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Date Posted: 02:06:14 07/22/09 Wed
Author: Bobby N. Harmon, CPCU
Subject:

HERSHEY'S CEO MAKES OUT WHILE SHAREHOLDERS LOSE OUT!

"HERSHEY'S CEO MAKES OUT WHILE SHAREHOLDERS LOSE OUT" - (An Exhibit in CV05-00030 - U S Dept of Justice vs Harmon)

Wednesday, July 22, 2009 3:11 AM

From: Bobby N. Harmon, CPCU

To: "President Barack Obama" , "U.S. Attorney General Eric Holder" , "David Farmer" , "Steven Guttman" , "Carol K. Muranaka" , "Judge David A. Ezra" , "Judge Kevin S.C. Chang" , "Judge Barry M. Kurren" , "Securities & Exchange Commission Enforcement Division" , "U.S. Treasury Dept. Office of Inspector General" , "Office of Inspector General US Dept of Justice" , "Executive Office for U.S. Trustees" , "Judge Robert Faris" , "SEC Office of The Inspector General" , "Hawaii State Bar Association" , "Hugh Jones" , "Insurance Division Fraud Branch" , "Lawrence Reifurth" , "Linda Lingle" , "Jo Ann Uchida" , "Office of Inspector General Civil Rights Complaints" , "Mark Bennett" , "American Arbitration Association" , "Judith Neustadter" , "Benjamin J. Cayetano" , "All Representatives" , "All Senators" , "Andrew Walden" , "Aon Insurance Managers" , "Arthur Rath" , "Benjamin Kudo" , "Bradley Tamm" , "Carl Morton" , "Charles Hurd" , "David Shapiro" , "Dee Jay Mailer" , "J C Shannon" , "James B Nicholson" , "James B. Farris" , "James Cribley" , "James Wriston" , "Jeffrey Watanabe" , "Jim Dooley" , "Joe Moore" , "John D. Finnegan" , "Judson Witham" , "Ken Conklin" , "Lyn Flanigan Anzai" , "Margery Bronster" , "Marsh Affinity Group" , "Michael N. Tanoue" , "Michelle Tucker" , "Nathan Aipa" , "Paul Alston" , "Randall Roth" , "Rick Daysog" , "Robert Bruce Graham" , "Robin Campaniano" , "Samuel P. King" , "William K Slate" , "Jim Terrack" , "Rocco Sansone" , "Ted Pettit" , "Laura Thielen" , "Vaughn & Lynda Robinson" , "Rebecca Christie" , "Catbird" , "James Duca" , "Ian Lind" , "Roy F. Hughes" , "Jack Cashill" , "Marshall Chriswell" , "Laser Haas" , "Lucy Komisar" , "Democrats.com" , "Debra Sweet" , "Jane Kirtley" , "John Jubinsky" , "Yamil Berard" , "Global Exchange" , "William K. Black" , "Carole Williams" , "Susan Tius" , "Human Rights in China" , "Michelle Malkin" , "Phil J. Berg" , "Amnesty International U.S.A." , "Michael Moore" , "California Anti-SLAPP Project" , "Thomas Fitton" , "Ron Branson" , "ACLU of Kentucky" , "ACLU Online" , "Louanne Kam" , "Fiona Tarazi" , "Eric Martinson" , "Bruce Nakaoka" , "Oswald Stender" , "Crystal Rose" , "Arthur Bryant"

Hershey's CEO makes out while shareholders lose out

Posted Mar 17th 2009 8:00AM by Steven Mallas

Filed under: SEC filings, Walt Disney (DIS), Hershey Co (HSY), Amer Intl Group (AIG)

Another day, another item about excessive compensation.

While American International Group (NYSE: AIG) pays out a ton of money to its own employees, the Hershey (NYSE: HSY) board has seen fit to bestow a rich compensation package to CEO David J. West.

Oh well, what can you do, I suppose. I always hate reading these reports. They always get under my skin. If you're a shareholder of Hershey, you're not doing that great right now. The stock will probably do well over the long term, but in the meantime, your shares are down over the last several years.

