Printer Friendly

PEPSICO FOODS INTERNATIONAL ACQUIRES 100 PERCENT OF ITS CANADIAN PARTNERSHIP

 PEPSICO FOODS INTERNATIONAL ACQUIRES 100 PERCENT OF ITS CANADIAN
 PARTNERSHIP
 TORONTO, June 25 /PRNewswire/ -- PepsiCo Foods International, the international snack food division of PepsiCo, Inc. (NYSE: PEP), today announced that it has purchased the remaining 50 percent interest in the Hostess Frito-Lay Company, a partnership owned by Kraft General Foods Canada Inc. and PepsiCo. The transaction has complied with all Canadian regulatory requirements. Terms were not disclosed.
 The partnership was formed in 1988 when PepsiCo's Frito-Lay Canada joined with General Foods Canada's snack food operation, Hostess Food Products Ltd. Based in the Toronto suburb of Mississauga, the partnership employs 2,400 people and has plants in Cambridge, Ontario; Taber, Alberta; Lauzon Quebec; and Kentville, Nova Scotia.
 In announcing the acquisition, Michael H. Jordan, chairman of PepsiCo International Food & Beverages Division, stated: "The growth potential of the Canadian snack food market and Hostess Frito-Lay's excellent performance initiated the re-evaluation of our approach. We intend to invest aggressively in new product development, as well as in sales, distribution and manufacturing infrastructure, as they are the keys to exciting the marketplace and to maintaining our leadership position. While we were highly successful in growing the business with our partner, Kraft General Foods Canada said that it wishes to focus on its packaged food businesses, and this is the right time to part company."
 Hostess Frito-Lay, which will retain its current name, is Kraft General Foods' only salty snack operation worldwide.
 Canadian per capita consumption of snack food is the second largest in the world, behind the United States. For 1991, Canadian snack food industry sales grew at a rate of 5 percent and per-capita consumption levels were 11 pounds per person. Comparable figures for the United States for the same period were 4 percent industry growth and 15 pounds per-capita consumption.
 PFI, headquartered in Dallas, operates 27 salty and sweet snack businesses in 24 countries. In 1991, PFI generated over US$4 billion in systemwide retail sales of local and global brands such as Ruffles(R), Doritos(R), Sonric's(R), Chee.tos(R), and Fritos(R).
 -0- 6/25/92
 /CONTACT: Terry A. Fassburg of PFI, 214-956-3678; Ken Ross of PepsiCo, 914-253-2725; Jim Postl of HFL, 416-858-1170; or Nada Ristich of KGFC, 416-441-5502/
 (PEP) CO: PepsiCo Foods International; Kraft General Foods Canada Inc.;
 The Hostess Frito-Lay Company ST: New York, Texas, Ontario IN: FOD SU: TNM


GK -- NY033 -- 3716 06/25/92 11:15 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jun 25, 1992
Words:402
Previous Article:PETER J. SCHMITT GRANTED APPROVAL FOR DIP CREDIT FACILITY
Next Article:COMMONWEALTH EDISON 'A-' SENIOR DEBT ON FITCHALERT NEGATIVE -- FITCH FINANCIAL WIRE --
Topics:


Related Articles
PEPSICO AND PORTUGUESE GOVERNMENT SIGN ACCORD FOR $150 MILLION INVESTMENT
PEPSICO TO ACQUIRE SNACK FOOD COMPANY IN CHILE
PEPSICO FOODS INTERNATIONAL AND GENERAL MILLS TO MERGE SNACK FOOD BUSINESSES IN EUROPE
PEPSICO FOODS INTERNATIONAL AND GENERAL MILLS TO MERGE SNACK FOOD BUSINESSES IN EUROPE
NABISCO FOODS GROUP EXPANDS MEXICAN BUSINESS IN EXCHANGE WITH PEPSICO
PEPSICO FOODS INTERNATIONAL AND GENERAL MILLS EUROPEAN SNACK FOOD JOINT- VENTURE BEGINS OPERATIONS; COMPANY & PRESIDENT NAMED; HEADQUARTERS SITED
PEPSICO AND ELITE INAUGURATE NEW SNACK PLANT IN ISRAEL; COMPANY BECOMES LARGEST POTATO CHIP PRODUCER AND CATEGORY INNOVATOR
PEPSICO WORLDWIDE FOODS ANNOUNCES MANAGEMENT CHANGE
PepsiCo Acquires Star Foods, Major Polish Snack Company.
PepsiCo announced that it has acquired Star Foods, one of Poland's leading makers of savory snacks.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters