PepsiCo forming new bottling business
October 05, 2009
by FoodBusinessNews.net Staff
PURCHASE, N.Y. — PepsiCo is forming a new bottling business called PepsiCo Bottling North America, and Eric J. Foss will be the chief executive officer.
The company is forming the new business as it is merging with its two largest bottlers, The Pepsi Bottling Group and PepsiAmericas. The new business will be effective upon the closing of the mergers, and Mr. Foss is currently the chairman and c.e.o. of Pepsi Bottling Group.
"This structure will provide two very important benefits," said Indra Nooyi, chairman and c.e.o. of PepsiCo, Inc. "It will allow us to continue the critically important work we began last year to refresh our core soft drink brands. At the same time, it will enable us to maintain the operating focus we need to capture the strategic opportunity created by our bottler mergers, particularly in North America. This new beverage model will strengthen our position in the global beverage marketplace through a powerful combination of scale, speed, flexibility and efficiency."
PepsiCo Bottling North America will consist of all the current Pepsi Bottling Group and PepsiAmericas operations in the United States, Canada and Mexico and will account for about three-quarters of the volume of PepsiCo’s North American bottling system. It will integrate the two bottling businesses into a lean and efficient organization. It will be separate from the brand-oriented PepsiCo Americas Beverages unit, which will continue to oversee independent bottlers and Gatorade and Tropicana operations.