That's why it stings to see West pulling down a package in 2008 worth over $6 million, according to calculations made by the Associated Press. While Hershey may not have gone down as badly as the rest of the market has, I can tell you that such a fact is of little consolation to those who have seen their paper worth suffer.

Although I don't own Hershey in my portfolio, I do own Disney (NYSE: DIS), and I've commented before on Bob Iger's own excessive pay. We're all in this together. Believe me, I can sympathize.

I'm afraid the practice of overpaying chief executives will always be with us. For some reason, shareholders choose to remain complacent on this issue. They almost seem to feel a weird form of empathy toward the guy or gal in the top spot in terms of the pressure that such a position entails. Some investors also seem to feel that those who criticize pay packages are somehow less than capitalistic.

Quite honestly, it's simply a case of being efficient and cutting costs. Any amount of money that can be conserved is a good amount, and companies should be aggressive on this count. I'm not sure how that can be interpreted as being anything less than capitalistic.

At any rate, I wouldn't make a buy/sell decision based on this amount of compensation, and I will reiterate my feeling that Hershey should prosper over time from its valuable portfolio of confections.

That doesn't mean, however, that shareholders shouldn't fight to minimize CEO pay. We simply need neither the cash expense nor the dilution from the issuance of options. What we do need are shareholder-friendly boards and reasonable salaries for employees, even those at or near the top of the executive hierarchy. Talk about rare commodities!

Disclosure: I own Disney; positions can change without notice.

Tags: AIG, american international group, AmericanInternationalGroup, Bob Iger, BobIger, ceo compensation, ceo pay, CeoCompensation, CeoPay, David J. West, DavidJ.West, Disney, featured, Hershey, HSY

http://www.bloggingstocks.com/2009/03/17/hersheys-ceo-makes-out-while-shareholders-lose-out/

* * *

July 22, 2009

Dear President Obama, Attorney General Holder, Trustee Farmer, Mr. Guttman, Ms. Neustadter, Judge Kevin Chang, Judge David Ezra, and All Concerned:

Due to the new discovery of facts that directly relate to this lawsuit which constitutes "prior restraint" and violates my constitutional rights of Free Speech and a Fair Trial, and Federal and State Anti-SLAPP statutes, I am adding the subject Exhibit.

You will find related information at:

http://www.kycbs.net/Non-Profits.htm
http://www.kycbs.net/AIG.htm
http://www.kycbs.net/Bishop.htm

Mr. Farmer and Mr. Guttman, until these matters are fully resolved, I ask that you perform your mandated review of this Exhibit in accordance with Judge Ezra's Order, and advise me, whether or not, it contains any so-called "protected subject matter".

To all concerned parties, I respectfully request an immediate response to this letter. If I do not receive a response within 15 days, I will consider this as an admission that these pages contain no "PSM" as far as you are concerned, and that no involved party will file any objections to any Motion that I may make to reopen this case.

Very truly yours,

Bobby N. Harmon, CPCU, ARM

Additional References:
http://www.kycbs.net/
http://www.kycbs.net/Apartheid-Hawaii.htm
http://www.kycbs.net/BH-CHRON-88-96.htm
http://www.kycbs.net/BH-CHRON-97-99.htm
http://www.kycbs.net/BH-Settlement-Chronology.htm
http://www.kycbs.net/Bishop.htm
http://www.kycbs.net/Broken-Trust-Book.htm
http://www.kycbs.net/Confessions.htm
http://www.kycbs.net/CV05-00030-OUST-vs-Harmon.htm
http://www.kycbs.net/Freedom-To-Sing.htm
http://www.kycbs.net/HarmonArbitration.htm
http://www.kycbs.net/JUSTICE.htm
http://www.kycbs.net/Lost-Generations.htm
http://www.kycbs.net/RICO-in-Paradise.htm
http://www.kycbs.net/SLAPP.htm
http://www.kycbs.net/Whistler.htm
http://voy.com/129276/
http://whistlersongs.blogspot.com

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