PepsiCo Inc. is an American multinational corporation headquartered in Purchase, New York, United States, with interests in the manufacturing, marketing and distribution of grain-based snack foods, beverages, and other products. PepsiCo was formed in 1965 with the merger of the Pepsi-Cola Company and Frito-Lay, Inc. Sony VAIO PCG-3B1M Battery
PepsiCo has since expanded from its namesake product Pepsi to a broader range of food and beverage brands, the largest of which include an acquisition ofTropicana in 1998 and a merger with Quaker Oats in 2001—which added the Gatorade brand to its portfolio. Sony VAIO PCG-3C1T Battery
As of January 2012, 22 of PepsiCo's product lines generated retail sales of more than $1 billion each, and the company's products were distributed across more than 200 countries, resulting in annual net revenues of $43.3 billion. Based on net revenue, PepsiCo is the second largest food & beverage business in the world. Sony VAIO PCG-3D1M Battery
Within North America, PepsiCo is ranked (by net revenue) as the largest food and beverage business.
Indra Krishnamurthy Nooyi has been the chief executive of PepsiCo since 2006, and the company employed approximately 297,000 people worldwide as of 2011. Sony VAIO PCG-3G2M Battery
The company's beverage distribution and bottling is conducted by PepsiCo as well as by licensed bottlers in certain regions. PepsiCo is a SIC 2080 (beverage) company.
The recipe for Pepsi, the soft drink, was first developed in the 1880s by a New Bern, North Carolina pharmacist and industrialist, Sony VAIO PCG-5R1M Battery
Caleb Bradham, who named it "Pepsi-Cola" in 1898. As the cola developed in popularity, he created thePepsi-Cola Company in 1902 and registered a patent for his recipe in 1903. The Pepsi-Cola Company was first incorporated in the state of Delaware in 1919. Sony VAIO PCG-7141M Battery
The company went bankrupt in 1931 and on June 8 of that year the trademark and syrup recipe was bought by Charles Guth who owned a syrup manufacturing business in Baltimore, Maryland. Guth was also the president of Loft, Incorporated, a leading candy manufacturer and used the company's labs and chemists to reformulate the syrup. Sony VAIO PCG-7143M Battery
He further contracted to stock the soda in Loft's large chain of candy shops and restaurants, which were known for their soda fountains, used Loft resources to promote Pepsi, and moved the soda company to a location close by Loft's own facilities in New York City. In 1935 the shareholders of Loft sued Guth for his 91% stake of PepsiCo in the landmark Guth v. Sony VAIO PCG-7151M Battery
Loft Inc.. Loft won the suit and on May 29, 1941 formally absorbed Pepsi into Loft, which was then rebranded as Pepsi Cola Company that same year. (Loft restaurants and candy stores were spun off at this time.) In the early 1960s the company product line expanded with the creation of Diet Pepsi and purchase of Mountain Dew. Sony VAIO PCG-7154M Battery
Separately, the Frito Company and H.W. Lay & Company – two American potato and corn chip snack manufacturers – began working together in 1945 with a licensing agreement allowing H.W. Lay to distribute Fritos in the Southeastern United States. The companies merged to become Frito-Lay, Inc. in 1961. Sony VAIO PCG-7162M Battery
In 1965, the Pepsi-Cola Company merged with Frito-Lay, Inc. to become PepsiCo, Inc., the company it is known as at present. At the time of its foundation, PepsiCo was incorporated in the state of Delaware and headquartered in Manhattan, New York. The company's headquarters were relocated to its still-current location of Purchase, Sony VAIO PCG-7181M Battery
New York in 1970, and in 1986 PepsiCo was reincorporated in the state of North Carolina.
PepsiCo was the first company to stamp expiration dates, starting in March 1994.
