Performance With Purpose: The Promise Of PepsiCo 1

16Eliminate the directsale of full-sugar softdrinks to primaryand secondary schoolsaround the globe by 2012.PepsiCo continues to implement a globalpolicy for beverage sales in schools —focused on water, juice, milk and lowcaloriebeverages that support healthynutrition habits among students. By2012, when the global school beveragepolicy is fully implemented, we will nolonger sell full-sugar soft drinks directlyto primary or secondary schools worldwide.These changes have already beenmade in a number of key markets. Forexample, between 2006 and 2009, wevoluntarily discontinued direct sales offull-sugar soft drinks to K–12 schools inthe U.S. and replaced them with smallerportionedand lower-calorie beverageoptions. We also do not sell full-sugar softdrinks directly to primary and, in somecases, secondary schools in most ofEurope, Canada, Australia and the majorityof countries in the Arabian Peninsula.17Increase the range of foodsand beverages that offersolutions for managing calories,like portion sizes.In 2010, we continued to provide consumerswith options to manage calorieintake, from launching new productswith zero- and low-calorie sweetenersto reformulating existing products withfewer calories. Naked Juice, for example,introduced two 100 percent juicesmoothies that have 35 percent fewercalories than regular Naked JuiceSmoothies, and Tropicana added newflavors — such as Pomegranate Blueberry,Pineapple Mango and FarmstandApple — to its Trop50 line, which offers50 percent less sugar and fewer calorieswith no artificial sweeteners. In theU.K., we launched a 600ml zero-caloriecola at the same recommended retailprice as a 500ml full-sugar cola. And inBrazil, we recently acquired Amacocothat positions us to broaden the distributionand sales of our lower-sugarcoconut water product line. On the foodsside, we utilized our expertise in bakingand air-popping technologies to managecalories. In Mexico, a baking techniqueis used to produce a version of Sabritaspotato chips that has 20 percent fewercalories. Several of our products, includingSunChips, Sabra, Quaker’s Quakesand True Delights rice snacks were recognizedon Good Housekeeping’s “BestLow-Calorie Snack” list.30 PepsiCo, Inc. 2010 Annual Report