The Transactions Committee stated that PepsiCo’s proposal significantly undervalues the strategic benefits of system consolidation. Fundamentally, the proposal does not reflect the value of PepsiAmericas’ strengths and stand-alone strategies, as evidenced by the Company’s strong first quarter results. It also substantially undervalues the synergies that can be obtained in the proposed transaction.
PepsiAmericas also announced today that it amended its existing Rights Agreement to extend the expiration date of the Rights Agreement from May 20, 2009 to May 20, 2010. No other changes were made to the Rights Agreement.
Goldman, Sachs & Co. is serving as financial advisor and Briggs and Morgan, P.A. and Sullivan & Cromwell LLP are serving as legal counsel to PepsiAmericas.
PepsiAmericas is the world’s second-largest manufacturer, seller and distributor of PepsiCo beverages. With annual sales of $4.9 billion in 2008, PepsiAmericas employs more than 20,000 people and operates 33 manufacturing facilities and over 175 distribution centers across its markets. PAS serves a population of more than 200 million in a significant portion of a 19-state region in the U.S.; Central and Eastern Europe, including Ukraine, Poland, Romania, Hungary, the Czech Republic and Slovakia; and the Caribbean. For more information, please visit www.pepsiamericas.com.