Between the late-1970s and the mid-1990s, PepsiCo expanded via acquisition of businesses outside of its core focus of packaged food and beverage brands; Sony VAIO PCG-41112M Battery
however it exited these non-core business lines largely in 1997, selling some, and spinning off others into a new company named Tricon Global Restaurants, which later became known as Yum! Brands, Inc.. PepsiCo also previously owned several other brands that it later sold so it could focus on its primary snack food and beverage lines, according to investment analysts reporting on the divestments in 1997. Sony VAIO PCG-7153M Battery
Brands formerly owned by PepsiCo include: Pizza Hut, Taco Bell,KFC, Hot 'n Now, East Side Mario's, D'Angelo Sandwich Shops, Chevys Fresh Mex, California Pizza Kitchen, Stolichnaya (via licensed agreement), Wilson Sporting Goods and North American Van Lines. Sony VAIO PCG-71312M Battery
The divestments concluding in 2007 were followed by multiple large-scale acquisitions, as PepsiCo began to extend its operations beyond soft drinks and snack foods into other lines of foods and beverages. PepsiCo purchased the orange juice company Tropicana Products in 1998, Sony VAIO PCG-7144M Battery
and merged with Quaker Oats Company in 2001, adding with it the Gatorade sports drink line and other Quaker Oats brands such as Chewy Granola Bars and Aunt Jemima, among others.
In August 2009, PepsiCo made a $7 billion offer to acquire the two largest bottlers of its products in North America: Pepsi Bottling Group and PepsiAmericas. Sony VAIO PCG-7191L Battery
In 2010 this acquisition was completed, resulting in the formation of a new wholly owned subsidiary of PepsiCo, Pepsi Beverages Company. In February 2011, the company made its largest international acquisition by purchasing a two-thirds (majority) stake in Wimm-Bill-Dann Foods, Sony VAIO PCG-3C1M Battery
a Russian food company that produces milk, yogurt, fruit juices, and dairy products. When it acquired the remaining 23% stake of Wimm-Bill-Dann Foods in October 2011, PepsiCo became the largest food and beverage company in Russia.
In February 2012 ahead, CEO of PepsiCo Inc. plans to cut 8,700 jobs or about 3 percent of the PepsiCo's global workforce and boost marketing spending for its brand by as much as $600 million. It may save about $1.5 billion by 2014. Sony VAIO PCG-3F1M Battery
The Coca-Cola Company has historically been considered PepsiCo's primary competitor in the beverage market, and in December 2005, PepsiCo surpassed The Coca-Cola Company in market value for the first time in 112 years since both companies began to compete. Sony VAIO PCG-3H1M Battery
In 2009, the Coca-Cola Company held a higher market share in carbonated soft drink sales within the U.S. In the same year, PepsiCo maintained a higher share of the U.S. refreshment beverage market, however, reflecting the differences in product lines between the two companies. Sony VAIO PCG-3J1M Battery
As a result of mergers, acquisitions and partnerships pursued by PepsiCo in the 1990s and 2000s, its business has shifted to include a broader product base, including foods, snacks and beverages. The majority of PepsiCo's revenues no longer come from the production and sale of carbonated soft drinks. Sony VAIO PCG-8141M Battery
Beverages accounted for less than 50 percent of its total revenue in 2009. In the same year, slightly more than 60 percent of PepsiCo's beverage sales came from its primary non-carbonated brands, namely Gatorade and Tropicana.
PepsiCo's Frito-Lay and Quaker Oats brands hold a significant share of the U.S. Sony VAIO PCG-8161M Battery
snack food market, accounting for approximately 39 percent of U.S. snack food sales in 2009. One of PepsiCo's primary competitors in the snack food market overall is Kraft Foods, which in the same year held 11 percent of the U.S. snack market share.
PepsiCo's product mix as of 2012 (based on worldwide net revenue) consists of 63 percent foods, and 37 percent beverages. Sony VAIO PCG-3C2M Battery
On a worldwide basis, the company's current products lines include several hundred brands that in 2009 were estimated to have generated approximately $108 billion in cumulative annualretail sales.
The primary identifier of a food and beverage industry main brand is annual sales over $1 billion. Sony VAIO PCG-5N2M Battery
As of 2009, 19 PepsiCo brands met that mark: Pepsi-Cola,Mountain Dew, Lay's, Gatorade, Tropicana, 7Up, Doritos, Lipton Teas, Quaker Foods, Cheetos, Mirinda, Ruffles, Aquafina, Pepsi Max, Tostitos, Sierra Mist,Fritos, and Walker's. Sony VAIO PCG-5P1M Battery
The structure of PepsiCo's global operations has shifted multiple times in its history as a result of international expansion, and as of 2010 it is separated into four main divisions: PepsiCo Americas Foods, PepsiCo Americas Beverages,PepsiCo Europe, and PepsiCo Asia, Middle East and Africa. Sony VAIO PCG-5S1M Battery
As of 2009, 71 percent of the company's net revenues came from North and South America, 16 percent from Europe and 13 percent from Asia, the Middle East and Africa. Approximately 285,000 people are employed by PepsiCo worldwide as of 2010.
