Hershey CSR Scorecard Shows Continued Progress on Key Sustainability Initiatives

  Hershey CSR Scorecard Shows Continued Progress on Key Sustainability
  Initiatives

    Scorecard provides updates on achievements for a range of CSR programs

Business Wire

HERSHEY, Pa. -- April 22, 2013

The Hershey Company (NYSE: HSY) today issued its CSR Scorecard, providing
progress on a range of sustainability programs and new initiatives. The
scorecard shows substantial progress and achievements since the company issued
its last full CSR Report on April 30, 2012.

“We are proud of our strong track record of corporate citizenship and our
ongoing commitment to the environment, our communities and the people all
along the supply chain who help us make our great products,” said John P.
Bilbrey, President and Chief Executive Officer, The Hershey Company. “Our
commitment to citizenship is fundamental to our business strategy and global
growth and we continue to make progress on all fronts. We are continuing the
legacy of our founder, Milton Hershey, who believed that it was the company’s
obligation to ‘do well by doing good’ in society.”

The latest Hershey CSR scorecard is organized around programs and initiatives
in four key areas of social responsibility: Marketplace, Environment,
Workplace and Community. The complete scorecard is available online in the CSR
section of the company’s website at:
http://www.thehersheycompany.com/social-responsibility.aspx

Strong Progress Against All Sustainability Targets

Hershey is on track to meet or exceed all of its 2015 sustainability targets
established in the company's last full CSR Report. The company has already
completed some of its 2015 targets or will complete them well ahead of 2015.
For example, the company has achieved its 2015 goal for Zero Waste to Landfill
manufacturing facilities this year, more than two years ahead of schedule. In
addition, the company will reach its 2015 target to use 100 percent certified
sustainable palm oil more than a year ahead of plan.

Hershey’s accomplishments span across a broad range of programs, new
initiatives and sustainability goals. Some of the achievements include:

  *Hershey’s 21^st Century Cocoa Plan – Hershey created a roadmap for how the
    company will work to help cocoa communities around the world grow
    sustainable cocoa for the next century, expected to directly impact
    750,000 cocoa farmers and indirectly benefit more than two million West
    Africans.
  *100 Percent Certified Cocoa Commitment – Hershey pledged to source 100
    percent third-party certified cocoa for all of its chocolate products
    worldwide by 2020. This included moving to 100 percent certified cocoa for
    the Scharffen Berger brand by end of 2013 and for the Hershey’s Bliss
    chocolate brand in 2012. Hershey has since committed to achieving 10
    percent third-party certified by the end of 2013 and 40-50 percent in
    2016.
  *Sustainable Palm Oil – In 2011, Hershey committed to purchasing 100%
    Roundtable on Sustainable Palm Oil (RSPO) certified palm oil, provided
    availability of supply, by 2015. In an effort to reduce Hershey’s impact
    on sensitive rainforests and other natural resources, the company is
    accelerating its plans and all palm oil purchased by the company will be
    RSPO certified by the beginning of 2014, one year earlier than its
    original commitment. RSPO is the leading standard for responsible
    production of palm oil.
  *Project Peanut Butter – Hershey is funding a manufacturing plant in Ghana
    through a U.S.-based NGO to make and distribute vitamin-enriched
    nutritional packets to save the lives of malnourished children in rural
    Ghana.
  *Zero Waste to Landfill (ZWL) Manufacturing – Hershey has increased the
    number of manufacturing plants that have achieved ZWL status to five:
    Reese and West Hershey (both Hershey, Pa.); Lancaster, Pa.; Hazleton, Pa.;
    and Stuarts Draft, Va., meeting the company’s 2015 goal. The company
    continues to work towards ZWL status at additional plants. The company’s
    East Coast Distribution Center and Hershey’s Chocolate World Attraction
    have also achieved ZWL status, bringing to seven the total number of
    Hershey facilities operating as ZWL.
  *Reduced Water Usage – Hershey has cut its normalized water consumption in
    manufacturing operations by 58 percentage points from 2009 to 2012. This
    substantial reduction was the result of a large cross-functional effort to
    conserve water and conduct third-party audits of water use. The audits led
    to installation of water conservation measures, combined with the transfer
    of manufacturing from the 19 East plant to the highly water-efficient West
    Hershey plant.
  *Workplace Safety – Hershey’s focus on increasing workplace safety has
    resulted in a consistent reduction in its incident rate to its lowest rate
    in the last nine years. The total recordable incidence rate has decreased
    each year for more than five years.
  *Record Volunteerism – Hershey employees are actively engaged in the
    community and with important causes that benefit communities. Hershey
    employees around the globe volunteered more than 200,000 hours with causes
    such as Habitat for Humanity and the Ronald McDonald House, a record level
    of volunteerism for the company.
  *Manufacturing Apprenticeship Program – Hershey created an innovative
    program that provides employment opportunities for individuals with
    intellectual and physical disabilities. The program was launched in 2012
    at the company’s Y&S Lancaster Plant and is expanding to other facilities
    in 2013.

