Project :- Public relation of Pepsi Co. Submitted by :- Garryson Dias Submitted to :- Prof. Shubhangi SYBMM Roll No.

32

Introduction
PepsiCo, Incorporated is a global American beverage and snack company. The company manufactures, markets and sells a variety of carbonated and non-carbonated beverages, as well as salty, sweet and grain-based snacks, and other foods. Besides the Pepsi-Cola brands (including Mountain Dew), the company manufactures Quaker Oats, Gatorade, Frito-Lay, SoBe, and Tropicana. In many ways, PepsiCo differs from its competitor, The Coca-Cola Company, having almost three times as many employees and larger revenues (See comparison at Yahoo Finance). The company formed for distribution and bottling is The Pepsi Bottling Group (NYSE: PBG). PepsiCo is a SIC 2080 (beverage) company. Pepsi Cola is a cola soft drink produced and manufactured by PepsiCo. It is sold worldwide in stores, restaurants and from vending machines. The drink was first made in the 1890s by pharmacist Caleb Bradham. The brand was trademarked on June 16, 1903. There have been many Pepsi variants produced over the years, including Diet Pepsi, Crystal Pepsi, Pepsi Max, Pepsi Blue, Pepsi Gold. During The Great Depression, Pepsi gained popularity following the introduction in 1934 of a 12-ounce bottle. Initially priced at 10 cents, sales were slow, but when the price was slashed to 5 cents, sales went through the roof. With twelve ounces a bottle instead of the six ounces Coca-Cola sold, Pepsi turned the price

difference to its advantage with a slick radio advertising campaign, featuring the "Pepsi cola hits the spot / Twelve full ounces, that's a lot / Twice as much for a nickel, too / Pepsi-Cola is the drink for you,", encouraging price-watching consumers to switch to Pepsi, while obliquely referring to the Coca-Cola standard of six ounces a bottle for the price of five cents (a nickel), instead of the twelve ounces Pepsi sold at the same price.

Overview
The company consists of Frito-Lay North America, PepsiCo Beverages North America, PepsiCo International and Quaker Foods North America. PepsiCo brands are available in nearly 200 countries and territories and generate sales at the retail level of about $92 billion. Some of PepsiCo's brand names are more than 100-years-old, but the corporation is relatively young. PepsiCo was founded in 1965 through the merger of Pepsi-Cola and Frito-Lay. Tropicana was acquired in 1998 and PepsiCo merged with The Quaker Oats Company, including Gatorade, in 2001. PepsiCo offers product choices to meet a broad variety of needs and preference -- from fun-for-you items to product choices that contribute to healthier lifestyles. PepsiCos mission is To be the world's premier consumer products company focused on convenient foods and beverages. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.

Shareholders

PepsiCo (symbol: PEP) shares are traded principally on the New York Stock Exchange in the United States. The company is also listed on the Amsterdam, Chicago and Swiss stock exchanges. PepsiCo has consistently paid cash dividends since the corporation was founded.

Corporate Citizenship
At PepsiCo, we believe that as a corporate citizen, we have a responsibility to contribute to the quality of life in our communities. This philosophy is expressed in our sustainability vision which states: PepsiCos responsibility is to continually improve all aspects of the world in which we operate environment, social, economic -- creating a better tomorrow than today. Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making PepsiCo a truly sustainable company.

PepsiCo Headquarters
PepsiCo World Headquarters is located in Purchase, New York, approximately 45 minutes from New York City. The sevenbuilding headquarters complex was designed by Edward Durrell Stone, one of America's foremost architects. The building occupies 10 acres of a 144-acre complex that includes the Donald M. Kendall Sculpture Gardens, a world- acclaimed sculpture collection in a garden setting. The collection of works is focused on major twentieth century art, and features works by masters such as Auguste Rodin, Henri Laurens, Henry Moore, Alexander Calder, Alberto Giacometti, Arnaldo Pomodoro and Claes Oldenberg. The gardens originally were designed by the world famous garden planner, Russell

Page, and have been extended by Franois Goffinet. The grounds are open to the public, and a visitor's booth is in operation during the spring and summer.