PepsiCo Americas Foods consists of the company's food and snack operations in North and South America. Sony VAIO PCG-9Z1M Battery
This operating division is further segmented into Frito-Lay North America, Quaker Foods & Snacks, Sabritas, Gamesa, and Latin America Foods. Food and snack sales in North and South America combined contributed 48 percent of PepsiCo's net revenue in 2009. Sony VAIO PCG-7171M Battery
Frito-Lay North America, the result of a merger in 1961 between the Frito Company and the H.W. Lay Company, produces the top selling line of snack foods in the U.S. Its main brands in the U.S., Canada and Mexico and include Lay's andRuffles potato chips, Doritos tortilla chips, Tostitos tortilla chips and dips, Sony VAIO PCG-7186M Battery
Cheetos cheese flavored snacks, Fritos corn chips, Rold Gold pretzels, Sun Chipsand Cracker Jack popcorn. Products made by this division are sold to independent distributors and retailers, and are transported from Frito-Lay's manufacturing plants to distribution centers, principally in vehicles owned and operated by the company. Sony VAIO PCG-81112M Battery
Quaker Foods North America, created following PepsiCo's acquisition of the Quaker Oats Company in 2001, manufactures, markets and sells Quaker Oatmeal, Rice-A-Roni, Cap'n Crunch and Life cereals, as well as Near East side dishes within North America. Sony VAIO PCG-31311M Battery
This division also owns and produces the Aunt Jemima brand, which as of 2009 was the top selling line of syrups and pancake mixes within this region.
Sabritas and Gamesa are two of PepsiCo's food and snack business lines headquartered in Mexico, and they were acquired by PepsiCo in 1966 and 1990, respectively. Sony VAIO PCG-8152M Battery
Sabritas markets Frito-Lay products in Mexico, including local brands such as Poffets, Rancheritos, Crujitos and Sabritones. Gamesa is the largest manufacturer of cookies in Mexico, distributing brands such as Emperador, Arcoiris and Marías Gamesa.
PepsiCo's Latin America Foods (Spanish: Snacks América Latina) operations market and sell primarily Quaker- and Frito-Lay-branded snack foods within Central and South America, Sony VAIO PCG-31111M Battery
including Argentina, Brazil, Peru and other countries in this region. Snacks América Latina purchased Peruvian company Karinto S.A.C. including its production company Bocaditas Nacionales (with three production facilities in Peru) from the Hayashida family of Lima in 2009, adding the Karito brand to its product line, including Cuates, Fripapas, and Papi Frits. Sony VAIO PCG-61111M Battery
This division contributed 23 percent of PepsiCo's net revenue as of 2009, and involves the manufacture (and in some cases licensing), marketing and sales of both carbonated and non-carbonated beverages in North, Central and South America. The main brands distributed under this division include Pepsi, Mountain Dew, Sony VAIO PCG-51112M Battery
Gatorade, 7 Up (outside the U.S.), Tropicana Pure Premium orange juice, Sierra Mist, SoBe Lifewater, Tropicana juice drinks, AMP Energy, Naked Juice andIzze. Aquafina, the company's bottled water brand, is also marketed and licensed through PepsiCo Americas Beverages. Sony VAIO PCG-51211M Battery
PepsiCo also has formed partnerships with several beverage brands it does not own, in order to distribute or market them with its own brands. As of 2010, its partnerships include: Starbucks (Frappuccino, DoubleShot and Iced Coffee), Unilever's Lipton brand (Lipton Brisk and Lipton Iced Tea), and Dole (licensed juices and drinks). Sony VAIO PCG-51212M Battery
The company started a new market strategy to sell their Pepsi Cola product in Mexico, stating that about one third of the population has difficulty pronouncing "Pepsi". They started manufacturing and selling their product under the label 'Pécsi', the advertisement campaign features the Mexican soccer celebrityCuauhtémoc Blanco. Sony VAIO PCG-41111M Battery
This is not the first time it has happened, back in 2009, PepsiCo used the same strategy successfully in Argentina.
PepsiCo began to expand its distribution in Europe in the 1980s, and in 2009 it made up 16 percent of the company's global net revenue. Sony VAIO PCG-41111V Battery
Unlike PepsiCo's Americas business segments, both foods and beverages are manufactured and marketed under one umbrella division in this region, known as PepsiCo Europe. The primary brands sold by PepsiCo in Europe include Pepsi-Cola beverages, Frito-Lay snacks, Sony VAIO PCG-61412V Battery
Tropicana juices and Quaker food products, as well as regional brands unique to Europe such as Walkers crisps, Copella, Paw Ridge, Snack-a-Jack, Duyvis and others. PepsiCo also distributes the soft drink 7UP in Europe via license agreement.
PepsiCo's European presence expanded in Russia in 2009 as the company announced a $1B investment, Sony VAIO PCG-71112M Battery
and with its acquisition of Russian juice and dairy product brand Wimm-Bill-Dann Foods in December 2010 and Lebedyansky juice producer in March 2008.
The most recently created operating division of PepsiCo covers Asia, the Middle East and Africa. Sony VAIO PCG-81111V Battery
In addition to the production and sales of several worldwide Pepsi-Cola, Quaker Foods and Frito-Lay beverage and food product lines (including Pepsi and Doritos), this segment of PepsiCo's business markets regional brands such as Mirinda, Kurkure and Red Rock Deli, among others. Sony VAIO PCG-81111V Battery
While PepsiCo owns its own manufacturing and distribution facilities in certain parts of these regions, more of this production is conducted via alternate means such as licensing (which it does with Aquafina), contract manufacturing, joint ventures andaffiliate operations. Sony VAIO PCG-81212M Battery
PepsiCo's businesses in these regions, as of 2009, contributed 13 percent to the company's net revenue worldwide.
Headquartered in Purchase, New York, with research and development headquarters in Valhalla, New York, PepsiCo's Chairman and CEO is Indra Nooyi. Sony VAIO PCG-81212V Battery
The board of directors is composed of eleven outside directors as of 2010, including Ray Lee Hunt, Shona L. Brown, Victor Dzau, Arthur C. Martinez, Sharon Percy Rockefeller, Daniel Vasella, Dina Dublon, Ian M. Cook, Alberto Ibargüen, James J. Schiro and Lloyd G. Trotter. Former top executives at PepsiCo include Steven Reinemund, Sony VAIO PCG-51111M Battery
Roger Enrico, D. Wayne Calloway, John Sculley, Michael H. Jordan, Donald M. Kendall, Christopher A. Sinclair and Alfred Steele.
On October 1, 2006, former Chief Financial Officer and President Indra Nooyi replaced Steve Reinemund as Chief Executive Officer. Sony VAIO VPCS13X9E/B battery
Nooyi remained as the corporation's president, and became Chairman of the Board in May 2007, later (in 2010) being named No.1 on Fortune's list of the "50 Most Powerful Women" and No.6 on Forbes' list of the "World's 100 Most Powerful Women".Sony VAIO VPCS12V9E/B battery
PepsiCo received a 100 percent rating on the Corporate Equality Index released by the LGBT-advocate group Human Rights Campaign starting in 2004, the third year of the report.
The PepsiCo headquarters are located in Purchase, New York. It was one of the last architectural works by Edward Durell Stone.Sony VAIO VPCS12V9E/B battery
It consists of seven three story buildings. Each building is connected to its neighbor through a corner. The property includes the Donald M. Kendall Sculpture Gardens with 45 contemporary sculptures open to the public. Works include those ofAlexander Calder, Henry Moore, and Auguste Rodin. Sony VAIO VPCF13M8E/B battery
Westchester Magazine stated "The buildings’ square blocks rise from the ground into low, inverted ziggurats, with each of the three floors having strips of dark windows; patterned pre-cast concrete panels add texture to the exterior surfaces." In 2010 the magazine ranked the building as one of the ten most beautiful buildings in Westchester County. Sony VAIO VPCF13Z0E/B battery
At one time PepsiCo had its headquarters in 500 Park Avenue in Midtown Manhattan, New York City. In 1956 Pepsico paid $2 million for the original building. PepsiCo built the new 500 Park Avenue in 1960. In 1966, Mayor of New York CityJohn Lindsay started a private campaign to convince PepsiCo to remain in New York City. Sony VAIO VPCM13M1E/L battery
Six months later, the company announced that it was moving to 112 acres (45 ha) of the Blind Brook Polo Club in Westchester County. After PepsiCo left the Manhattan building, it became known as the Olivetti Building.