Dive Brief:
- Hershey's John Bilbrey, who has been CEO since 2011, will become board chairman, effective immediately reports The Wall Street Journal.
- James Nevels, the previous holder of the position since 2009, is heading to a new position, lead independent director, The Wall Street Journal reports, citing a regulatory filing.
- Nevels had suggested merging the CEO and chairman jobs previously.
Dive Insight:
"These changes to our board are the result of careful thought and consideration by the full board," Nevels said.
The Wall Street Journal notes Hershey has been having problems with slumping sales in both U.S. stores plus international markets, in addition to higher costs for ingredients like dairy and cocoa. However, recent input cost decreases plus U.S. price hikes are forecast to push more bulky 2015 margins.
In its latest earnings report, Hershey forecast a 2015 earnings outlook that was lower than prior estimates.
