea of a sale and asked for time to make a counterproposal. In May, Lenny presented a stock-buyback offer to the head of the trust’s investment committee, J. Robert Hillier, who also sat on the board of Hershey Foods. The plan called for Hershey Foods to purchase half of the trust’s shares at a 10% premium. Hershey Foods would also help the trust sell the remainder of its shares over the next three to five years. The trust’s board, however, rejected the plan on the ground that the 10% premium was insufficient.

On July 25, 2002, a day that would become known by those opposed to the sale as Black Thursday, the trust made public its decision to sell its portion of the outstanding shares of Hershey Foods Corporation. Following news of the announcement, Hershey’s stock price soared from $63 to $79 per share. In the ensuing weeks, rumors swirled about potential bidders. Among the names to emerge were the Wm. Wrigley Jr. Company, Nestlé S.A., Cadbury Schweppes PLC, Kraft Foods, the Coca-Cola Company, and PepsiCo.

Swift reaction

The prospect of a sale of Hershey Foods, an American icon and the paternalistic benefactor of a town, produced a groundswell of opposition by employees, local businesses, and politicians who feared Hershey would become part of someone else’s global empire. Many residents of Hershey, Pennsylvania, whose population of 22,400 included 6,200 Hershey employees, were concerned that the legacy of Hershey’s involvement in the community would be compromised and many jobs might be lost. Community leaders organized rallies and developed a Web site, www.friendsofhershey.org, gathering 6,500 signatures of people opposed to the sale.

The controversy over the proposed sale of Hershey Foods became increasingly public as protests by company employees and retirees and Milton Hershey School alumni came to the attention of Pennsylvania’s attorney general, whose office oversaw trusts and charities in the state. On August 12, the attorney general filed a petition asking that any sale of Hershey Foods be subject to approval by the Dauphin County Orphan’s Court, which had jurisdiction over charitable trusts. On August 24, the attorney general sought an injunction to stop the sale altogether.[footnoteRef:3] [3: The attorney general, Mike Fisher, was a Republican candidate for governor of Pennsylvania at the time.]

The issues underlying the controversy emerged during the ensuing court proceedings:

Jack Stover, lawyer for the Hershey Trust Company: “[The injunction] causes irreparable harm to us. … It ties the hands of the Trustees with regard to its single largest asset … Who in the courtroom has not read in the paper what happens in today’s economy when you invest too heavily in a single stock?”

Judge James Gardner Collins: “What makes the attorney general’s office better financial managers than the board of the Hershey Trust, and literally the worldwide experts they have hired as well?”

Jerry Pappert, deputy attorney general: “Because we’re managing different clients. We’re managing the interests of the public, and we have an opportunity and a duty under law to make sure that the ultimate beneficiary of the trust, the public, is not harmed.”

During the injunction hearings, several former Hershey Foods executives testified against the sale, including Richard Zimmerman, former CEO of Hershey Foods, and Bruce McKinney, former CEO of HERCO. Representative James Sensenbrenner (R-Wis.), chairman of the House Judiciary Committee, asked the Federal Trade Commission to scrutinize carefully any antitrust implications of the potential sale of Hershey Foods.

The Bids: Wrigley and Nestlé–Cadbury Schweppes

By September 14, 2002, the final date by which bids could be submitted, the Hershey Trust Company board was considering two serious offers: a $12.5 billion bid from the Wm. Wrigley Jr. Company and a $10.5 billion joint-bid from Nestlé S.A. and Cadbury Schweppes PLC.

The Wm. Wrigley Jr. Company

The world’s largest maker of chewing gum had been based in Chicago since 1892, when William Wrigley, while working as a salesman for his family’s soap factory, began offering customers chewing gum. In 1898, he merged his company with one of his suppliers to form the Wm. Wrigley Jr. Company, and by 1910, the firm’s spearmint gum was the leading U.S. brand.

As late as 1961, the company still offered its original five-cent price and product line. But by 1971, as it faced competitive and economic pressures, the company increased its price to seven cents and launched several new products, including the following:

· Big Red (1975) · Hubba Bubba (1978)
· Orbit, a sugar-free gum (1977) · Extra (1980)

Wrigley continued to expand its business by launching operations in Eastern Europe and China (1993). In 1999, Bill Wrigley, a member of the fourth generation of Wrigleys to lead the company, became president and CEO. After 2000, the company focused on testing innovative gums with such attributes as cough suppression and teeth whitening.

