Hershey trust’s Pa. kiss

The board of the charitable trust that controls Hershey is nearing a resolution with the Pennsylvania Attorney General’s office that would avoid a legal row in exchange for reforms on how it is run, people familiar with the matter said.

The settlement could provide the clarity needed for Mondelez to make a new approach to buy Hershey.

The $12 billion trust, set up by company founder Milton Hershey over a century ago to fund and run a school for underprivileged children, must approve any sale of the company. It rejected a $23 billion offer by Mondelez, the maker of Oreo and Cadbury chocolate, last month.

The Pennsylvania Attorney General’s office, the trust’s sole overseer, had threatened legal action to remove trustees unless a settlement over its governance was reached by the end of the month.

“There is no final agreement, but we have been having productive discussions with the AG’s office and hope that a final resolution will be reached very soon,” said Kent Jarrell, a spokesman for the trust’s board.

The Attorney General’s office declined comment.

The sources asked not to be named because the negotiations have not yet been completed.