PepsiCo, Inc. History

Address:
700 Anderson Hill Road
Purchase, New York 10577-1444
U.S.A.

Telephone: (914) 253-2000
Fax: (914) 253-2070

Website:
Public Company
Incorporated: 1965
Employees: 118,000
Sales: $20.37 billion (1999)
Stock Exchanges: New York Chicago Swiss Amsterdam Tokyo
Ticker Symbol: PEP
NAIC: 311411 Frozen Fruit, Juice, and Vegetable Manufacturing; 311919 Other Snack Food Manufacturing; 311821 Cookie and Cracker Manufacturing; 311930 Flavoring Syrup and Concentrate Manufacturing; 312111 Soft Drink Manufacturing; 312112 Bottled Water Manufacturing

Company Perspectives:

PepsiCo's overall mission is to increase the value of our shareholder's investment. We do this through sales growth, cost controls and wise investment of resources. We believe our commercial success depends upon offering quality and value to our consumers and customers; providing products that are safe, wholesome, economically efficient and environmentally sound; and providing a fair return to our investors while adhering to the highest standards of integrity. Key Dates:

Key Dates:

1898:
Pharmacist Caleb D. Bradham begins selling a cola beverage called Pepsi-Cola.
1905:
Bradham begins establishing a network of bottling franchises.
1923:
Bradham's company goes bankrupt.
1928:
Roy C. Megargel reorganizes the firm as the National Pepsi-Cola Company.
1931:
Company again goes bankrupt and is resurrected by the president of Loft Inc., Charles G. Guth.
1933:
The size of Pepsi bottles is doubled, increasing sales dramatically.
1936:
Pepsi-Cola Company becomes a subsidiary of Loft.
1939:
First national radio advertising of the Pepsi brand.
1941:
Loft and Pepsi-Cola merge, the new firm using the name Pepsi-Cola Company.
1964:
Diet Pepsi debuts; Mountain Dew is acquired from Tip Corporation.
1965:
Pepsi-Cola merges with Frito-Lay to form PepsiCo, Inc., with the two predecessors becoming divisions.
1967:
Frito-Lay introduces Doritos tortilla chips to the national U.S. market.
1977:
PepsiCo acquires Taco Bell.
1978:
PepsiCo acquires Pizza Hut.
1981:
Frito-Lay introduces Tostitos tortilla chips.
1986:
The Kentucky Fried Chicken (KFC) chain is acquired.
1997:
Taco Bell, Pizza Hut, and KFC are spun off into a new company called Tricon Global Restaurants.
1998:
PepsiCo acquires Tropicana Products for $3.3 billion.
1999:
Pepsi Bottling Group is spun off to the public, with PepsiCo retaining a 35 percent stake.
2000:
PepsiCo reaches an agreement to acquire the Quaker Oats Company for $13.4 billion.

Company History:

Further Reading:

  • 'Boards of Pepsi-Cola and Frito-Lay Approve Merging As PepsiCo,' Wall Street Journal, February 26, 1965, p. 8.
  • Bongiorno, Lori, 'The Pepsi Regeneration,' Business Week, March 11, 1996, pp. 70+.
  • Byrne, John A., 'PepsiCo's New Formula,' Business Week, April 10, 2000, pp. 172--76+.
  • Cappelli, Peter, and Harbir Singh, 'Do Pepsi and Oatmeal Mix?,' Wall Street Journal, December 5, 2000, p. A26.
  • Collins, Glenn, 'PepsiCo Pushes a Star Performer,' New York Times, November 3, 1994, pp. D1, D8.
  • Collins, Glenn, and Stephanie Strom, 'Can Pepsi Become the Coke of Snacks?,' New York Times, November 3, 1996.
  • De Lisser, Eleena, 'Pepsi Has Lost Its Midas Touch in Restaurants,' Wall Street Journal, July 18, 1994, p. B1.
  • Deogun, Nikhil, 'Pepsi Challenge: Can Company's Brass Mute Flashy Culture and Make Profits Fizz?,' Wall Street Journal, August 8, 1997, pp. A1+.
  • ------, 'PepsiCo to Buy Quaker for $13.4 Billion,' Wall Street Journal, December 4, 2000, pp. A3, A8.
  • ------, 'PepsiCo to Reorganize U.S. Operations,' Wall Street Journal, June 2, 1997, p. A3.
  • ------, 'Revamped PepsiCo Still Needs to Conquer Wall Street,' Wall Street Journal, July 27, 1998, p. B4.
  • Deogun, Nikhil, Betsy McKay, and Jonathan Eig, 'PepsiCo Aborts a Play for Quaker Oats,' Wall Street Journal, November 3, 2000, p. A3.
  • Dietz, Lawrence, Soda Pop: The History, Advertising, Art, and Memorabilia of Soft Drinks in America, New York: Simon and Schuster, 1973, 184 p.
  • Duncan, Amy, 'Pepsi's Marketing Market: Why Nobody Does It Better,' Business Week, February 10, 1986.
  • Enrico, Roger, and Jesse Kornbluth, The Other Guy Blinked: How Pepsi Won the Cola Wars, New York: Bantam, 1986, 280 p.
  • Fisher, Anne B., 'Peering Past Pepsico's Bad News,' Fortune, November 14, 1983, pp. 124+.
  • Frank, Robert, 'PepsiCo's Critics Worry the Glass Is Still Half Empty,' Wall Street Journal, September 30, 1996, p. B4.
  • Gibney, Frank, Jr., 'Pepsi Gets Back in the Game,' Time, April 26, 1999.
  • 'Gulp, Munch & Merge,' Forbes, July 15, 1968, pp. 20--21.
  • 'Herman W. Lay of PepsiCo,' Nation's Business, September 1969, pp. 88--89, 92--95.
  • 'Holders of Pepsi-Cola and Frito-Lay Approve Proposal for Merger,' Wall Street Journal, June 9, 1965, p. 8.
  • Kraar, Louis, 'Pepsi's Pitch to Quench Chinese Thirsts,' Fortune, March 17, 1986.
  • Lousi, J.C., and Harvey Z. Yazijian, The Cola Wars, New York: Everest House, 1980, 386 p.
  • Mack, Walter, and Peter Buckley, No Time Lost, New York: Atheneum, 1982, 211 p.
  • Martin, Milward W., Twelve Full Ounces, New York: Holt Rinehart, 1962, 136 p.
  • McCarthy, Michael J., 'Added Fizz: Pepsi Is Going Better with Its Fast Foods and Frito-Lay Snacks,' Wall Street Journal, June 13, 1991, pp. A1+.
  • McKay, Betsy, 'Juices Up: Pepsi Edges Past Coke and It Has Nothing to Do with Cola,' Wall Street Journal, November 6, 2000, pp. A1+.
  • McKay, Betsy, and Jonathan Eig, 'PepsiCo Hopes to Feast on Profits from Quaker Snacks,' Wall Street Journal, December 4, 2000, p. B4.
  • McKay, Betsy, and Nikhil Deogun, 'PepsiCo's Enrico to Pass CEO Baton to His Number Two by End of Next Year,' Wall Street Journal, October 4, 2000, p. B1.
  • 'PepsiCo--More Than Just `Pepsi,' Financial World, November 4, 1970, pp. 5, 26.
  • 'Pepsi's Sitting on Trop of the World After Making Juicy Deal with Seagram,' Beverage World, August 15, 1998, p. 14.
  • Reeves, Scott, 'The Pepsi Challenge,' Barron's, August 11, 1997, pp. 17--18.
  • Rothman, Andrea, 'Can Wayne Calloway Handle the Pepsi Challenge?,' Business Week, January 27, 1992.
  • Sellers, Patricia, 'If It Ain't Broke, Fit It Anyway,' Fortune, December 28, 1992, pp. 49+.
  • ------, 'PepsiCo's New Generation,' Fortune, April 1, 1996, pp. 110--13+.
  • ------, 'Pepsi Opens a Second Front,' Fortune, August 8, 1994, pp. 70--76.
  • ------, 'Why Pepsi Needs to Become More Like Coke,' Fortune, March 3, 1997, pp. 26--27.
  • Sparks, Debra, 'Will Pepsi Take the Wall Street Challenge?,' Financial World, April 8, 1996, pp. 26--29.
  • 'Steady Gains for PepsiCo,' Financial World, March 1, 1972, pp. 7, 19.
  • Stoddard, Bob, Pepsi: 100 Years, Los Angeles: General Publishing Group, 1997, 207 p.
  • 'Wayne Calloway's Nonstop Cash Machine,' Forbes, September 7, 1987.
  • 'Who Acquired Who?,' Forbes, April 1, 1967, p. 69.
  • Zellner, Wendy, 'Frito-Lay Is Munching on the Competition,' Business Week, August 24, 1992, pp. 52--53.

Source: International Directory of Company Histories, Vol. 38. St. James Press, 2001.