Corporate overview
PepsiCo is a world leader in convenient snacks, foods, and beverages, with revenues of more than $35 billion and over 168,000 employees. PepsiCo owns some of the world's most popular brands, including Pepsi-Cola, Mountain Dew, Diet Pepsi, Lay's, Doritos, Tropicana, Gatorade, and Quaker. Our brands are available worldwide through a variety of go-tomarket systems, including direct store delivery (DSD), brokerwarehouse, and food service and vending. PepsiCo was founded in 1965 through the merger of Pepsi-Cola and Frito-Lay. Tropicana was acquired in 1998 and PepsiCo merged with the Quaker Oats Company, including Gatorade, in 2001. Divisions We report our operating results as follows, by divisions: Frito-Lay North America (FLNA) PepsiCo Beverages North America (PBNA) Quaker Foods North America (QFNA) PepsiCo International (PI) Volume Reporting Our operating divisions report volume based on the following measures: Division Volume Measure FLNA Pounds

PBNA QFNA

8 oz equivalent cases (192 oz per case) Pounds

PI Int'l 8 oz equivalent cases (192 oz per Beverages case) Int'l Snacks Kilos Int'l Foods Kilos Because our divisions each use different measures of physical unit volume, a common servings metric is necessary to reflect PepsiCo's consolidated physical unit volume. Our divisions' physical volume measures are converted into servings, based on U.S. Food and Drug Administration guidelines for single serving sizes of our products, as follows: Salty 30 grams snacks Sweet 40 grams snacks Beverages 8 ounces Other 45 grams Foods Fiscal Year and Quarterly Reporting PepsiCo's fiscal year consists of 52 weeks and is divided into 13 4-week periods. Our fiscal year ends on the last Saturday in December and, as a result, a 53rd week is added every five or six years. Most of our volume and financial results are reported based on fiscal quarters, with some exceptions, as described in the chart and notes below: Division Q1 Q2 Q3 Q4 FLNA 3 fiscal 3 fiscal 3 fiscal 4 fiscal periods periods periods periods

3 fiscal 3 fiscal 3 fiscal 4 fiscal periods periods periods periods QFNA 3 fiscal 3 fiscal 3 fiscal 4 fiscal periods periods periods periods PI 2 months 3 months 3 months 4 months Notes on quarterly reporting PBNA: Volume is reported as described in the chart above for the Gatorade and Tropicana brands, and is reported based on monthly bottler case sales for products distributed by our bottlers (Q1=3 months, Q2=2 months, Q3=3 months, Q4=4 months). PepsiCo International: The volume and financial results of most of our international businesses are reported on a monthly calendar basis.

PBNA

Shareholder Services
Registered Shareholder Online Account Access Contacts BuyDIRECT Plan Safekeeping of Certificates Direct Deposit of Dividends Dividend Reinvestment Frequently Asked Questions Contacts: Transfer Agent BNY Mellon Shareowner Services PepsiCo, Inc. P.O. Box 11258 Church Street Station New York, New York 10286-1258 Telephone: (800) 226-0083 (212) 815-3700 (outside the U.S.) E-Mail: shareowners@bankofny.com Web: www.stockbny.com

PepsiCo, Inc. Manager, Shareholder Relations PepsiCo, Inc. 700 Anderson Hill Road Purchase, NY 10577 Telephone: (914)253-3055 BuyDIRECT Plan PepsiCo's BuyDIRECT Plan, sponsored by BNY Mellon Shareowner Services, allows interested investors to purchase shares of PepsiCo stock. Investors can make their initial purchase of PepsiCo stock and additional cash investments through the Plan. BuyDIRECT also offers dividend reinvestment and sale of shares. Please contact BNY Mellon Shareowner Services at 800-226-0083 or 212-815-3700 for more information. Shares can be purchased online at www.stockbny.com. Click on the Initial Purchase button listed under Shareholder Account Access. You can view general information and an enrollment form for our BuyDIRECT Safekeeping of Certificates If you enroll in our BuyDIRECT Plan, our transfer agent will provide safekeeping of all your stock certificates enrolled in the program. To submit your certificates for safekeeping, send the certificates via insured certified or registered mail with a return receipt requested to our transfer agent, BNY Mellon Shareowner Services. See the description of the BuyDIRECT Plan for more details Direct Deposit of Dividends If you are interested in having your dividends deposited directly into your bank account, please contact our transfer agent, BNY Mellon Shareowner Services.

