About PepsiCo

• Leading food & beverage company • Performance With Purpose • $65 billion + annual revenue • 300,000 employees • 22 billion-dollar brands • 200+ countries • HQ - Purchase, NY • Fortune 100 & “Most Admired” company Broad Food & Beverage Portfolio

22 $1B+ brands $250MM - $1B brands (examples) PepsiCo Structure

4 Operating Divisions: 1) PepsiCo Americas Foods 2) PepsiCo Americas Beverages 3) PepsiCo Europe 4) PepsiCo Asia, Middle East & Africa Frito-Lay North America

•Convenient foods leader •$13 billion annual sales •Division of PepsiCo •50,000+ employees •Strong presence across U.S. & Canada •Headquarters - Plano, TX •75+ year history Broad Portfolio Vast Reach

15,000+ 500,000 retailers $13 billion sales routes served weekly annual sales Seed to Shelf

Research & Raw Materials Manufacturing Storage Development 30+ plants 40+ warehouses

Merchandising Delivery to Distribution Transportation Store Centers 1,200 tractors 16,000+ routes 200+ 4,200 trailers Long-Standing Environmental Commitment Latest Environmental Efforts

‘Near Net Zero’ Solar Power Water Plant Conservation

Hybrid, Electric & CNG Vehicles LEED Certifications Our “Prius”

Compostable Bags Commitment to Our Communities Frito-Lay Topeka - Background

• 3rd Largest FLNA Facility; 750,000ft2; 1000+ employees; 175,000,000 lbs • Produce all “core” brands; Lay’s, , , , Sunchips, , Tostitos Scoops • “Full Mix” facility that receives and ships all products including Pretzels, Grandma’s Cookies, Cracker Jacks, dips, etc. • Steam Fired Site, 95% of steam is used to heat process oil. Quick Facts Operations • 10 Production Lines • Process over 127 million pounds of potatoes annually • Use 260 railcars of cooking oil each year • 71 million pounds of corn (1,183,000 bushels) cooked each year • Site reached OSHA VPP (Voluntary Protection Plan) Star rating in 2003 and recertified in 2007 and 2012 • Over 1000 total employees with $38 million payroll, plus +$10 million in benefits • Traffic center drives over 14 million miles annually Conservation • Biomass Boiler addition resulted in a 72% reduction in Natural gas • Reuse and conservation has saved over a billion gallons of water since ’99, enough to fill 1,800 Olympic sized swimming pools • 1.6% of Solid Waste Goes to Landfill • 2nd Existing Food Manufacturing Facility in the US to Achieve LEED Gold Topeka “Near Net Zero” Strategy

Waste Heat Recovery Compostable Bags Biomass Boiler

Wind Turbine

1% LF, Pkg & Finish Waste

LEED Gold High MPG Trucks

Green Team Env. Compliance Topeka Results

Water Gas 2.4 4700 2.2 49% 4200 74%

2.0 3700 1.8 3200 1.6

1.4 Btu/Lb 2700 Gal/Lb 1.2 2200

1.0 1700 0.8 1200 0.6 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Electricity 850 800 19% 750 700 Btu/Lb 650 600 550 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Topeka Biomass Boiler…..2010 Start Up Biomass Boiler Impact

Topeka CO2 Emissions • CO2 Emissions 2007 – 27,808 tons 120 Post Project – 8066 tons 100 72% Reduction for site

80 • Reduction in CO2 emissions represents 2.9% reduction in 60 CO2 emissions from all combustion sources in FLNA 40 MMLbs of Co2 of MMLbs • Reduction is equal to removing 20 3,442 automobiles from highway. 0 2007 Future

Electric N. Gas Construction Progress – August 2010 Start-Up – Sept. 2010 Start-Up – Sept. 2010

60,000 lb/hr Steam 1600 degrees Fahrenheit FL Transportation Private Fleet Overview

• 28 Traffic Centers • World Class Safety − 1,040 Tractors – Over 500 Active Million Milers − 3,900 Trailers • People − 120 Exempts − 200 Non-Exempts − 230 Hourly − 1,550 Drivers • Network − Hauls 82% of Frito-Lay Volume − Delivers 629,500,000 Cases/Year − Drives 126,200,000 Miles/Year − Generates over $40 million in Inbound & Backhaul Revenue/Year Our Footprint

1,200 1,100 OTR Tractors Company Cars

23,000 13,300 200 Route Trucks Fleet Assets Fleet Service Trucks

3,700 65 OTR Trailers Yard Horses

3,400 B24

24 Our Fleet Vision - The most fuel-efficient fleet in America through People, Process, & Technology…

2008 2010 2012 2020

3x MPG 6-8% 0 Emissions 8-10%

50 46.3 46.1 45.6 46.7 15% 47.8 45.7 43.4 41.2 39 37 35 33 50% 31 25 29 Strategy 27 25 MM Gal 23 Implemented

0 ‘04 ‘05 ‘06 ‘07 ‘08 ‘09 ‘10 ‘11 ‘12 ‘13 ‘14 ‘15 ‘16 ‘17 ‘18 ‘19 ‘20

25 CNG Fleet

• Nearly 20% of the Frito-Lay Private Fleet is now CNG! Over 47% of the Topeka fleet are CNG!

• Since starting the CNG Truck program two years ago, Frito- Lay has logged over 15,000,000 miles using natural gas trucks. Topeka fleet logs over 5,500,000 million miles annually.

26 Thank You What questions do you have?

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