In 2002, the Wrigley family owned about 35% of the company and controlled 60% of its voting shares. With 2001 revenues of $2.4 billion, Wrigley commanded a 50% share of the global gum market, and sold its products in more than 150 countries. Nearly all its revenues were derived from gum. Wrigley’s Web site described its business strategy as follows:

Wrigley is committed to achieving generational growth and prosperity for our stakeholders. To achieve this mission, we are executing against a long-term strategic business plan based on six key objectives. Those objectives include:

· Boosting our core chewing gum business

· Expanding business geographically and into new channels

· Diversifying our product line in “close to home” areas

· Focusing on innovation in our products, marketing, and business processes

· Delivering the highest quality at lowest costs

· Growing and developing our Wrigley people around the world

The Wm. Wrigley Jr. Company offered $12.5 billion ($7.5 billion in stock and $5.0 billion in cash) for 100% of the outstanding shares of Hershey Foods Corporation. The Hershey Trust Company would exchange its Hershey shares for cash and shares in the new company, to be renamed Wrigley-Hershey. This offer, the equivalent of $89 per share, represented a 42% premium over Hershey’s preannouncement stock price. The deal included commitments to the Hershey community, including assurances of job retention at Hershey Foods’ plants in Derry Township.

Some analysts speculated that Wrigley management was assuming it could put Hershey products into its product mix and sell them internationally. Although it was unlikely that Wrigley could achieve significant cost savings, management hoped to generate higher sales volumes. Wrigley had been successful in selling chewing gum internationally and was hoping to do the same with Hershey’s chocolates.

Nestlé S.A.

Nestlé S.A. was founded in 1843, when Henri Nestlé purchased a factory in Vevey, Switzerland, that made products ranging from nut oils to rum. In 1904, the company began selling chocolates, and one year later merged with the Anglo-Swiss Company, retaining the Nestlé name. During World War I, the company developed a water-soluble “coffee cube,” and the idea became one of the company’s most popular products, Nescafé. Nestlé continued to introduce popular products during the next four decades, including Nestlé’s Crunch bar (1938), Quik drink mix (1948), and Taster’s Choice instant coffee (1966).

In the 1970s, the company expanded its product line by acquiring a 49% stake in Gesparal, a holding company that controlled the French cosmetics firm L’Oréal. In the 1980s, Nestlé continued its expansion by acquiring the U.K. chocolate company Rowntree, maker of Kit Kat (licensed to Hershey Foods Corporation). In the 1990s, Nestlé completed several more acquisitions, including Butterfinger, Baby Ruth candies, Source Perrier water, and Alpo pet food. Simultaneously, Peter Braceck-Letmathe, named CEO in 1997, divested Nestlé’s noncore businesses such as Contadina tomato products and Libby’s canned-meat products.

After acquiring Ralston Purina, in 2001, Nestlé consolidated its position as the world’s number-one food company. Nestlé had become a leader in coffee (Nescafé), bottled water (Perrier), and pet food (Ralston Purina) and an important player in the cosmetics industry. Through its stake in Alcon, Inc., Nestlé also participated in ophthalmic pharmaceuticals, contact-lens solutions, and equipment for ocular surgery.

Nestlé’s strategy, according to its Web site, was as follows:

Nestlé’s strategic priorities are focused on delivering shareholder value through the achievement of sustainable, capital-efficient, and profitable long-term growth. The combination of our four-pillar strategy and efficiency programmes will deliver market-share growth and margin improvement.

Our four-pillar strategy is based on:

· Operational performance

· Product innovation and renovation

· Product availability

· Consumer communication

Through this strategy, Nestlé had been able to establish itself as both an international and a local company. With nearly 470 factories in 84 countries, many of Nestlé’s brands were unique to particular countries. Nestlé had been successful at satisfying local tastes with local products. In the future, the company planned to expand into specialty nutritional foods and ice cream.

Cadbury Schweppes PLC

In 2002, Cadbury Schweppes was a major global player in both the beverage and confectionary industries. With bottling and partnership operations in 10 countries and licensing agreements in 21 more, Cadbury Schweppes was the third-largest soft-drink company by sales volume in the world. Its confectionary products were manufactured in 25 countries and sold in almost 200, making it the fourth-largest confectioner in the industry.