Our Values reflect our aspirations -- the kind of company we want PepsiCo to be. We express our values in the form of a commitment. Our Commitment Our commitment is to deliver sustained growth, through empowered people, acting with responsibility and building trust. Heres what this means: Sustained Growth is fundamental to motivating and measuring our success. Our quest for sustained growth stimulates innovation, places a value on results, and helps us understand whether todays actions will contribute to our future. It is about growth of people and company performance. It prioritizes making a difference and getting things done. Empowered People means we have the freedom to act and think in ways that we feel will get the job done, while being consistent with the processes that ensure proper governance and being mindful of the rest of the companys needs. Responsibility and Trust form the foundation for healthy growth. Its about earning the confidence that other people place in us as individuals and as a company. Our responsibility means we take personal and corporate ownership for all we do, to be good stewards of the resources entrusted to us. We build trust

between ourselves and others by walking the talk and being committed to succeeding together. Guiding Principles

This is how we carry out our commitiment. We must always strive to: Care for customers, consumers and the world we live in. We are driven by an intense, competitive spirit in the marketplace, but we direct this spirit toward solutions that achieve a win for each of our constituents as well as a win for the corporation. Our success depends on a thorough understanding of our customers, consumers and communities. Caring means going the extra mile. Essentially, this is a spirit of growing rather than taking. Sell only products we can be proud of.The test of our standards is that we must be able to personally endorse our products without reservation and consume them ourselves. This principle extends to every part of the business, from the purchasing of ingredients to the point where our products reach the consumers hands. Speak with truth and candor. We speak up, telling the whole picture, not just what is convenient to achieving individual goals. In addition to being clear, honest and accurate, we take responsibility to ensure our communications are understood. Balance short term and long term. We make decisions that hold both short-term and long-term risks and benefits in balance over time. Without this balance, we cannot achieve the goal of sustainable growth. Win with diversity and inclusion. We leverage a work environment that embraces people with diverse backgrounds, traits and different ways of thinking. This leads to innovation, the ability to identify new market opportunities, all of which helps develop new products and drives our ability to sustain our commitments to growth through empowered people.

Respect others and succeed together. This company is built on individual excellence and personal accountability, but no one can achieve our goals by acting alone. We need great people who also have the capability of working together, whether in structured teams or informal collaboration. Mutual success is absolutely dependent on treating everyone who touches the business with respect, inside and outside the company. A spirit of fun, our respect for others and the value we put on teamwork make us a company people enjoy being part of, and this enables us to deliver world-class performance.

PepsiCo Environmental Policy PepsiCos responsibility is to continually improve all aspects of the world in which we operate environment, social and economic creating a better tomorrow than today. Sustainability Vision PepsiCos Sustainability Vision is simple in concept, but farreaching in impact. Environmental stewardship is a core part of this vision. PepsiCo recognizes our responsibility to be a good steward of the environment, both as a corporate citizen and as a way to support the companys goals. Our environmental policy includes the following: 1. We will comply with applicable legal and regulatory requirements and company standards and conduct regular audits to verify compliance. 2. We will apply sound environmental management practices where, in our judgement, existing legal requirements are insufficient for our operations. 3. We will consider our potential environmental impacts in our daily business decision-making processes.

