Chocolate Still Rule CHOCOLATE TOWN? a Sale of the Hershey Co
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‘BIG’ JOB Partners aim to reinvigorate flooring franchise Page 13 July 22, 2016 • Vol. 32 • No. 31 • $2 www.CPBJ.com Does chocolate still rule CHOCOLATE TOWN? A sale of The Hershey Co. could be painful, but it might not be the devastating blow once thought for a town built on chocolate but sustained by the growth of its hospital and amusement resort. By Roger DuPuis | [email protected] ohn Christopher was relieved last month when The Hershey Co. turned down a $23 billion purchase offer from Illinois- J based Mondelez International. The proprietor of Johnny’s Down Under Barber Shop on West Chocolate Avenue in Derry Township, Christopher spent a quarter century working for the Dauphin County chocolate maker before deciding 13 years ago to change careers. Like today, it was a time when Hershey was the sub- ject of sale talks, and worries about layoffs were in the wind. He thinks Hershey’s board did the right thing on June 30 when it unanimously rejected the approach from Mon- delez. Christopher feared a buyout could have meant more job cuts, a smaller footprint and a potential loss of the pres- tige that helped turn a rural company town into Hershey, Pennsylvania: Chocolate Town, U.S.A. PHOTO/ AMY please see HERSHEY, page 8 SPANGLER FEATURES INDEX After Hours . .25 Awards . 20. DRIVE-IN FORCE Business Record . 21 Central Pennsylvania Inside Business . 13 theaters holding on Lists & Leads . .19 Newsmakers . 20. Page 3 Off The Clock . 31 On The Move . 21 Opinion . 10 2 www.CPBJ.com • Central Penn Business Journal • 717-236-4300 July 22, 2016 MAKE MASSAGE PART OF YOUR NEWS IN BRIEF COMPANY’S WELLNESS PROGRAM. Hearings planned for input Ahold and Delhaize Group said they plan Relieves Stress • Relieves Tension • Promotes Wellness to sell 86 U.S. stores, including some in Can Lead to a Healthier Workplace on future of 717 area code York and Franklin counties, in an effort to Residents and businesses in the 717 area satisfy antitrust concerns related to their code have two opportunities next month to merger. Ahold and Delhaize own the Giant Massages By Miller can help your company offer state regulators input on how to deal and Food Lion brands, among others. The gain greater productivity and a happier workplace... with the looming end of available phone buyers include Sunbury-based Weis Mar- Just Ask Hair Direct or Gunn-Mowery, LLC numbers for the region. The area is cur- kets Inc., which is buying 38 Food Lions in rently expected to use up the supply of 717 Delaware, Maryland and Virginia. Saubel’s available for health fairs, telephone numbers by 2018. In a bid to ad- Markets, a small chain that operates three trade shows, and other corporate events. dress the problem, the Pennsylvania Public groceries in southern York County and Utility Commission will hold hearings at northern Maryland, plans to buy a Food Contact Tom Miller at MASSAGES BY MILLER the Commonwealth Keystone Building on Lion store in Springettsbury Township, York 717.972.8794 or www.massagesbymiller.com PA MSG#000695 Tuesday, Aug. 9 at 1 p.m. and 6 p.m. Public County. Ahold and Delhaize expect to close comment related to addressing the 717 area their merger this month and said they have code dilemma will be considered as part of agreements in hand to sell the 86 stores, the commission’s review. For those who are which are scattered across Pennsylvania, unable to attend in person, the hearings will Delaware, Maryland, Massachusetts, New be broadcast on www.puc.pa.gov. York, Virginia and West Virginia. The store sales are contingent on the FTC’s approval Demand for warehouse of the merger. space not slowing in region State universities to hike Don’t expect Central Pennsylvania’s in- tuition $89 per semester dustrial real estate market to hit a ceiling Students in Pennsylvania’s 14 State Sys- anytime soon, as demand for space contin- tem of Higher Education schools will pay ues to outstrip supply, according to the lat- an extra $89 a semester for the 2016-17 aca- est market research by real estate firm CBRE demic year. The board of governors for the Group Inc. The inventory of industrial real schools voted to approve the increase, which estate in Central Pennsylvania, which in- will set the base tuition rate for most full-time cludes Cumberland, Dauphin, Franklin, Pennsylvania resi- Lancaster, Lebanon and York counties, dents at $3,619 per stood at nearly 161 million square feet at semester, or $7,238 the end of the second quarter. Industrial for the full year, real estate refers primarily to warehouse state system offi- and distribution facilities. Central Penn- cials announced. sylvania is the largest industrial market in The state system the state. When added to the larger