1. Project Payday January 4th, 2010

2. By integrating net payroll and salaried time and attendance into SAP, Project PayDay will assist with the tracking and reporting of any “paid other time” such as vacations and sick days (*full list attached) This process will reduce administrative time and produce more accurate employee records Pay stubs will become electronic for employees with Hershey computers RSM’s will continue to receive paper pay stubs and will have the option to select ‘electronic only’ versions through my. hersheys.com U.S. rollout will occur on January 4th, 2010 Project Payday: Key Messages

3. Only absences will be captured in the REX handheld device for Project PayDay reporting. These will include: Vacations Sick Days Heritage Holidays Time Off w/Pay Project Payday: Process These absences must be submitted and synchronized weekly either by Fridays at 11:00 a.m. EST or Saturdays, at 6:00 a.m. EST DSM/DSS’s will approve or reject the absences within the SAP system and enter pre-approved, RSM exception ‘over hours’, consistent with Hershey policies Bereavement Jury Duty Military Duty Time Off wo/Pay (Under Hours)

4. Project PayDay will help simplify the reporting of “paid other time” in a time-saving, accurate manner Pay stubs will be secure and available electronically through “my. hersheys.com” All part-time RSM’s will continue to receive paper pay stubs and will also receive unique User IDs that will provide them secured access to their individual pay stubs on- line All part-time RSM’s have the option to select ‘electronic only’ pay stubs through “my. hersheys.com” U.S. rollout will occur on January 4th, 2010 Managers will be responsible for approving absences (via email notification) and entering pre-approved time spent over regular hours for any RSM in the field If an RSMs REX is not working, they should utilize The Hershey Company Call-Off System as a secondary reporting method Reporting absence exceptions timely is extremely important in supporting Hershey’s Absence Management procedures Project Payday: Recap