Both Schweppes Ltd. and Cadbury Group Ltd. had sought new markets since their founding in the nineteenth century. The two companies merged in 1969, giving birth to one of the biggest players in the candy and soft-drink sectors. The new company, Cadbury Schweppes PLC, began a continuous program of worldwide expansion. By 2001, the company derived 45% of its revenues from the Americas, 38% from Europe, and 12% from Asia. Cadbury Schweppes employed more than 41,000 people worldwide.

According to its Web site, Cadbury Schweppes’ governing objective was the growth of shareowner value through “focusing on the beverages and confectionary businesses, developing robust and sustainable positions in regional markets, and growing organically and by acquisition.”

Since the mid-1980s, acquisitions and divestments had played a key role in Cadbury Schweppes’ expansion plans. Key transactions included the acquisition of Dr. Pepper/Seven-Up, Hawaiian Punch, Snapple Beverage Group, and Kraft Foods’ candy business in France.

The Nestlé–Cadbury Schweppes offer for Hershey Foods was $10.5 billion in cash. At $75 a share, this offer represented a significantly lower premium than that offered by Wrigley. Moreover, the bid was complicated by the fact that Nestlé received royalties from Hershey for U.S. sales of its Kit Kat and Rolo brands. The licensing arrangement had been negotiated between Rowntree and Hershey prior to Nestlé’s acquisition of Rowntree. Because the licensing agreement was structured to continue in perpetuity, Hershey valued the licensing of the two brands at approximately $1 billion. An important aspect of the agreement, however, was that a change of ownership of Hershey would transfer all rights to the two brands back to Nestlé. Therefore, according to the agreement, regardless of who won the bidding battle for Hershey, Nestlé stood to gain the value of the licensing agreement.

The deal included a provision making Hershey, Pennsylvania, the headquarters of Cadbury Schweppes’ operations in the United States and calling it the “chocolate capital of the world.” With new production facilities and distribution capabilities in the United States, however, they expected to reduce costs by consolidating operations and reducing workforces. See Exhibit 8 for a summary of the bidders’ financials.

The Hershey Trust Company Board Decides

In essence, the board faced both an economic and a governance decision. On the economic side, the board needed to determine the value of Hershey as a stand-alone entity compared with the bids being offered. See Exhibit 9 for Hershey’s historical financials, Exhibit 10 for Hershey management’s financial forecasts,[footnoteRef:4] and Exhibit 11 for industry comparables. On the governance side, the board needed to decide whether selling Hershey compromised the board’s original mandate from Milton Hershey. [4: Forecasts were made by Hershey management for the company as a stand-alone entity prior to the announcement by Hershey Trust and the bids by Wrigley and Nestlé–Cadbury Schweppes.]

Exhibit 1

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Businesses Operated by Hershey Estates (1927)

Hershey Baking Company

Hershey Cemetery

Hershey Cold Storage

Hershey Community Building

Hershey Community Inn

Hershey Community Theatre

Hershey Country Club

Hershey Dairy

Hershey Department Store

Hershey Electric Company

Hershey Experimental Candy Kitchen

Hershey Feed and Grain

Hershey Farms

Hershey Farming Implements

Hershey Filling Station

Hershey Garage

Hershey Greenhouse and Nursery

Hershey Hospital

Hershey Laundry

Hershey Museum

Hershey Park

Hershey Park Golf Club

Hershey Rose Garden

Hershey Sewerage Company

Hershey Telephone Company

Hershey Transit Company

Hershey Water Company

Hershey Zoo

Hotel Hershey

Coal

Real Estate

Source: Hershey Community Archives.

Exhibit 2

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Businesses Operated by Hershey Entertainment and Resorts (2002)

HERSHEYPARK is a popular theme park boasting 60 rides and several entertainment venues. Milton Hershey himself built the park as a leisure opportunity for Hershey workers and their families.

ZOOAMERICA North American Wildlife Park has on exhibit more than 200 animals indigenous to North America.

HERSHEYPARK Arena was once host to the American Hockey League HERSHEY BEARS. In 2002 the team left the 3,000-seat arena to play at GIANT Center.

HERSHEYPARK Stadium attracts 30,000 audience members to its Summer Concert Series and other events.

THE STAR PAVILION at HERSHEYPARK Stadium is an outdoor amphitheater designed for musical performances; its capacity is 7,200.

