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HARRISBURG, Pa. — The Hershey Co. on Friday conceded the race to acquire British candymaker Cadbury, opting for a slower road to international expansion but also possibly a tougher battle for shelf space in grocery stores.

The all-but-certain acquisition of Cadbury PLC by Kraft Foods Inc. marks the second time in two years that the most recognizable name in American chocolate must stand by while its competitors make plays for faster growth.

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