The Hershey Company (HSY) 10-Q 2006 Q3 Quarterly report

EXHIBIT 12.1

THE HERSHEY COMPANY

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(in thousands of dollars except for ratios)

(Unaudited)

	For the Nine Months Ended
	Oct. 1, 2006		Oct. 2, 2005(b)
Earnings:
Income before income taxes	$	627,951	$	505,869
Add (deduct):
Interest on indebtedness		85,800		64,883
Portion of rents representative of the interest factor (a)		5,743		6,186
Amortization of debt expense		362		353
Amortization of capitalized interest		2,158		2,340
Earnings as adjusted	$	722,014	$	579,631
Fixed Charges:
Interest on indebtedness	$	85,800	$	64,883
Portion of rents representative of the interest factor (a)		5,743		6,186
Amortization of debt expense		362		353
Capitalized interest		46		-
Total fixed charges	$	91,951	$	71,422
Ratio of earnings to fixed charges		7.85		8.12
______________________
NOTE:

(a)	Portion of rents representative of the interest factor consists of one-third of rental expense for operating leases.
(b)	Amounts for 2005 were adjusted to reflect the adoption of Statement of Financial Accounting Standards No. 123 (Revised 2004), Share-Based Payment, in the fourth quarter of 2005.