HERSHEY BEARS, the oldest American Hockey League franchise, is a frequent Calder Cup winner.

THE HOTEL HERSHEY, a AAA Four Diamond hotel, is known for its rich history. Since its construction in 1933, by it has grown to include 234 guest rooms and almost 25,000 square feet of event space.

HERSHEY Lodge and Convention Center is an even larger hotel and conference facility, with 667 guest rooms and 100,000 square feet of event space.

HERSHEY’S CHOCOLATE TOWN CAFÉ’s chocolate theme reflects its Hershey’s Chocolate World location. It is managed by HERSHEY® Resorts and owned by Hershey Foods Corporation.

BELLA LUNA is Hershey’s authentic Italian Deli.

HERSHEY Highmeadow Campground offers visitors a chance to enjoy 55 acres of Pennsylvania countryside, on either open campsites or in the comfort of a log cabin.

HERSHEY Nursery has handled the landscaping needs of area homes and businesses since 1905.

Source: Hershey Entertainment and Resorts Company.

DardenLogo03_UVA UVA-F-1409

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_____________________________________________________________________________________________

This case was prepared by Sean Carr (Darden ’03) and Gustavo Rodriguez (Darden ’03), under the supervision of Professor Kenneth Eades and Professor Samuel C. Weaver (Lehigh University). It was written as a basis for class discussion rather than to illustrate effective or ineffective handling of an administrative situation. The authors gratefully acknowledge the contributions of Richard Zimmerman and Chris Muscarella. Copyright 2003 by the University of Virginia Darden School Foundation, Charlottesville, V. All rights reserved. To order copies, send an e-mail to dardencases@virginia.edu. No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means—electronic, mechanical, photocopying, recording, or otherwise—without the permission of the Darden School Foundation. Rev 4/04.

Exhibit 3

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Hershey Entities Organizational Chart (2002)

HERSHEY TRUST COMPANY (HTC)

Total endowment:

$5.4 billion

MILTON HERSHEY SCHOOL TRUST

THE M.S. HERSHEY FOUNDATION

(non-profit)

MILTON HERSHEY SCHOOL (nonprofit)

Private Trust and Investment Clients

Operation of the Major Philanthropic Services

Milton Hershey School

1,300 enrolled students

1,400-acre campus

109 student homes

3 instructional centers

Founder’s Hall:

· Admin. Office

· Visitor’s Reception

· Chapel

· Auditorium

Income-Producing Investments

Hershey Foods Corp. (HSY)

· HTC owns 31% of HSY stock and 76.7% of the votes

· $3.2B (58.6%) of HTC’s assets are HSY shares

Hershey Entertainment & Resorts Company (HERCO)

· HTC owns 100% of HERCO

· Represents 3% of HTC assets

Other Investments of Various Types

The Hershey Theatre

The Hershey Museum

The Hershey Gardens

The Hershey Community Archives

Individuals

Families

Foundation & Endowments

Other Investment Opportunities

Source: Hershey Trust Company.

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Exhibit 4

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HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Comparison of Private Educational Endowments

($ millions)

Harvard Univ. $18,259
Yale Univ. 10,739
Princeton Univ. 8,359
Stanford Univ. 8,250
Mass. Inst. of Tech. 6,135
Milton Hershey School 5,400
Columbia Univ. 4,324
Emory Univ. 4,249
Washington Univ. 4,018
Univ. of Michigan 3,689
Univ. of Chicago 3,492
Northwestern Univ. 3,470
Cornell Univ. 3,437
Univ. of Pennsylvania 3,382
Rice Univ. 3,243
Texas A&M Univ. 3,193
Univ. of Notre Dame 2,884
Duke Univ. 2,577
Dartmouth Coll. 2,414
Vanderbilt Univ. $2,160

Data source: Voluntary Support of Education Survey (Council for Aid to Education, a subsidiary of RAND, 2000–01).

