NEW YORK What has always been one of America’s favorite chocolates has now gotten more expensive. The Hershey Co. has recently announced a price increase in wholesale prices for its domestic confectionery line.
According to Hershey, the increase in price was due to the need to control and level the increase in input costs, which include raw materials, fuel utilities and transportation. The increase in its retail products would be a helpful solution in offsetting the company’s price increases. Hershey estimated that there was a 13 percent increase on the company’s standard bar, king-size bar, 6-pack and vending lines. Hershey has also estimated that there will be approximately a 3 percent increase over Hershey’s entire domestic product line.
The price increase is said to take effect immediately, but for existing customers, Hershey has decided that during the four-week period that ends on Feb. 24, 2008, customers may order and take delivery of about eight weeks at the current prices.
As a message to its investors, the company made sure to mention that it already had established its 2008 full-year net sales and earnings per share outlook on Jan. 24, 2008. Any details or explanations regarding GAAP and non-GAAP items can be found at www.Hersheys.com.