External Recognition

The Hershey Company’s substantial corporate citizenship programs and
initiatives have earned the company external and industry recognition over the
past year. For example:

  *Dow Jones Sustainability Index  – Hershey was selected for inclusion in
    the prestigious Dow Jones Sustainability Index, one of seven North
    American food & beverage companies in the 2012 index.
  *America’s 100 Best Corporate Citizens – Hershey was named to America’s 100
    Best Corporate Citizens list by Corporate Responsibility Magazine in 2013.
  *Newsweek Green Rankings – Moved up 172 spots in the 2012 Newsweek Green
    Rankings; No. 7 in the Food and Beverage peer set (up from No. 20 in
    2011).
  *Bloomberg Civic 50 – Hershey was named to the Bloomberg Civic 50 list (No.
    29) for the most community-minded companies in America. Hershey was the
    only confectionary company and the second highest ranked CPG company on
    this year’s list.
  *Carbon Disclosure Report –  Hershey improved its Carbon Disclosure score
    from 67 in 2011 to 80 in 2012.

Hershey’s also has elevated its transparency in CSR reporting in the last two
years using the Global Reporting Initiative’s standard that gives companies
and organizations a common framework to measure and report on sustainability
performance. Hershey’s full CSR report issued last year attained the GRI B+
transparency level compared to the company’s first report, which was at the C
level. This year’s scorecard continues the commitment to transparency and
provides updates on the many disclosures included in last year’s report.

About The Hershey Company

The Hershey Company (NYSE: HSY) is the largest producer of quality chocolate
in North America and a global leader in chocolate and sugar confectionery.
Headquartered in Hershey, Pa., The Hershey Company has operations throughout
the world and approximately 14,000 employees. With revenues of more than $6.6
billion, Hershey offers confectionery products under more than 80 brand names,
including such iconic brands as Hershey's, Reese's, Hershey's Kisses,
Hershey's Bliss, Hershey's Special Dark, Kit Kat, Twizzlers, Jolly Rancher and
Ice Breakers. The company is focused on growing its presence in key
international markets such as China, Mexico and Brazil while continuing to
build its competitive advantage in the United States and Canada.

For more than 100 years, The Hershey Company has been a leader in making a
positive difference in the communities where its employees live, work and do
business. Corporate Social Responsibility is an integral part of the company’s
global business strategy, which includes goals and priorities focused on fair
and ethical business dealings, environmental stewardship, fostering a
desirable workplace for employees, and positively impacting society and local
communities. Milton Hershey School, established in 1909 by the company's
founder and funded by a trust administered by Hershey Trust Company, provides
a quality education, housing, and medical care at no cost to children in
social and financial need. Students of Milton Hershey School are direct
beneficiaries of The Hershey Company's success.

Contact:

The Hershey Company
Jeff Beckman, 717-534-8090