Exhibit 5

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Boards of Directors for Hershey Trust and Hershey Foods Corporation (1990)

1990 Hershey Trust Board of Directors[footnoteRef:5] [5: All Hershey Trust board members also serve on the board of directors of the Milton Hershey School.] 1990 Hershey Foods Board of Directors
Kenneth V. Hatt Chairman of the Board of Hershey Trust Co. & Milton Hershey School Board of Managers Richard. A. Zimmerman Chairman and CEO Hershey Foods Corporation
Richard. A. Zimmerman Chairman and CEO of Hershey Foods Corporation Kenneth V. Hatt Chairman of the Board Hershey Trust Company
Kenneth L Wolfe President and Chief Operating Officer Hershey Foods Corporation Kenneth L. Wolfe President and Chief Operating Officer Hershey Foods Corporation
William R. Fisher President of the Milton Hershey School and board of directors of The Hershey Bank Howard O. Beaver, Jr. Retired Chairman of the Board Carpenter Technology Corporation Reading, PA
Rod J Pera Managing partner in the Harrisburg law firm of McNees, Wallace & Nurick, counsel to all Hershey entities. John F. Burlingame Retired Vice Chairman of the Board and Executive Officer GE Company Stamford, Connecticut
John F. Rineman Executive vice president of the Pennsylvania Medical Society Thomas C. Graham President USS a division of USX Corporation Pittsburgh, PA
J. Bruce McKinney President, CEO and chairman of the board of Hershey Entertainment & Resort Co. (HERCO) John. C. Jamison Dean of the Graduate School of Business Administration College of William and Mary, Williamsburg, VA
William H Alexander Chairman of H. B. Alexander Construction Company. Director of family business programs at Snider Entrepreneurial Center, Wharton School, University of Pennsylvania. Dr. Sybil C. Mobley Dean of the School of Business and Industry Florida Agricultural and Mechanical University Tallahassee, Florida
Ronald D. Glosser President of Hershey Trust Co Francine I. Neff Vice President and Director NETS Inc. privately held investment management company Albuquerque, NM
C. McCollister Evarts Dean, Penn State Milton S. Hershey Medical College John. M. Pietruski Retired Chairman of the Board and CEO Sterling Drug Inc. New York, NY
Juliet C Rowland President and CEO, Ohio United Way H. Robert Sharbaugh Retired Chairman and CEO Sun Company, Radnor, PA
Joseph P. Viviano President Hershey Chocolate USA

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Exhibit 6

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Boards of Directors for Hershey Trust and Hershey Foods Corporation (2001)

2001 Hershey Trust Board of Directors[footnoteRef:6] [6: All Hershey Trust board members also serve on the board of directors of the Milton Hershey School.] 2001 Hershey Foods Board of Directors
Robert C. Vowler President and CEO, Hershey Trust Company Richard H. Lenny Chairman, President and CEO, Hershey Foods Corporation
J. Robert Hillier, FAIA Chairman and Founder of Hillier Group (architects) J. Robert Hillier, FAIA Chairman and Founder, The Hillier Group (architects)
A. John Gabig, Esq. Chairman of MHS Board of Managers Jon A. Bosia Chairman and CEO, Lincoln National Corporation
William L. Lepley President and CEO of Milton Hershey School Robert H. Campbell Chairman and CEO (ret.), Sunoco Inc.
William H. Alexander Chairman of H. B. Alexander Construction Company. Director of family business programs at Snider Entrepreneurial Center, Wharton School, University of Pennsylvania. Gary P. Coughlan Sr. VP Finance and CFO (ret.), Abbott Laboratories Inc.
Lucy D. Hackney, Esq. Former Policy adviser, General Services Admin Bonnie Hill President and CEO, The Times Mirror Foundation
Wendy D. Puriefoy Public Education Network John C. Jamison Chairman, Mallardee Associates
W. Don Cornwell Granite Broadcasting Co. Mackey J. McDonald Chairman, President and CEO, VF Corporation
A. Morris Williams, Jr. President, Williams & Company John M. Pietruski Chairman, Texas Biotechnology Corporation
Michael W. Matier Institutional Research & Planning, Cornell U.
Rev. John S. McDowell, Jr. St. James the Less Episcopal Church
Anthony J. Colistra Superintendent, Cumberland Valley School Dist.
Robert F. Cavanaugh Managing director, DLJ Real Estate Partners
Joan S. Lipsitz, Ph.D. Independent education consultant
Hilary C. Pennington Co-founder, Jobs for the Future
Juliet C. Rowland President and CEO, Ohio United Way

Exhibit 7

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Hershey Stock-Price Performance (1986–2001)

Average Stock Returns*
1997–2001 (5 years) 1986–2001 (16 years)
Hershey 16.4%

(32.7%)

18.8%

(24.9%)

S&P 500 9.0%

(19.5%)

12.0%

(14.7%)