4. We will encourage conservation of natural resources, recycling, source reduction and pollution control to ensure cleaner air and water and to reduce landfill wastes. We will share environmental best practices across the company. 5. We will monitor emerging issues and keep abreast of regulatory changes, technological innovations and stakeholder interests. Working with governments, academia, nongovernmental organizations, business associations and other interested stakeholders, we will strive to develop effective and sustainable solutions to environmental challenges we face in our business activities. 6. We will establish metrics to monitor our environmental performance, and use these to set goals for continuous improvement. 7. We will implement environmental management systems to identify and manage environmental risks, obligations and opportunities. 8. We will work with our licensed bottlers, suppliers and customers to reduce the environmental impacts of our products throughout their life cycle. 9. We will annually review the companys performance in implementing this policy. 10. We will review this policy periodically and update it as needed. It is the responsibility of both corporate and divisional leaders to ensure this policy is effectively communicated, understood and implemented throughout PepsiCo operations worldwide. All employees are responsible for understanding the impacts of this policy on their day-to-day activities and are encouraged to apply good environmental stewardship both in and beyond the workplace.

Criticisms
PepsiCo in India PepsiCo gained entry to India in 1988 by creating a joint venture with the Punjab government-owned Punjab Agro Industrial Corporation (PAIC) and Voltas India Limited. This joint venture marketed and sold Lehar Pepsi until 1991, when the use of foreign brands was allowed; PepsiCo bought out its partners and ended the joint venture in 1994. Others claim that firstly Pepsi was banned from import in India, in 1970, for having refused to release the list of its ingredients and in 1993, the ban was lifted, with Pepsi arriving on the market shortly afterwards. These controversies are a reminder of "India's sometimes acrimonious relationship with huge multinational companies." Indeed, some argue that PepsiCo and The Coca-Cola Company have "been major targets in part because they are well-known foreign companies that draw plenty of attention." In 2003, the Centre for Science and Environment (CSE), a nongovernmental organization in New Dehli, said aerated waters produced by soft drinks manufacturers in India, including multinational giants PepsiCo and The Coca-Cola Company, contained toxins, including lindane, DDT, malathion and chlorpyrifos pesticides that can contribute to cancer, a breakdown of the immune system and cause birth defects. Tested products included Coke, Pepsi, 7 Up, Mirinda, Fanta, Thums Up, Limca, and Sprite. CSE found that the Indianproduced Pepsi's soft drink products had 36 times the level of

pesticide residues permitted under European Union regulations; Coca Cola's 30 times. CSE said it had tested the same products in the US and found no such residues. However, this was the European standard for water, not for other drinks. No law bans the presence of pesticides in drinks in India. The Coca-Cola Company and PepsiCo angrily denied allegations that their products manufactured in India contained toxin levels far above the norms permitted in the developed world. But an Indian parliamentary committee, in 2004, backed up CSE's findings and a government-appointed committee, is now trying to develop the world's first pesticides standards for soft drinks. Coke and PepsiCo opposed the move, arguing that lab tests aren't reliable enough to detect minute traces of pesticides in complex drinks. On December 7, 2004, India's Supreme Court ruled that both PepsiCo and competitor The Coca-Cola Company must label all cans and bottles of the respective soft drinks with a consumer warning after tests showed unacceptable levels of residual pesticides. Both companies continue to maintain that their products meet all international safety standards without yet implementing the Supreme Court ruling. As of 2005, The Coca-Cola Company and PepsiCo together hold 95% market share of soft-drink sales in India. PepsiCo has also been alleged to practice "water piracy" due to its role in exploitation of ground water resources resulting in scarcity of drinking water for the natives of Puthussery panchayat in the Palakkad district in Kerala, India. Local residents have been pressuring the government to close down the PepsiCo unit in the village. In 2006, the CSE again found that soda drinks, including both Pepsi and Coca-Cola, had high levels of pesticides in their drinks. Both PepsiCo and The Coca-Cola Company maintain that their drinks are safe for consumption and have published newspaper advertisements that say pesticide levels in their products are less than those in other foods such as tea, fruit and

dairy products. In the Indian state of Kerala, sale and production of Pepsi-Cola, along with other soft drinks, has been banned. Five other Indian states have announced partial bans on the drinks in schools, colleges and hospitals.