Hershey Co. (HSY) stock dropped 4.7%, its steepest intraday decline this year, on Wednesday, after the company announced that Wendy's Chief Kirk Tanner will take over as its chief executive officer next month.

At Hershey, he’ll make a base salary of $1.25 million and is eligible to earn a cash incentive award that’s targeted at 180% of his base salary. Tanner will also receive a restricted stock unit award worth $7 million and a performance stock unit worth $4 million as a sign-on bonus.

The current Wendy's Company executive will transition from fast food to chocolate, succeeding Michele Buck, who has led the Hershey Company for nearly a decade.