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Charitable Trust That Owns Hershey in Dispute With Company’s Managers

March 2, 2010, 6:00 am

Hershey’s failed bid to take over its British rival, Cadbury, has opened a rift between top executives at the Pennsylvania candy maker and the philanthropy that controls the company, reports The Philadelphia Inquirer.

The Hershey Trust—which plows dividends from its 80-percent stake in the chocolate company into an 1,800-student school for poor children established by the company’s founder—had aggressively pushed for the deal, reportedly arranging $19-billion in financing and meeting with officials from Cadbury.

However, David West, Hershey’s chief executive officer, was wary of taking on debt from a big takeover and preferred a more incremental approach to building Hershey’s image overseas, the newspaper said.

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