*Standard deviation of returns in parentheses

Exhibit 8

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Bidding Companies’ Financial Data

Hershey Wrigley Nestlé Cadbury Schweppes
Beta 0.55 0.70 0.70 0.60
Credit rating A+ N/A AAA BBB
Stock price 9/17/2002 73.8 49.5 51.9 28.5
Shares outstanding (millions) 134.2 225.0 1,550.6 502.5
Book value of debt ($ millions) 885 0 19,500 3,543
U.S. Treasuries
Historical Yield Curve        
8/19/2002 9/17/2002  
5 year 3.38% 2.90%  
10 year 4.28% 3.82%  
30 year 5.05% 4.73%  
         
Corporate Bonds1
       
Hershey  
Maturity Price Yield  
8/15/2012 117.7 4.69  
2/15/2021 137.1 5.56  
2/15/2027 119.4 5.73  
Wrigley
No debt  
Nestlé
Maturity Price Yield  
6/15/2025 125.4 5.84  
 
Cadbury Schweppes1
Maturity Price Yield  
12/15/2005 100.6 4.31  

1 Cadbury Schweppes bonds in British pounds sterling. All other bonds denominated in U.S. dollars.

Exhibit 9

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Historical Financial Statements of Hershey Foods Corporation

(in millions of dollars)

Income Statement 1996 1997 1998 1999 2000 2001
Sales $3,989.3 $4,302.2 $4,435.6 $3,970.9 $4,221.0 $4,137.2
Cost of sales 2,302.1 2,488.9 2,625.1 2,354.7 2,471.2 2,668.5
Gross profit 1,687.2 1,813.3 1,810.6 1,616.2 1,749.8 1,468.7
Selling, marketing, and administrative 1,124.1 1,183.1 1,167.8 1,057.8 1,127.2 1,056.1
Operating income 563.1 630.2 642.8 558.4 622.7 412.6
Gain (loss) on sale of business (35.4) 243.8
Earnings before interest and tax 527.8 630.2 642.8 802.1 622.7 412.6
Interest expense 48.0 76.3 85.7 74.3 76.0 69.1
Pretax income 479.7 554.0 557.1 727.9 546.6 343.5
Income taxes 206.6 217.7 216.1 267.6 212.1 136.4
Net income $ 273.2 $ 336.3 $ 341.0 $ 460.3 $ 334.5 $ 207.1
Balance Sheet
1996 1997 1998 1999 2000 2001
Cash and cash equivalents $ 61.4 $ 54.2 $ 39.0 $ 118.1 $ 32.0 $ 134.1
Accounts receivable trade 294.6 360.8 451.3 352.8 379.7 361.7
Inventories 475.0 505.5 493.2 602.2 605.2 512.1
Other current assets 155.2 114.2 150.4 207.0 278.5 159.5
Total current assets 986.2 1,034.8 1,134.0 1,280.0 1,295.3 1,167.5
Property, plant, and equipment, net 1,601.9 1,648.2 1,648.1 1,510.5 1,585.4 1,534.9
Goodwill 566.0 551.8 530.5 450.2 474.4 388.7
Other tangible assets 30.7 56.3 91.6 106.0 92.6 156.3
Total assets $3,184.8 $3,291.2 $3,404.1 $3,346.7 $3,447.8 $3,247.4
Accounts payable $ 134.2 $ 146.9 $ 156.9 $ 136.6 $ 149.2 $ 133.0
Accrued liabilities 368.1 391.2 311.9 364.7 359.5 465.5
Short-term debt 315.0 257.5 346.0 211.6 258.1 7.9
Total current liabilities 817.3 795.7 814.8 712.8 766.9 606.4
Long-term debt 655.3 1,029.1 879.1 878.2 877.7 877.0
Other long-term liabilities 327.2 346.5 346.8 330.9 327.7 361.0
Deferred income taxes 224.0 267.1 321.1 326.0 300.5 255.8
Total liabilities 2,023.8 2,438.4 2,361.8 2,248.0 2,272.7 2,100.2
Stockholders’ equity 1,161.0 852.8 1,042.3 1,098.6 1,175.0 1,147.2
Total liabilities and equity $3,184.8 $3,291.2 $3,404.1 $3,346.7 $3,447.8 $3,247.4

-20-

UVA-F-1409

______________________________________________________________________________________

This case was prepared by Sean D. Carr (MBA ’03) and Gustavo Rodriguez (MBA ’03) under the supervision of Professor Kenneth M. Eades. It is intended for illustrative purposes only. Copyright 2003 by the University of Virginia Darden School Foundation, Charlottesville, VA. All rights reserved.

