Headlines

Relational Investors, an investment firm known for taking an activist role in underperforming companies, announced that it has acquired a $600 million stake in PepsiCo – amounting to about 0.6 percent of the company - according to The Wall Street Journal. Relational began accumulating shares of PepsiCo in the fall of 2011, and has been one of several voices calling for the company to split its snack and beverage businesses into two separate and independent units.

Lifeway Foods has announced an agreement with Target that dramatically increases the number of stores that carry its Kefir line. The new distribution deal is Lifeway's first major expansion in Target in eight years and increases the availability of Lifeway Kefir drinks from 170 to 453 Target locations. The expansion covers a range of flavors and sizes of Lifeway Kefir, a probiotic drink similar to drinkable yogurt, and adds three new flavors of its 8 oz. Lifeway Kefir 4-packs to Target dairy cases.

Story jumped into the paper likely on the rumors of Coke's potential for a play for Monster Energy, but despite some analysts squawking that the company needs to take leadership in all categories, there's an equal number of claims that the company, with 500 brands, has trouble focusing as well.

Hot on the heels of Pepsi NEXT, the Coca-Cola Co. is rolling out a pair of mid-calorie CSDs of its own, taking Sprite and Fanta into 70-calorie cans sweetened with a mix of sugar, stevia and erythritol.

More news from the burgeoning world of beverage-related class-action lawsuits as Lifeway becomes the latest company to be hit with allegations that its drinks do not provide their advertised health benefits.

Yesterday, PepsiCo announced a number of leadership changes in its recently formed global groups organization, according to an internal memo obtained by Ad Age. The shake-up in executive positions is part of Pepsi’s strategy to promote greater innovation and forward thinking as a global company and will be followed by a "100-day rollout plan" designed to align employees around the new approach.

Brewbound, BevNET's site dedicated to craft beer, has released the preliminary agenda for its upcoming business conference for craft brewers. The Brewbound Craft Beer Session will be co-located with BevNET Live, and held on Tuesday, June 5th at the Metropolitan Pavilion in New York City. The outstanding speaker lineup will include a keynote address from Greg Koch, the CEO and co-founder of Stone Brewing Co.

Red Bull has unveiled a new TV ad that will be the company's first broadcast spot during the NBA playoffs. The TV ad is part of the company's "World of Red Bull" campaign and features L.A. Clippers star Blake Griffin and celebrity skateboarder Travis Pastrana, as well footage from DJ and break dancing competitions and 1-on-1 basketball games played on Alcatraz Island. The ad will air during playoff games on ESPN, ABC, and TNT.

Last week's reports of a possible acquisition of Monster Beverage by Coca-Cola sent shares of the energy drink giant on a colossal roller coaster ride, initially soaring into the stratosphere, only to come tumbling back to earth after Coke addressed the news as speculation. However, shares of Monster Beverage are once again surging after the energy drink giant announced record first quarter sales and profits and easily bested Wall Street estimates for the three-months ending March 31, 2012.

Here's another interesting look at the way things shake out when you deal with class action lawsuits filed against beverage companies: the terms of the settlement of the lawsuit against Vita Coco have appeared online.

Beverage industry’s top soda manufacturers are having a Howard Beale moment. Tired and frustrated by New York City’s longstanding ad campaign linking soft drinks to obesity, Coca-Cola and PepsiCo are mad as hell, and they’re not going to take it anymore! Now, Coke and Pepsi are working with the ABA to roll out a new ad campaign in NYC that touts new lower-calorie beverages and smaller package sizes to show that industry is doing its part in the fight against obesity.

Melding consumer demand for healthier beverage options and a rising tide for sparkling juice drinks, Campbell Soup has introduced new carbonated varieties for its V8 V-Fusion line. V8 V-Fusion Sparkling drinks contain one 50 calorie serving of fruits and vegetables with no added sugar, artificial colors, flavors or preservatives.

Joia, a line of all-natural, mixologist-inspired sodas, is now distributed at The Fresh Market. Joia, a Best of BevNET 2011 winner, produces a number of distinctive flavors such as Lime, Hibiscus and Clove. Since its debut in 2011, the line of sodas had been primarily sold in the Minneapolis area, where the drinks are produced, though Joia will now look to dramatically increase distribution with The Fresh Market, with its 115 locations in 21 states.

Eric Foss, the former CEO of Pepsi Beverages Company (PBC), has joined ARMARK as the company's CEO and President. Foss spent 30 years at PepsiCo culminating in his role as CEO of PBC in which he helped guide the consolidation of the company's two largest bottlers, Pepsi Bottling Group and Pepsi Americas, into PepsiCo. Foss joins ARAMARK, a privately held food-services and facilities-management conglomerate, effective immediately.