Greater universities are Bloomsburg, California, Philadelphia region, it is the second largest Cheyney, Clarion, East Stroudsburg, Ed- in the country, trailing only the massive In- inboro, Indiana, Kutztown, Lock Haven, land Empire market in southern California. Mansfield, Millersville, Shippensburg, Slip- pery Rock and West Chester universities. Merging grocery chains The universities also operate branch cam- to unload 86 stores puses in Oil City (Clarion), Freeport and Midstate grocery chains are joining Punxsutawney (IUP), and Clearfield (Lock the feeding frenzy as two industry giants Haven), and offer classes and programs at propose to sell off dozens of supermar- several regional centers, including the Dixon kets ahead of a merger expected to close University Center in Harrisburg and in Cen- this month. European grocery companies ter City in Philadelphia. COMPANIES INDEX Floors & More . 13 NUMBER OF Groups receiving significant mention Haar’s Drive-In . 3 THE WEEK in this paper and pages on which Hershey Cemetery Trust . 1 Hershey Entertainment & Resorts . 1 stories begin: Hershey Trust Co . 1 25,964 Big Bob’s Flooring Outlet . 13 Johnny’s Down Under Barber Shop . 1 business establishments Casper . 13 Martin Library Associates . 6 providing services for the Charter Homes . 14 Matthew P . Casey & Associates Inc . 15 elderly and people with Cumberland Area Economic Development Milton Hershey School . 1 Corp . 15 Milton Hershey School Trust . 1 disabilities. Cumberland County Housing and Mondelez International . 1 SOURCE: U.S. CENSUS BUREAU Redevelopment Authorities . 15 Penn State Health Milton S . Hershey Cumberland Valley Visitors Bureau . 15 Medical Center . 1 Touch of Color Flooring Inc . 13 Curtain Call Costumes . 4 Rider Musser Development LLC . 14 York County Economic Alliance . 6 Disability Rights Pennsylvania . 16 Sky-Vu Drive-in Theater . 3 York County Industrial Development Floor Covering Weekly . 13 The Hershey Co . 1 Authority . 6 Floor to Ceiling . 13 The M .S . Hershey Foundation Trust . 1 York Traditions Bank . 6 CORRECTIONS/CLARIFICATIONS The Central Penn Business Journal will correct or clarify mistakes made in the publication. If you have a question, please call the editorial department at 717-236-4300. July 22, 2016 717-236-4300 • Central Penn Business Journal • www.CPBJ.com 3 CUMBERLAND COUNTY to repair the screen. Hardy, 60, said that a closer look revealed the need for a new screen. Hardy declined to reveal costs. Drive-in But when the theater replaced the projector, she said, the price would have covered “two or three vehicles.” For the cost of the new screen, force she said, “You can buy five or six vehicles.” Kopp said replacing two pro- jectors at his Virginia theater cost about $140,000, The construction schedule forced the theater to move its Sunday movies scheduled for July 17 to a one-week-only Thursday showing on July 14. The drive-in Sisters Vickie Hardy, left, Connie normally shows movies Friday, Darbrow, center and Sandy Haar Saturday and Sunday nights. own and operate Haar’s Auction & York-based C.P. Reineberg Co. Drive-In in Dillsburg with assistance started demolition work on Sun- from their extended family. Below, day. The new screen was sched- Earl R. King, a carpenter’s assistant uled to be up July 21 and the on the 1952 construction crew that theater expected to reopen July 22. erected the original screen watches The drive-in also had to deal work being done this week. with a fire early Tuesday morning PHOTOS/AMY SPANGLER in scrap pile from the demolition. But the fire was small, out of the way of the construction, under Central Pa. theaters holding on control in 15 minutes and not ex- pected to delay the construction By Michael Sadowski It’s a move helping to preserve schedule or the opening. [email protected] local drive-in theaters in a time of “It’s a little nerve-racking. But surround-sound, OnDemand and we’re excited about it and thankful The family that owns the 64-year- IMAX. Another is the re-opening we can keep it going. As long as we old Haar’s Auction & Drive-In could of a drive-in in northern Dauphin have the patrons coming in.” said easily have packed it in this year. County. Hardy, who runs the business with Facing the unexpected cost of This spring, Tim Neal of Cham- her sister, Connie Darbow, their replacing the screen built by Vance bersburg dusted off Sky-Vu Drive- cousin, Sandra Haar and Darbow’s Haar when he started the business In Theater in Gratz after it had husband, Al. Younger members of in 1952, the third generation of been closed for three summers. the Haar family also pitch in. Haars to run the Dillsburg institu- “My wife said, ‘Just don’t lose in the country, at 34, but has lost “There were a lot of older people For Neal at Sky-Vu, having pa- tion started questioning its future.