To order copies, send an e-mail to dardencases@virginia.edu. No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means—electronic, mechanical, photocopying, recording, or otherwise—without the permission of the Darden School Foundation.

Exhibit 10

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Forecast Financial Statements of Hershey Foods Corporation as Stand-Alone Entity

(in millions of dollars)

Income Statement 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Sales $4,343.9 $4,561.0 $4,789.1 $5,028.5 $5,280.0 $5,544.0 $5,821.2 $6,112.2 $6,417.8 $6,738.7
Cost of sales 2,541.2 2,622.6 2,705.8 2,841.1 2,983.2 3,132.3 3,289.0 3,453.4 3,626.1 3,807.4
Selling, general & administrative 1,164.2 1,222.4 1,283.5 1,347.7 1,415.0 1,485.8 1,560.1 1,638.1 1,720.0 1,806.0
Operating income (EBIT) 638.5 716.1 799.8 839.8 881.8 925.8 972.1 1,020.7 1,071.8 1,125.4
Taxes 252.2 282.9 315.9 331.7 348.3 365.7 384.0 403.2 423.4 444.5
Net operating profit after tax (NOPAT) 386.3 433.2 483.9 508.1 533.5 560.1 588.1 617.5 648.4 680.8
Sales growth 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0%
EBIT/sales 14.7% 15.7% 16.7% 16.7% 16.7% 16.7% 16.7% 16.7% 16.7% 16.7%
Balance Sheet
Total current assets 1,194.6 1,254.3 1,317.0 1,382.9 1,452.0 1,524.6 1,600.8 1,680.9 1,764.9 1,853.2
Goodwill 388.7 388.7 388.7 388.7 388.7 388.7 388.7 388.7 388.7 388.7
Net property, plant, equipment, and other 1,737.5 1,824.4 1,915.6 2,011.4 2,112.0 2,217.6 2,328.5 2,444.9 2,567.1 2,695.5
Non-interest-bearing current liabilities 543.0 570.1 598.6 628.6 660.0 693.0 727.6 764.0 802.2 842.3
Curr. assets/sales 27.5% 27.5% 27.5% 27.5% 27.5% 27.5% 27.5% 27.5% 27.5% 27.5%
NIBCL/sales 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
NPPE, other/sales 40.0% 40.0% 40.0% 40.0% 40.0% 40.0% 40.0% 40.0% 40.0% 40.0%

Source: Case writer estimates.

-22-

UVA-F-1409

______________________________________________________________________________________

This case was prepared by Sean D. Carr (MBA ’03) and Gustavo Rodriguez (MBA ’03) under the supervision of Professor Kenneth M. Eades. It is intended for illustrative purposes only. Copyright 2003 by the University of Virginia Darden School Foundation, Charlottesville, VA. All rights reserved.

To order copies, send an e-mail to dardencases@virginia.edu. No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means—electronic, mechanical, photocopying, recording, or otherwise—without the permission of the Darden School Foundation.

Exhibit 11

HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE

Industry Comparables

Company Name Exchange Book Value of debt ($millions) Common Shares Outstanding (millions) Stock Price (9/17/02) Market Cap ($millions) Debt/ Equity EBIT ($millions) Enterprise Value/EBIT Multiple
Cadbury Schweppes PLC-ADS NYSE 3,543 503 28.5 14,296 0.25 1,501 11.9
Hershey Foods Corp. NYSE 885 134 73.8 9,905 0.09 413 26.1
JM Smucker Co. NYSE 150 50 37.6 1,862 0.08 59 33.9
Nestlé S.A-Spon ADR OTC 19,500 1,551 51.9 80,399 0.24 3,007 33.2
Sanfilippo John B. & Son NSDQ 52 9 6.7 61 0.85 18 6.1
Sherwood Brands Inc. AMEX 1 4 4.5 17 0.07 1 17.2
Tootsie Roll Industries Inc. NYSE 8 52 31.0 1,610 0.00 101 16.1
Wrigley (Wm.) Jr Co. NYSE 0 225 49.5 11,135 0.00 583 19.1

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1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001

Hershey Foods S&P 500