Exhibit contains the income statements and balance sheets of The Hershey Company for the years ended December 31, 2011, and December 31, 2010. Hershey is a manufacturer of chocolate and sugar confectionery products. The company€™s principal product groups include chocolate and confectionery products; food and beverage enhancers, such as baking ingredients, toppings, and beverages; and gum and mint refreshment products.

Consolidated Statement of Operations

1. Prepare common-size statements for Hershey for 2011 and 2010.
2. Comment on the changes in component percentages from 2011 to2010.

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CONSOLIDATED BALANCE SHEETS 2011 2010 Current assets $693,686 399,499 648,953 136,861 167,559 2,046,558 1,559,717 516,745 111,913 38,544 138,722 412,199 884,642 390,061 533,622 55,760 141,132 2,005,217 1,437,702 524,134 123,080 21,387 161,212 $4.272.732 Cash and cash equivalents Accounts receivable-trade Inventories Deferred income taxes Prepaid expenses and other Total curent assets Property, plant, and equipment, net Goodwill Other intangibles Deferred income taxes Other assets Total assets $4, Liabilities and Stockholders' Equity Current liabilities $420,017 612,186 1,899 42,080 Accounts payable Accrued liabilities Accrued income taxes Short-term debt Current portion of long term debt $ 410,655 593,308 9,402 24,088 261,392 1,298,845 1,541,825 494,461 3,335,131 1,173,775 1,748,500 617,276 3,539,551 Total current liabilities Long-term debt Other long-term liabilities Total liabilities Stockholders' equity: Common stock, shares issued: 299,269,702 in 2011 and 299,195,325 in 2010 299,269 299,195 Class B Common stock, shares issued: 60,632,042 in 2011 and 60,706,419 in 2010 Additional paid-in-capital Retained earnings Treasury-Common stock shares, at cost: 60,632 490,817 4,699,597 60,706 434,865 4,374,718 134,695,826 in 2011 and 132,871,512 in 2010 The Hershey Company stockholders' equity Total stockholders' equity (4,258,962) 4,052,101) (442,331)(215,067) 902,316 285 937,601 $4,272,732 Accumulated other comprehensive loss 849,022 23,626 872,648 $4,412,199 Noncontrolling interests in subsidiaries Total liabilities and stockholders' equity For Years Ended December 31, December 31, 2010 2011 Net sales $6,080,788 $5,671,009 Costs and expenses: Cost of sales Selling, marketing, and administrative Business realignment and impairment charges, net Total costs and expenses 3,548,896 1,477,750 (886) 5,025,760 1,055,028 92,183 962,845 333,883 3,255,801 1,426,477 83,433 4,765,711 905,298 96,434 808,864 299,065 628,962 $ 509,799 Income before interest and income taxes Interest expense, net Income before income taxes Provision for income taxes Net income Net income per common share-Basic-Class B Common stock 2.58 $ 2.08 Net income per common share-Diluted-Class B Common stock Net income per common share- Basic-Common stock $ Net income per common share -Diluted-Common stock$ 2.56 $ 2.85 $ 2.74 $ 2.07 2.29 2.21