Diversified product offerings; Strong market positions; Solid cash flow and credit protection measures; and Growing international contribution. Competitive U.S. beverage and cereal markets; and Sizable share repurchase program. The ratings reflect Purchase, N.Y.-based PepsiCo Inc.'s balanced portfolio of businesses, with its strong positions in the relatively stable, cash-generating soft-drink industry and faster growing noncarbonated beverage and snack-food industries, and strong financial profile. PepsiCo is the world's second-largest manufacturer of soft-drink concentrates and syrups, and holds the number-one position in the U.S. in the chilled orange juice and snack-food markets. PepsiCo also has a very strong position in the expanding sports-drink market, as well as a competitive position in the hot and cold cereal markets. The ratings also incorporate PepsiCo's unique
