PepsiCo releases sustainable development report

PepsiCo announced today the publication of its fourth annual sustainable development report, a comprehensive overview of the company’s progress in addressing economic, environmental and social challenges.

Based on Global Reporting Initiative (GRI) Sustainability Reporting Guidelines, the 2007-2008 report titled “Our Sustainability Journey” outlines PepsiCo’s core operating principal of Performance with Purpose — achieving continued financial success while bringing purpose to the company’s performance through sustainable business practices and social investments. The report highlights PepsiCo’s commitment to three key areas of influence:

— Human Sustainability refers to PepsiCo’s efforts to nourish consumers with a range of products, from treats to healthy eats;
— Environmental Sustainability reinforces PepsiCo’s commitment to work to protect natural resources and operate in a way that minimizes the company’s environmental footprint; and
— Talent Sustainability focuses on developing the company’s employees by creating a diverse and inclusive culture and making certain PepsiCo is an attractive destination for the world’s best people.

“In a world that continues to experience unprecedented economic, environmental and social challenges, we recognize our responsibilities to help make a difference. The talents and skills of our global workforce, coupled with our operational capabilities, provide PepsiCo with a unique opportunity to have a positive impact on society. The goal of our sustainable development journey is to operate as a force for bringing greater good to the world,” said Indra Nooyi, PepsiCo chairman and CEO.

Notable sustainable development achievements for 2007-2008 include:

— Expanding portfolio of healthful products through innovation;
— Improving significantly our water, fuels, and electricity efficiency;
— Saving nearly five billion liters of water and nearly 500 million kilowatt hours of energy worldwide in 2007, as compared to 2006;
— Instituting global guidelines for beverages that limit advertising and marketing to children under 12;
— Launching global sustainable packaging policy; and
— Committing more than $16 million to bring safe water to developing countries.

PepsiCo is continually developing and enhancing metrics that can bring sharper focus to the ways of achieving demonstrable progress on sustainability goals while integrating these more fully into business operations. Deepening collaborations with stakeholders and partners around the globe is a key aspect of PepsiCo’s ongoing sustainability efforts. The 2007-2008 sustainable development report can be found online at .

PepsiCo(NYSE:PEP)is one of the world’s largest food and beverage companies, with 2007 annual revenues of more than $39 billion. The Company employs approximately 185,000 people worldwide, and its products are sold in approximately 200 countries. Its principal businesses include: Frito-Lay snacks, Pepsi-Cola beverages, Gatorade sports drinks, Tropicana juices and Quaker foods. The PepsiCo portfolio includes 18 brands that generate $1 billion or more each in annual retail sales. PepsiCo’s commitment to sustainable growth, defined as Performance with Purpose, is focused on generating healthy financial returns while giving back to communities the Company serves. This includes meeting consumer needs for a spectrum of convenient foods and beverages, reducing the Company’s impact on the environment through water, energy and packaging initiatives, and supporting its employees through a diverse and inclusive culture that recruits and retains world-class talent. As a member of the Dow Jones Sustainability World Index (DJSI) and the Dow Jones Sustainability North America Index (DJSI North America), PepsiCo is a recognized leader in sustainability. For more information, please visit .